POWDER RIVER BASIN GAS CORP., (OTCBB: PRVB)

Editors Note:

We recently brought you a profile (click here) on PRVB and they have news today that might be of interest to you, our readers. At Stockupticks, we like it when companies are executing their business plan. Powder River has only been in business for eight months, yet they've capitalized on opportunities and made the tough decisions that enable growth.

PRVB recently moved its headquarters to Denver, Colorado to be closer to its drilling operations in Wyoming.  It also added a new CEO and president, Alex B. Campbell, on July 17th. Only weeks before, there was a new gas field discovery in Wyoming and PRVB has already established an alliance with the company that is set to develop that field. 

The story at the center of PRVB appears to be the experience of its management.  Naturally, management at PRVB makes the case for valuation based on market capitalization and the strength of its asset base as its cornerstone. In either case,  management has been down the "risk-portfolio, company-building" road before. 

Founder Alan Edgar took privately-held gas exploration company Pontotoc Gas Corp. from the early development stage to a $200 million sale to privately-held Ascent Corporation.  The new PRVB CEO, Alex Campbell, also has experience developing an acquisition target in the ever-consolidating oil services sector.  He was instrumental in the sale of Aspect Corporation to Samedan, a subsidiary of Noble Energy, Inc. (NYSE: NBL).

A brief biography of these three PRVB executives follows the news release below ... 

*** TODAY'S NEWS FROM PRVB ***

Wednesday July 31, 1:13 pm Eastern Time 

Press Release

SOURCE: Powder River Basin Gas Corp. 

Powder River Basin Gas Corp. to Acquire CKG Energy's Wyoming Operations

DENVER--(BUSINESS WIRE)--July 31, 2002--Powder River Basin Gas Corp. (OTCBB:PRVB - News) announced today that it has signed a "letter of intent" to acquire all of CKG Energy's oil and gas holdings in Wyoming for Powder River Basin Gas Corp. (OTCBB:PRVB - News) stock. 

This acquisition includes several operating wells in the Lance Creek Field and over 6000 acres of leaseholds in Niobrara County, Wyoming. Current production from three existing wells amounts to approximately 30 bpd of oil and enough net gas to run the equipment. 

"The Lance Creek Field has tremendous 'workover' potential at nominal cost and the 3 existing wells could be producing over 150 bpd of oil within the next 30 days with other sites to drill, test and complete," said Powder River Chairman, Greg Smith. "We now have 100% working interest in over 20,000 acres of producing properties in the Powder River Basin and Eastern Wyoming," Smith also said. 

About Powder River Basin Gas Corp. 

Powder River Basin Gas Corp. is an exploration, development and production company engaged in the evaluation and development of coal-bed methane ("CBM")
reserves as well as shallow oil reserves within the Powder River Basin in Wyoming. The Company's focus is to obtain leasehold interest in acreage within the Powder River Basin that is in proven geologic settings (known productive coal seams) and is adjacent or near developed leases, which are held by larger CBM developers and operators such as Devon Energy (NYSE:DVN - News), Western Gas Resources (NYSE:WGR - News), Williams Companies (NYSE:WMB - News), Phillips Petroleum (NYSE:P - News), J.M. Huber and others. This close proximity to other operators allows PRVB to benefit from the established infrastructure of gathering systems, pipelines, electricity sources, roads, etc. In addition, PRVB can benefit from the dewatering of the coals that has already occurred by the offset operators, which help to reduce the company's water disposal costs. The Company's geologic and engineering focus is concentrated on the commercial development of natural gas from four or five different coal seams in various leases in and around the Sheridan and Gillette areas. In addition, the company has identified the potential of shallow oil reserves (at a depth of 600 to 800 feet) on several of their leases and will pursue commercialization of these assets. 

