Compass Resources Corp.

Houston-based Compass Resources Corp. has retained Meagher Oil & Gas Properties Inc. to sell interests in the Mowry shale play in the Powder River and Green River basins in Wyoming. The package includes a 55% working interest (44.5% net revenue interest) in 80,080 gross acres (40,041 net) in Carbon, Converse and Natrona counties. The leases are long term on 76% federal lands, 12% state lands and 12% fee lands and cover all depths. The play involves a developing horizontal oil play in multiple formations. The primary target formation is the lower cretaceous Mowry shale. Other conventional and unconventional target formations include the Niobrara, Frontier, Muddy, Dakota, Sundance, Tensleep and Madison. Two wells have been drilled. Ferris #1-1H is on Section 1-T25N-R87W on a 639-acre spacing unit and produces five barrels of oil per day. McKenzie #1-7H is on Section 7-T35N-R78W on a 628-acre spacing unit and also produces five barrels of oil per day. Compass is operator. Early results indicate development potential with improved completion techniques. The bid due date is Nov. 21. The effective date is Dec. 1. The closing is scheduled for Dec. 22. Contact Julia Foster, 303-721-6354, ext. 229.