Contact Information: Investor contact: BC Capital Partners Bill Conboy (303) 415-2290 For further information contact: New Frontier Energy, Inc. Paul G. Laird President (303) 730-9994
New Frontier Energy, Inc. Provides Slater Dome Production & Field Development Updates
March Gross Production Averaging 1.2 Million Cubic Feet per Day
| Source: New Frontier Energy, Inc.
DENVER, CO--(Marketwire - March 25, 2008) - New Frontier Energy, Inc. (OTCBB : NFEI ), a
natural resource company engaged in the exploration, acquisition and
development of oil and gas properties in the United States, announced today
that gross production at the Slater Dome CBM Field has averaged 1.2 million
cubic feet per day during the first 20 days of March 2008.
Annual gross production at the Slater Dome Field increased approximately
228% compared to fiscal year ended February 28, 2007. The increased
production at Slater Dome is primarily a result of additional recompletions
in certain older producing wells initiated during last summer and fall. New
Frontier Energy is in the final stages of bringing six of the eight new
wells drilled during 2007 into production. Once regulatory approval to
operate additional compression equipment at the Slater Dome Field is
received, production from the new wells will begin.
"The Rex West pipeline which began transporting natural gas east to
Missouri in January 2008 was an important step towards increasing the take
away capacity for Rocky Mountain Gas," said Paul Laird, President of New
Frontier Energy, Inc. "During March we averaged $8.00 per MCF at the well
head. The effect of the Rex West on our gas market has become evident; our
average sales price realized for the quarter ended February 29, 2008 was
$6.36 per MCF representing a 20% discount to the average Henry Hub price
for that period, compared with a 55% discount during the previous nine
months. We are optimistic that the improved pricing environment will
increase cash flow, shorten payback periods, and eventually allow us to
accelerate our development efforts."
"Over time, improved pricing will become a true catalyst for regional
producers to unlock the tremendous natural gas reserves present within the
Rocky Mountain region; thereby, moving the U.S. towards energy
independence," concludes Paul Laird.
About New Frontier Energy, Inc.
Based in Denver, CO, New Frontier Energy, Inc. is an independent natural
resource company engaged in the exploration, acquisition and development of
oil and gas properties in the United States. New Frontier Energy has
interests in three principal properties, the Slater Dome Field, located in
northwest Colorado and south central Wyoming; the Flattops Prospect located
in southwest Wyoming; and has entered into a farm-out agreement to acquire
74% working interest in the Focus Ranch Federal Unit, located in Routt
County Colorado adjacent to and southeast of the Slater Dome Field.
New Frontier Energy is focusing on expanding CBM gas production at the
Slater Dome Field, and exploring the adjacent Focus Ranch Unit and Flattops
prospects. The Slater Dome Field is a coal bed methane development project
located in the Sand Wash Basin or Atlantic Rim area near the Colorado and
Wyoming border, and is a sub-basin of the Greater Green River Basin. The
company owns the general partnership interest and a majority of the limited
partnership interests in an 18-mile gas gathering line that delivers gas
from the Slater Dome Field to a transportation hub. New Frontier Energy's
common stock is listed on the over the counter bulletin board under the
symbol "NFEI." Additional information about New Frontier Energy, Inc. can
be found at the Company's website www.nfeinc.com.
Forward-looking Statements
The statements contained in this press release which are not historical
fact are forward looking statements that involve certain risks and
uncertainties including, but not limited to, decreases in prices for
natural gas and crude oil, unexpected decreases in gas and oil production,
the timeliness, costs and success of development activities, unanticipated
delays and costs resulting from regulatory compliance, and other risk
factors described from time to time in the Company's periodic reports filed
with the Securities and Exchange Commission. No assurances can be given
that these statements will prove to be accurate. A number of risks and
uncertainties could cause actual results to differ materially from these
statements. While these forward-looking statements, and any assumptions
upon which they are based, are made in good faith and reflect our current
judgment regarding the direction of our business, actual results will
almost always vary, sometimes materially, from any estimates, predictions,
projections, assumptions or other future performance suggested herein.
Except as required by applicable law, including the securities laws of the
United States, we do not intend to update any of the forward-looking
statements to conform these statements to actual results.