AUSTIN, Texas, July 2, 2012 /PRNewswire/ -- Rockdale Resources Corporation (OTC BB: BBLS), an Austin, Texas-based early-stage oil development and production company, has announced that it has raised over $3 million in new equity funding in a private placement of the company's common stock.
The proceeds from the placement will be used to purchase leases and to drill the company's first oil wells at the Rockdale Field, approximately 50 miles northeast of Austin.
The company has recently completed the appointment of a new management team and board of directors consisting of individuals with extensive oil company experience. The company will focus on an aggressive drilling program of shallow, lower-risk developmental oil wells in Texas.
"We are very excited about the opportunities available to Rockdale Resources Corporation at the Rockdale Field," stated Michael D. Smith, company president. "The field has a long history of success, and the development of new technology in recent years has introduced the potential for what we believe will be enhanced oil recovery and value creation for our shareholders. The potential number of wells that could be drilled in this field could be quite large and allow for many years of drilling activity."
The company plans to utilize recent innovations such as fracing and pressurization of the wells to increase production rates, slow decline curves and expand the ultimate amount of oil recovered in each new well. The field has a history of relatively low risk oil production with a long life span for each well.
Rockdale is initially acquiring rights on a 500 acre lease and plans to drill five new wells on the lease. The Company plans to expand its lease position and drilling schedule.
The Railroad Commission of Texas has approved at the Rockdale Field the drilling of one well per two and a half acres, or 40 new wells per 100 acres, with the possibility of even tighter spacing in the future.
About Rockdale Resources Corporation
Rockdale Resources Corporation is a domestic oil exploration and production company. Rockdale focuses on new oil wells in established areas of oil production. The company plans to use state of the art technology to maximize production and to identify areas with the greatest potential. The company's core area of operations is in the Minerva-Rockdale Field in Rockdale, Texas, which has produced over 7 million barrels of oil since its first wells were established in 1921. Rockdale's corporate offices are located in Austin, Texas.
This press release may contain forward-looking statements. Actual results could differ materially from a conclusion, forecast or projection in the forward-looking statement. Certain material factors or assumptions were applied in drawing a conclusion or making a forecast or projection in the forward-looking statement.
Web Site: http://www.rockdaleresources.com
SOURCE Rockdale Resources Corporation