HNRC to Rework 83 Wells, $69 Million in Proven Reserves

Rhea-AI Summary

Houston Natural Resources Corp. (OTC: HNRC) has announced plans to develop $69 million in reserves at the Halff Oil Field in Crockett County, Texas. This includes working on 83 oil wells and acquiring approximately 2,800 acres in the prolific oil zone. The company aims to secure $1,500,000 in financing to start reworking the wells, with revenue generation expected by late 2021. HNRC's net assets rose to $73,466,688 as of June 30, 2021, highlighting a net asset value of $4.76 per share, excluding the appraised reserves of $4.60 per share.

Positive

• Plans to develop $69 million in reserves at Halff Oil Field.
• Acquisition of 2,800 acres in a prolific oil area.
• Commitment to rework 83 oil wells, enhancing production potential.
• Net assets increased to $73,466,688 as of June 30, 2021.

Negative

• No immediate revenue generation from existing wells until rework is completed.

HOUSTON, Aug. 31, 2021 /PRNewswire/ -- Houston Natural Resources Corp. (OTC: HNRC) ("HNRC or the Company") outlined today its plans to develop the $69 million in reserves it currently owns in the Halff Oil Field Property in Crockett County, Texas.  The reserves represent an asset value of $4.60 per share.

HNRC subsidiary Houston Natural Resources Inc ("HNRI") has acquired approximately 2,800 acres located in the Halff Oil Field in Crockett County, Texas. This oil field is noteworthy for several reasons:

• Located in the most prolific oil area in the USA.
• An existing oil field with proved reserves and 83 oil wells to be reworked.
• Has a prolific oil zone called the San Andres formation that has not been exploited at the present time. The primary producing reservoir is the Grayburg sand of Permian age. The Halff Oil Field has produced about 3,900,000 barrels of oil to date from the Grayburg Sand. The original oil in place in the Grayburg Sand is calculated to be 36,900,000 barrels of oil. This Zone has been producing oil for over 50 years including the Halff Oil Field. It will continue to be a productive area for at least another 20+ years.

The company intends to obtain financing of up to $1,500,000 to commence the rework of the wells in the fourth quarter of 2021 to commence generating revenue.

The company's net assets have increased to $73,466,688 for the period ending June 30, 2021 as compared to $72,315,383 for the same period ending June 30, 2020.

The company's net asset value is $4.76 per share for the period ending June 30, 2021 that does not include the additional $4.60 per share for the company's appraised reserves.

HNRC is a diversified holding company that has two subsidiaries, Houston Natural Resources, Inc ("HNRI") and Worldwide Diversified Holdings, Inc ("WDHI"). HNRI owns oil and gas properties and a waste-water treatment plant. WDHI has business operations that provide products & services in the Information Technology & Healthcare markets. HNRC anticipates up listing onto OTCQX or major exchange. The company is preparing an SEC filing to become an SEC reporting company.

HNRI is currently reviewing possible acquisitions of producing oil and gas properties in addition to developing its water treatment facilities that are operated by its subsidiary HNR Oil Services, LLC. The facility is currently permitted for disposal of twenty-five thousand barrels per day of oil field toxic waste fluids and is permitted and will soon expand to sterilizing oil field toxic solids waste. These unique permits have allowed HNR Oil Services to issue its customers a Texas State Certificate of Destruction of such toxic waste. This is an especially important step in environmental protection by keeping toxic materials out of land fields.

About Houston Natural Resources Corp

Houston Natural Resources Corp (https://houstonnaturalresources.com) (OTC:HNRC). The Company is dedicated to increasing shareholder value through developing natural resources with state-of-the-art innovative technologies in tandem with sustainable environmental services of toxic oil field waste disposal and recycling that are environmentally safe and socially responsible.  

About Worldwide Diversified Holdings, Inc.

Worldwide Diversified Holdings, Inc.(www.wdhinc.net). The company is a diversified holding company with business operations and investments. The portfolio companies include investments in information technology and healthcare.

FORWARD-LOOKING STATEMENTS:

This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties.

Contact:

Houston Natural Resources Corp.
E-mail: frank@HoustonNaturalResources.com
Houston, Texas, USA
Phone: +1 757-707-4563

View original content:https://www.prnewswire.com/news-releases/hnrc-to-rework-83-wells-69-million-in-proven-reserves-301366597.html

SOURCE Houston Natural Resources Corp.

FAQ

What are Houston Natural Resources Corp.'s plans for the Halff Oil Field?

HNRC plans to develop $69 million in reserves by reworking 83 oil wells in the Halff Oil Field.

What is the financial status of HNRC as of June 30, 2021?

HNRC's net assets increased to $73,466,688, with a net asset value of $4.76 per share.

How much financing does HNRC plan to secure for its operations?

HNRC intends to obtain $1,500,000 in financing to commence well rework.

What potential revenue can HNRC generate from the Halff Oil Field?

The company expects to generate revenue from the reworked wells by the fourth quarter of 2021.

What is the significance of the Grayburg Sand in HNRC's operations?

The Grayburg Sand is a primary producing reservoir in the Halff Oil Field, which has historically produced approximately 3,900,000 barrels of oil.