Mesa Energy reports that testing and evaluation has been completed on the IP #1 well in Hancock County, Mississippi. The well flowed at a rate of approximately 350 barrels of fluid per day with an average oil cut of 10% to 12%. Upon completion and installation of facilities, the produced salt water will be re-injected into an up-hole zone with net oil production expected to be 30 to 40 barrels per day. Mesa owns 100% of the working interest in the well.

The current status of Mesa’s other properties is as follows:

Coal Creek Project - Sequoyah County, Oklahoma - After the successful testing of the Cook #1 gas well (the well was tested on May 13, 2008, and flowed 900 thousand cubic feet per day on a 32/64ths choke), final construction was initiated on approximately three miles of pipeline which will connect the Cook #1 and future wells to an Arkansas Oklahoma Gas Company (AOG) sales line. A portion of the new line has been completed with final construction and hook-up to occur as soon as final permits are received. In addition, a rig has been scheduled for early 2009 to drill and complete the Gipson #1, a direct offset to the Cook #1. The Gipson #1 will be drilled to a total depth of approximately 3,500’ to test the Brent Sand as well as the Hunton, a productive gas zone in the area. Main Pass 35 Project, Plaquemines Parish, Louisiana - The rehabilitation of the processing facility is approximately 95% complete. The facility is expected to be operational in a matter of weeks with full production to begin in early 2009. A third party report dated February 15, 2008, estimates the un-risked reserves to Mesa’s net working interest to be approximately 468,000 BOE (168,000 BOE Proved).

Frenchy Springs Project, Johnson County, Wyoming - The Frenchy Springs #23-22 well has been plugged and the lease has been allowed to expire.

Randy M. Griffin, Mesa’s Chief Executive Officer, stated: “Although we are disappointed with the outcome of the Frenchy Springs Project, we are pleased with the progress of our other projects and look forward to commencement of production in these fields very soon.”

Tags: Mesa Energy