North American Energy Resources, Inc. reports that, in its initial recompletion of a well in Washington County, Oklahoma, its initial production was at a rate of 24 bo/d. However, the company fully expects production to fall and begin producing at a sustainable rate of 3-5 bo/d which is in line with the other wells on the Steeler Lease.

Recompletion costs were less than $10,000 and, at current oil prices, the well will pay for itself in less than 90 days.

"We are optimistic about our first recompletion effort. If we can fully implement our business strategy, we have over 400 wells that can be re-entered within a two mile radius of our pipeline. This could represent significant cash flow to our company with little financial risk," stated Ross Silvey, President.