OilVoice - GMX Resources Announces Latest Haynesville/Bossier Results

GMX Resources Announces Latest Haynesville/Bossier Results

Monday, May 11, 2009

GMX Resources Inc. announces the completion of the Verhalen "A" 2H Haynesville / Bossier horizontal well having a 4,198 foot lateral and 14 fracture treatment stages and an initial 24 hour production ("IP") rate of 8.5 million cubic feet per day ("MMcfd") of gas, on a 14/64 choke and 4164 pounds of flowing casing pressure ("FCP") into the sales line. The first five Haynesville / Bossier wells have an average IP of greater than 8.3 MMcfd.

In addition to the first five wells, the Company has drilled Blocker Ware 19H with a 4,446 foot lateral and has completed 9 of 12 fracture treatments, thus far. The Company has also successfully drilled and set casing on the Blocker Heirs 12H with a 4,934 foot lateral and TJT Simpson 1H with a 4,606 foot lateral. Scheduled completion for each of these two H/B Hz wells will follow the Blocker Ware 19H with 12 fracture treatment stages planned for each well. These wells are all expected to begin producing in Q2 2009.

GMXR is a 'Pure Play', E & P Company with one of the most leveraged Haynesville / Bossier Horizontal Shale Operations in East Texas. The Company has 465 Bcfe in proved reserves (YE2008); 94% natural gas. The reserve potential is 81% operated and consists of 770 gross / 529 net Haynesville / Bossier 80 acre horizontal un-drilled locations; 5 gross / 5 net H/B producers, and 324 gross / 186.9 net Cotton Valley Sand ("CVS") producers; 2,657 gross / 1,974 net CVS un-drilled locations; and 45 gross / 37.5 net Travis Peak / Hosston Sands & Pettit producers. These multiple resource layers provide high probability and potentially repeatable, organic growth.