-- Crude Oil Production Increases 312% to 10,883 Tons in Q3'07 --
LOS ANGELES and SONGYUAN, China, Oct. 10 /Xinhua-PRNewswire-FirstCall/ -- China North East Petroleum Holdings, Limited (OTC Bulletin Board: CNEH), a leading oil producing company in Northern China, today announced preliminary results for third quarter oil production.
Driven by increased capacity from new wells, crude oil production for the quarter ended September 31, 2007 increased 8,245 tons, or 312%, to 10,883 tons compared to 2,638 tons for the quarter ended September 31, 2006. On a sequential basis, production increased 2,518 tons, or 30%, compared to the quarter ended June 30, 2007. The quarter-to-quarter growth primarily benefited from the introduction of improved extraction methods and high-tech applications in older wells.
Mr. Hongjun Wang, President of China North East Petroleum commented, "We are extremely pleased to report another quarter of continued growth for our business. Moving forward, we plan on expanding the scope of our overhaul of extraction methods to existing wells. As witnessed from successful implementation of these high-tech extraction applications in Q3, we are confident further enhancement will greatly improve future efficiency and earnings ability."
About China North East Petroleum Holdings, Limited
China North East Petroleum Holdings Ltd (OTC Bulletin Board: CNEH) is engaged in the production of crude oil in Northern China. CNEH has a guaranteed arrangement with Jilin Refinery of PetroChina to sell its produced crude oil for use in the China marketplace. The Company currently operates 4 oilfields with 110 producing wells in Northern China and estimates generating approximately average 1,600 barrels of high quality crude oil per day. Further well drilling project has been planned in future.
Special Note Regarding Forward-looking Statements
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts, included or incorporated by reference herein relating to management's current expectations of future financial performance, continued growth, changes in economic conditions or capital markets and changes in customer usage patterns and preferences are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.
Words or phrases such as "anticipates," "may," "will," "should," "believes," "estimates," "expects," "intends," "plans," "predicts," "projects," "targets," "will likely result," "will continue" or similar expressions identify forward-looking statements. Forward-looking statements involve risks and uncertainties which could cause actual results or outcomes to differ materially from those expressed. We caution that while we make such statements in good faith and believe such statements are based on reasonable assumptions, including without limitation, management's examination of historical operating trends, data contained in records and other data available from third parties, we cannot assure you that our projections will be achieved.
For more information, please contact:
China: Dio Zhang
Chief Financial Officer
Tel: +86-43-8216-5055
Email: cnehmail@gmail.com
United States: Chao Jiang
Director of Finance
Tel: +1-626-378-9097
Email: jiangcneh@gmail.com
