Kentucky Energy Expands Into Oil and Gas Exploration and Development
29 September 2010 - 9:30PM
Kentucky Energy, Inc. (Pink Sheets:QMIN) (Kentucky Energy), a
Kentucky based operator of energy and mineral related properties,
has elected to expand its energy based operations into oil and
natural gas exploration and development.
The Company is in the final stages of exercising an option on
over 3,000 acres in Rockcastle County, Kentucky, in drilling
participation with United States Energy Corp. (USE). In
anticipation of drilling, USE has surveyed three drill sites and is
in the process of preparing permits for the drill sites in
conjunction with the participation development agreement.
There are three potential economic horizons. The Knox
formation at about 2700 feet deep is the primary target. The
Sunnybrook (Middle Ordovician) is a viable secondary
prospect. Upon completion of the option, Kentucky Energy
intends to participate in at least two test wells this year with
other industry partners.
Kentucky Energy and United States Energy have mutually agreed to
enter into a substantive Area of Mutual Interest Agreement which
could result in the acquisition of up to an additional 10,000 acres
by Kentucky Energy.
Kentucky Energy Chairman, Eugene Chiaramonte, Jr., noted, "With
the intense interest in the Marcellus Shale and other Appalachian
"tight sands" we feel this acreage play positions the Company for
an exciting and extensive play in the oil and gas sector, hedging
against our current position as a provider of high quality
compliance coal."
About Kentucky Energy, Inc.: Kentucky Energy,
Inc. acquires and operates energy and mineral related properties in
the southeastern part of the United States. The Company focuses its
efforts on properties that produce quality compliance blend coal.
For more information on Kentucky Energy, Inc., please visit our
website: KentuckyEnergyInc.com.
Forward Looking Statement: This press release
contains items that may constitute forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. Although Kentucky Energy, Inc. believes the expectations
reflected in such forward-looking statements are based on
reasonable assumptions, it can give no assurances that its
expectations will be achieved. Factors that could cause actual
results to differ from expectations include, but are not limited
to, lack of revenue-producing operations, lack of working capital,
debt obligations, judgment and lien claims against Kentucky Energy,
Inc. and certain of its assets, difficulties in refinancing short
term debt, difficulties identifying and acquiring complementary
businesses, fluctuations in coal, oil and gas, and other energy
prices, general economic conditions in markets in which Kentucky
Energy, Inc. does business, extensive environmental and stock and
other uncertainties and business issues that are detailed in its
filings with the Securities and Exchange Commission.
CONTACT: Kentucky Energy, Inc.
Eugene Chiaramonte, Jr.
973-684-0035
www.kentuckyenergyinc.com