NATCHEZ, Miss., Nov. 3, 2016 /CNW/ -- KFG Resources Ltd.,
President, Robert A. Kadane, stated
that its subsidiary, KFG Petroleum Corporation, Natchez, MS, is in the process of attempting
to fund its drilling and development program. The current
environment is extremely difficult and it may be the first quarter
of 2017 before sufficient drilling funds have been raised to
protect the Company's cash position.
The Company has one, possibility two, development wells to drill
in Mississippi, but currently,
partners and mineral interest owners don't want to drill and sell
the oil at current prices, but will be agreeable in the
$60/bbl range. The Company has
assembled two wildcat acreage blocks in Mississippi, but to date, the Company hasn't
been able to raise enough capital to justify the dry hole risk
involved. The fact that most operators only have yearend
budgets and can't project reliable cash flow in the near future,
because of fluctuating oil prices, makes planning difficult but KFG
is pursuing all leads.
KFG would like to acknowledge our new director, Giacomo Grassi, for the work he has done on the
Company's new website at kfgresourcesltd.ca.
The Company's common shares are listed on the TSX Venture
Exchange, Vancouver, B.C. trading
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
SOURCE KFG Resources Ltd.