FOOTHILLS EXPLORATION INC. ENTERS AGREEMENTS TO REWORK AND DRILL A NEW WELL IN THE ILLINOIS BASIN

Rhea-AI Summary

Foothills Exploration (OTC: FTXP) announced a participation agreement with Benchmark Properties to develop the Ste Marie West Prospect in Jasper County, Illinois, acquiring a 50% working interest in the Sears-Houser #4 well. The agreement involves covering 50% of rework costs, aiming for recompletion in the Aux Vase Sand. The Illinois Basin, where the project is located, has a rich history of oil production. Foothills plans to leverage its partner's extensive experience to identify further opportunities in the Basin and enhance production efficiency.

Positive

• Entered into a participation agreement with Benchmark Properties to develop the Ste Marie West Prospect.
• Acquired 50% working interest in the Sears-Houser #4 well, potentially increasing production.
• Partnership utilizes expertise of a geologist with over 40 years of experience in the Illinois Basin.

Negative

• None.

LOS ANGELES, Oct. 27, 2021 (GLOBE NEWSWIRE) -- Foothills Exploration, Inc. (OTC: FTXP), including its direct and indirect subsidiaries, ("Foothills," or the "Company"), an oil and gas exploration company, is pleased to announce that has entered into a participation agreement with an Illinois basin operator.

The Company, through its direct subsidiary, Anaconda Energy, LLC, has entered in to a participation agreement with Benchmark Properties, Ltd. to develop the Ste Marie West Prospect in Jasper County, Illinois, and to acquire fifty-percent (50%) working interest in the Sears-Houser #4 well in exchange for paying fifty-percent (50%) of the total rework and recompletion costs for the subject well with the objective of a recompletion in the Aux Vase Sand (2,719-2,730). The parties have also identified a multi-stacked pay location on the Ste Marie Prospect to drill to 3,500 feet with the primary objective of the McClosky Limestone.

“We are looking forward to working with our partner to identify other recompletion and infield drilling opportunities in the Basin,” said Alex Hemb, CEO of Anaconda Energy, LLC and Director of Foothills Exploration, Inc.

This partnership will utilize the talents of a Petroleum Geologist with 40 plus years’ experience in exploitation and exploration in the Illinois Basin. Furthermore, Benchmark Properties, Ltd has been drilling and operating successful oil leases in the Illinois Basin since 1995.

“A key platform of our Illinois basin strategy is identifying inactive wells that can be returned to production for minimal costs,” said Hemb. “We are actively looking for rework and recompletion candidates that fit these criteria,” continued Hemb.

Illinois Basin

The Illinois Basin began commercial oil production in 1905 and the Clay City Consolidated field where the Ste Marie prospect exists has produced over 363 million barrels of oil (MMBO) since 1932. There are approximately 32,100 oil and gas production wells, 10,500 Class II injection wells and 1,750 gas storage wells in Illinois.

About the Company

Foothills Exploration, Inc. (“FTXP” or the “Company”), is an oil and gas exploration and development company focused on delivering the energy needs of today and tomorrow. The Company’s strategy is to build a balanced portfolio of assets through two core initiatives. The first initiative is to generate high-impact oil and gas exploration projects. The second is to invest in hydrogen and geothermal projects for a low carbon future through its New Energy Ventures division by identifying areas where the Company can contribute to a viable, realistic, and balanced future energy mix. For additional information please visit the Company’s website at www.foothillspetro.com.

Forward-Looking Statements

All statements, other than statements of historical facts, included in this release that address activities, events or developments that we expect, believe or anticipate will or may occur in the future are forward-looking statements. These statements are based on certain assumptions we made based on management's experience, perception of historical trends and technical analyses, current conditions, capital plans, drilling plans, production expectations, our ability to raise adequate additional capital, or enter into other financing arrangements to support our acquisition, development and drilling activities, anticipated future developments, and other factors believed to be appropriate and reasonable by management. When used in this release, words such as "will," “possible,” "potential," "believe," "estimate," "intend," "expect," "may," "should," "anticipate," "could," "plan," "predict," "project," "profile," "model," "strategy," "future" or their negatives or the statements that include these words or other words that convey the uncertainty of future events or outcomes, are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. In particular, statements, express or implied, concerning our future operating results and returns or our ability to acquire or develop proven or probable reserves, our ability to replace or increase reserves, increase production, or generate income or cash flows are forward-looking statements.

Forward-looking statements are not guarantees of performance. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control. While forward-looking statements are based on assumptions and analyses made by us that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially from our expectations. As a result, no assurance can be given that these assumptions are accurate or that any of these expectations will be achieved (in full or at all) or will prove to have been correct. We have had sporadic and limited revenue and our securities are subject to considerable risk. Investors are cautioned to review FTXP’s filings with the Securities and Exchange Commission for a discussion of risk and other factors that affect our business. Any forward-looking statement made by us in this news release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future development or otherwise, except as may be required by law. The Company intends that all forward-looking statements be subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995.

Investor Contact

Christopher Jarvis
EVP of Finance
(800) 204-5510
ir@foothillspetro.com

FAQ

What is the recent announcement by Foothills Exploration (FTXP)?

Foothills Exploration announced a participation agreement with Benchmark Properties to develop the Ste Marie West Prospect in Illinois.

What is the significance of the Sears-Houser #4 well for FTXP?

FTXP has acquired a 50% working interest in the Sears-Houser #4 well, which may enhance their production capacity.

What are the goals of the participation agreement with Benchmark Properties?

The agreement aims to develop oil prospects and recover inactive wells for production at minimal costs.

How does the Illinois Basin impact Foothills Exploration's operations?

The Illinois Basin has a long history of oil production, providing a strategic advantage for Foothills' exploration efforts.