Wedgemount Resources to Acquire Oil and Gas Assets in West Texas Permian Basin

Vancouver, BCWedgemount Resources Corp. (CSE: WDGY)(OTCQB: WDGRF) (“Wedgemount” or the “Company”), is pleased to announce that it has entered into an assignment of a non-binding letter of intent (“LOI”) for the purchase of oil and gas assets (the “Assets”) located in the prolific Permian Basin from West Texas. The Letter of Intent is with a private, arm’s length corporation (the “Seller”) located at Texas, United States. The transferor is a private company also located in Texas which provides oilfield and consulting services (the “Transferor”).

Strong points:

Build new light oil focused Permian Basin oil and gas opportunity with current production, cash flow and significant growth potential

Minimum capital requirements to significantly increase current production

Stable low-decline production base with low operating costs

Potential for activation and optimization of previously shut down natural gas production

Shallow secondary target identified in an undeveloped channel sand formation accessible by conventional drilling

In partnership with locals Texas Turnkey oil services operator with over 20 years of experience, including direct experience on target assets

Significant opportunity to add more assets in the immediate area

Wedgemount will acquire a 100% working interest in 640 acres comprising five leases, eleven producing wells and all surface facilities. Current production from the eleven wells totals 25 barrels of oil per day of high quality, low decline mined production. The geology of the area is made up of numerous hydrocarbon-producing formations that will be targeted by the Company. The acquisition demonstrates the flexibility of Wedgemount’s business strategy to target high quality assets in safe natural resource jurisdictions.

“This is an important step towards Wedgemount’s goal of being a sustainable natural resources company,” said Marc Vanry, CEO of Wedgemount. “The assets have tremendous production potential, including low-cost optimization of existing wells, new vertical and horizontal wells, targeting of underdeveloped areas and implementation of secondary flood recovery. In addition to add the assets to our portfolio, we establish a strategic relationship with an exceptional technical and commercial partner in Texas which provides us with a “one stop shop” for petroleum services, technical expertise and, most importantly, local relationships and experience. »

Terms of purchase

In consideration for the purchase of the assets, Wedgemount will pay the Seller $1.5 million. The purchase is subject to the completion of due diligence by Wedgemount, the execution of a definitive agreement and the receipt of all necessary regulatory approvals. The Company expects to finance the acquisition through cash on hand and a private placement of equity securities. Wedgemount expects to complete the proposed transaction before the end of 2022.

About Wedgemount Resources Corp.

Wedgemount Resources is a junior natural resource company focused on maximizing shareholder value through the acquisition, discovery and advancement of natural resource projects in North America.



Marc Vanry

President and CEO

Phone: (604) 343-4743

E: [email protected]


This press release may contain statements that constitute “forward-looking information”, including statements regarding the plans, intentions, beliefs and current expectations of the Company, its directors or officers regarding the future business activities of the society. The words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” and expressions similar, with respect to the Company, or its management, are intended to identify such forward-looking statements. Forward-looking statements made in this press release include the expected completion of the Acquisition and the proposed timing thereof, the anticipated benefits of the Acquisition, the potential for gas production and production from additional areas on the assets, and potential additional acquisition opportunities in the area of ​​the Assets. Investors are cautioned that these forward-looking statements are not guarantees of future business activities and involve risks and uncertainties, and that the future business activities of the Company may differ materially from those contained in the forward-looking statements due to various factors. , including, but not limited to, the availability of funds, personnel and other resources necessary to conduct exploration or development programs, the successes of the Company’s exploration efforts, the availability of capital and financing and general economic, market or business conditions. There can be no assurance that such information will prove to be accurate and, therefore, readers are urged to rely on their own assessment of such uncertainties. The Company undertakes no obligation to update forward-looking information except as required by applicable securities laws.

Neither the Canadian Stock Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

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