ENERGY ANNOUNCES NEW FIVE WELL PROJECT
SAN DIEGO--July 14, 1999--Royale Energy Inc. (Nasdaq: ROYL ) closed
the funding of its five well drilling project on June 30th.
Total subscription were in excess of $2,000,000 and the company
has a 50 percent interest in each well. The first well in
the project, Bowerbank 14, was drilled to a total depth of 5,200
feet during the first week of July. The well encountered 40
feet of good quality natural gas bearing sands at a depth of 3,250
feet. This was the 12th commercially productive well the company
has completed in the Bowerbank field.
The well has more than twice the thickness of any previous gas
bearing zone in this field. In addition, the well penetrated
several additional intervals including a recently discovered deeper
sand found in the Bowerbank 13 well which underlies the Bowerbank
Gas sands. The second well in the project, Landberg # 1, began
drilling on Thursday, July 8th. After total depth has been reached,
the drilling rig will be moved to Dunnigan Hills, the third well
in the project.
Following the close of the above project, Royale began the funding
of its new 1999B five well natural gas drilling project. This
is the first time Royale Energy has offered a broader diversification
in a project that combines California natural gas with Gulf Coast
prospects. This is based in part on established relationships
with highly qualified companies that operate in the Gulf Coast and
will be participating with them along with the company's Direct
Working Interest drilling participants.
After its recent success, the company believes the U.S. Gulf Coast
provides an outstanding opportunity to add significant natural gas
production and reserves. These are high quality prospects
that have already been defined by 3D seismic and other wells drilled
in the area.
In addition, to historical information contained herein, this
news release contains "forward-looking statements" within the meaning
of the Private Securities Litigation Reform Act of 1995 subject
to various risks and uncertainties that could cause the company's
actual results to differ materially from those in the "forward-looking"
statements. While the company believes its forward looking statements
are based upon reasonable assumptions, there are factors that are
difficult to predict and that are influenced by economics and other
conditions beyond the company's control. Investors are directed
to consider such risks and other uncertainties discussed in documents
filed by the company with the Securities and Exchange Commission.
The information contained herein, is for informational purposes
only and should not be considered a solicitation to invest.