2008-10-21-2008-10-17-2008-10-17

Purchased 1,900 bolt-on acres in Chavez Co., NM, gaining 24 MMBO in place.

Enhanced Oil Resources Inc., Houston, (Toronto Venture: EOR) has acquired approximately 1,900 acres of productive land in New Mexico from an undisclosed seller for $436,000. The assets are in Chavez County and are adjacent to the company's Milnesand San Andres unit. The acres cover the southern limits of the Milnesand San Andres oil field. Reserves are approximately 24 million barrels of oil in place according to the company. Enhanced Oil's total production is now 190 barrels oil per day. Enhanced Oil president and chief executive Barry Lasker says, "Enhanced Oil Resources is pleased to add the final piece of the Milnesand Field to our stable of enhanced oil recovery targets at a very reasonable price. Success at our ongoing Milnesand CO2 pilot flood should allow the company to book additional proved undeveloped reserves to our resource base."