Heartland Energy Development Corporation has expanded its drilling operations to include a 100 percent interest in the Cerda #1 natural gas well in Jim Hogg County, Texas.

The well is located adjacent to the Northeast Thompsonville Field, which is the largest Wilcox gas field in the state. According to a survey performed by the Texas Economic Geology Commission, the field produces more than 650 CBF of gas with a total 850 EUR. HEDC currently has 860 acres under lease, with an option to lease an additional 800 acres directly from the property owner. The company is collecting 3D seismic data to determine the field's long term potential.

HEDC also has a working interest position in the Margo Heirs Field in Starr County, Texas. The company has participated in drilling Margo Heirs wells 1-4, and plans to participate in the drilling of two more wells during the first half of 2009. The field's primary output comes from the Vicksburg series sands at 6,500 to 8,000 feet in depth. For the past six months, the average output of gas for the first four wells has remained steady at 10 MMcfd (Millions of cubic feet per day). Well #2 is especially productive, yielding more than 10 MMcfd with 200 BCPD (billion cubic feet per day).

In Fall 2008, HEDC participated as a non-operating working interest holder in the Xtreme Oil Creek well 1-19s in McClain County, Oklahoma. The well was drilled to 8,500 feet and completed in the 1st Bromide sand target with an initial production rate exceeding 80 BOPD (Barrels of Oil Per Day).

Tags: Heartland Energy Development Corporation