Forward-looking statements contained in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Certain important factors could cause results to differ materially from those anticipated by some statements made in this release. You are cautioned that all forward-looking statements involve risks and uncertainties. Among the factors that could cause results to differ materially are the following: lack of availability of financing; inability to control costs or expenses; success rates for exploratory drilling for oil and gas, transportation problems; and lack of market acceptance of the Company's products, etc. Reference is also made to the risk factors contained in the Company's Registration Statement on Form S-3, which are incorporated herein by reference. 

For additional information on Powder River Basin Gas Corp. go to: powderriver-gascorp.com. 

Contact: 

     The Franklin Group
     Jay Shrewder, 888/743-2165
     Fax: 512/857-0124
     www.tfg1@cox.net
 

*** MANAGEMENT BIOGRAPHIES ***

ALEX B. CAMPBELL 

Mr. Campbell has over 20 years development experience as a principal with oil and gas companies, including LaTex Energy, Aspect Energy and Aspect Resources. Most recently, he and his partners built a "developmental energy company," Aspect Resources, into a $200 million entity that was sold to Samedan Oil Corporation, a subsidiary of Noble Energy, Inc. 

GREGORY C. SMITH 

Mr. Smith, age 47, has been involved in the workout and structured finance business for almost 18 years. From 1996 to 1998, Mr. Smith was an independent merchant banker in the real estate industry, where he primarily acted as an investor and developer. Since 1998, he has served as President of Renaissance Companies, Inc., a privately held firm specializing in providing debt and structured finance advisory services to real estate opportunity funds,  institutional investors and developers. Previous experience includes work in the commercial real estate field as both a principle and advisor and the financing and ownership of oil and gas properties in Texas and Oklahoma. Currently, Mr. Smith also serves as a Special Consultant to Fossil Bay Resources, a junior oil and gas company listed on the CDNX. Mr. Smith holds a Bachelor of Science in Business from The University of Nevada. 

ALAN L. EDGAR

Mr. Edgar, age 54, has been involved in energy related investment/merchant banking and equity analysis for almost 30 years. Since 1998,  Mr. Edgar has served as President of Cochise Capital, a privately held investment bank specializing in independent exploration and production related mergers and acquisitions advisory and financing. Previous public company mergers and acquisitions, investment/merchant banking and energy financing positions include serving as Managing Director and Co-Head of the Energy Group of Donaldson, Lufkin & Jenrette Securities, Inc., (Credit Suisse First Boston Corporation) from 1990 to 1997; as Managing Director of the Energy Group of Prudential- Bache Capital Funding from 1987 to 1990 and as Corporate and Research Director of Schneider, Bernet & Hickman, Inc. (Thompson, McKinnon) from 1972 through 1986. Mr. Edgar has an MBA from Southern Methodist University and a Bachelor of Economics from Monash University, Melbourne, Australia.
 
 

*** ABOUT PRVB ***

Powder River Basin Gas Corporation is an exploration, development and production company engaged in the evaluation and development of coal-bed methane ("CBM") reserves as well as shallow oil reserves within the Powder River Basin in Wyoming. The Company's focus is to obtain leasehold interest in acreage within the Powder River Basin that is in proven geologic settings (known productive coal seams) and is adjacent or near developed leases, which are held by larger CBM developers and operators. 

This close proximity to other operators allows PRVB to benefit from the established infrastructure of  gathering systems, pipelines, electricity sources, roads, etc. In addition, PRVB can benefit from the dewatering of the coals that has already occurred by the offset operators, which help to reduce the company's water disposal costs. The Company's geologic and engineering focus is concentrated on the commercial development of natural gas from four or five different coal seams in various leases in and around the Sheridan and Gillette areas. In addition, the company has identified the potential of shallow oil reserves (at a depth of 600 to 800 feet) on several of their leases and will pursue commercialization of these assets. 
 
 

*** CONTACT ***

Powder River Basin Gas Corp.
511 16th Suite 302
Denver, CO 80202

Please Contact:

Jay Shrewder
888-743-2165
tfg1@cox.net

Corporate  Web Site: http://www.powderriver-gascorp.com

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