CALGARY, Alberta, Nov. 13, 2012 (GLOBE NEWSWIRE) -- Abby, Inc. (OTCBB:ABBY) In connection with a previously executed option agreement between Abby and Black Star 231 Corp. on October 31, 2012, Abby exercised its option for the second parcel in the Stateline Oilfield in Richardson County, Nebraska. This oilfield is comprised as part of the SE quarter of the NE quarter and the East half of the SE quarter of section 27, containing approximately 87 acres. The option cost was $5,000. If all seven parcels of the original option agreement are exercised, it would encompass approximately 2100 acres. The announcement on October 31, 2012 disclosed that the first cash call will be for $138,650 per Unit. If Abby, Inc. chooses to acquire its 75% working interest the first cash call will total $415,950. The $415,950 includes two wells for both the Rose Dome parcel and the second parcel optioned today.
If both wells are completed for production there will be a second cash call of $133,500 per Unit or $400,500 for Abby, Inc. to retain its 75% working interest. For each well not completed for production in this drilling program the second call amount is reduced by $66,775 per Unit of participation.
Abby does not currently have sufficient funds to acquire a 25% working interest which represents the minimum number of units which can be purchased by Abby in both parcels.
Abby, Inc. President Tom Forzani said, "We chose to exercise the option on the second parcel of the Stateline Oilfield based on the information provided by our operating partner, Black Star 231 Corporation and our confidence in them in the development of this oilfield. We are committed to our working relationship with Black Star 231 Corp. and look forward to the completion of these first two wells."
Forzani went on to say that, "Abby, Inc. believes the best growth strategy is to partner with experienced operators in the North American oil marketplace and we feel that Black Star 231 Corporation met our criteria of expertise as well as their commitment to co-invest in projects. We look forward to communicating more news on the Stateline Oilfield as its made available. "
About Abby, Inc.
Abby, Inc. (OTCBB:ABBY) is an oil and gas exploration and development company focused on developing partnerships with experienced oil & gas operators throughout the United States and Canada to identify low-risk prospects to explore and develop into producing properties.
The information contained in this press release contains "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. A forward-looking statement is one which is based on current expectations of future events or conditions and does not relate to historical or current facts. These statements include various estimates, forecasts, projections of Abby, Inc.'s future performance, statements of Abby, Inc.'s plans and objectives, and other similar statements. Forward-looking statements include phrases such as "low-risk", "expects," "anticipates," "intends," "plans," "believes," "predicts," "estimates," "assumes," "projects," "may," "will," "will be," "should," or similar expressions. Although Abby, Inc. believes that its current expectations are based on reasonable assumptions, it cannot assure that the expectations contained in such forward-looking statements will be achieved. Forward-looking statements involve risks, uncertainties and assumptions which could cause actual results to differ materially from those contained in such statements. The risks, uncertainties and other factors that might cause actual results to differ materially from Abby, Inc.'s expectations are set forth in the "Forward-Looking Statements," "Risk Factors" and other sections of Abby, Inc.'s annual report on Form 10-K for the last fiscal year and Abby, Inc.'s other filings with the Securities and Exchange Commission. Investors should not place undue reliance on the forward-looking statements contained in this press release, as they speak only as of the date of this press release, and Abby, Inc. expressly disclaims any obligation or undertaking to publicly release any updates or revisions to any forward-looking statements contained herein.
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