Press Releases
June 19, 2008
Miller Petroleum Partners with Atlas America for Gas Exploration
and Drilling
Settles Claims with Wind City
HUNTSVILLE, Tenn., June 19 /PRNewswire-FirstCall/ -- Miller Petroleum,
Inc. (Pink Sheets: MILL.PK) today announced that it had entered
into a
transaction with a subsidiary of Atlas Energy Resources, LLC (NYSE:
ATN)
whereby Miller has assigned to Atlas (i) a 100% working interest
and 80%
net revenue interest in its oil and gas leases comprising 27,620
acres in
Koppers North and Koppers South in Campbell County, Tennessee; (ii)
a 100%
working interest in eight existing wells on the Koppers acreage;
and (iii)
a 100% working interest and 82.5% net revenue interest in oil and
gas
leases comprising of 1,952 acres adjacent to the Koppers acreage.
Deloy Miller, Chairman and Chief Executive Officer of Miller,
said,
"This is a momentous deal for Miller shareholders and a tremendous
time to
be in the oil and gas exploration and drilling business. We're very
excited
about the opportunity to partner with Atlas, which is one of the
leading
oil and gas exploration and drilling companies in the United States."
The agreement with Atlas also provides for Miller, at its option,
to
participate in up to ten wells to be drilled on the assigned acreage
at up
to a 25% working interest. In addition, Miller and Atlas entered
into a
two-year drilling contract, with Miller acquiring two rigs to drill
wells
for Atlas in Tennessee.
Miller and Atlas also entered into a natural gas transportation
agreement; and a natural gas processing agreement pursuant to which
Atlas
will, for a fee, provide transportation and natural gas processing
services
to Miller and deliver back to Miller natural gas with a heating
value of
1,100 BTUs per cubic foot.
Settlement with Wind City
Miller settled all claims in Tennessee and New York with Wind
City Oil
& Gas LLC and affiliates in exchange for a payment to Wind City
of $10.6
million, Wind City and/or its affiliates returned to Miller all
leases
previously assigned by Miller as well as the 2,900,000 shares of
Miller
common stock previously issued to Wind City.
About Miller Petroleum
Miller is an oil and gas exploration and production company actively
engaged in the exploration, development, production and acquisition
of
crude oil and natural gas primarily in eastern Tennessee.
About Atlas
Atlas Energy Resources, LLC develops and produces domestic natural
gas
and to a lesser extent, oil. Atlas Energy is one of the largest
independent
energy producers in the Appalachian Basin and northern Michigan.
Atlas
Energy sponsors and manages tax-advantaged investment partnerships,
in
which it co- invests, to finance the exploration and development
of its
acreage in the Appalachian Basin. Atlas Energy is active principally
in
Pennsylvania, Michigan and Tennessee. For more information, visit
Atlas
Energy's website at http://www.atlasenergyresources.com or contact
Investor
Relations at bbegley@atlasamerica.com .
SOURCE Miller Petroleum, Inc.
Forward-looking statements made in this release
are made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Investors are cautioned that all
forward looking statements involve risk and uncertainties which
may cause actual results to differ from anticipated results, including
risks associated with the timing and development of the company's
reserves and projects as well as risks of downturns in economic
conditions generally, and other risks detailed from time to time
in the company's filings with the Securities and Exchange Commission.
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