Royale Energy Provides Update on Results From Initial Test Wells

Royale Energy

Co-CEO Stephen Hosmer spoke to delegates at the Alaska Oil and Gas Congress in Anchorage last week. While sharing the stage with CEO of Great Bear Petroleum Operating LLC, Ed Duncan discussed the results of their initial test wells (Alcor #1 and Merak #1) in which they cored portions of the Shublik, HRZ/GRZ, and Kingak shales, the source rock for Alaska's Prudhoe Bay oil field. "I can tell you with absolute confidence that where we thought we would find oil in these source rocks, we found oil." Duncan said among other comments, and stated that Great Bear will accelerate the development phase of their project by as much as a full year. Mr. Hosmer's remarks reaffirmed Royale's plans to develop nearly 100,000 acres of land immediately adjacent to Great Bear, in which Royale was the successful bidder at the State's most recent lease sale.