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ADB Admiral Bay Resources Inc.

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Share Name Share Symbol Market Type
Admiral Bay Resources Inc. TSXV:ADB TSX Venture Common Stock
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 0 -

Admiral Bay Resources Announces Acquisition of Additional Interest in the Thayer Project in Kansas

11/05/2009 4:00pm

Marketwired Canada


Admiral Bay Resources, Inc. (TSX VENTURE:ADB) announces today it has acquired
280 net acres and three wells adjacent to its Thayer Project for $100,000 (US)
from a third party. The wells presently sell into the Thayer gathering system
and are capable of producing over 80 MMCFGPD and have one proven undeveloped
drilling location based on Company estimates.


Related to its previously announced acquisition of the Thayer Project, the
Company has entered into a swap agreement for 60 MMCFG per month with a $5.107
swap price at the Southern Star index beginning June 2009 thru December 2010.
The Company also sold calls on 60 MMCFG per month at $8.00 NYMEX from January
2011 thru April 2012. These new hedges combined with the Company's existing
costless collar for 60 MMCFG per month with a $5.50 floor and $9.00 ceiling at
the Southern Star index that run thru March 2010 cover over 80% of the Company's
gross sales proforma for the Thayer Project acquisition and provide a
stabilizing effect to the Company's near-term cash flow at prices well in excess
of the current spot prices in its market area.


In addition, the company has reduced salaries for all field staff and middle
management by 10% and senior management by 20% until the market fundamentals
improve. 


Admiral Bay Resources Inc. (www.admiralbay.com) is an emerging unconventional
gas production company focused on the development of projects in the Cherokee
Basin in southeast Kansas and the Appalachian Basin in Pennsylvania. Admiral Bay
is listed on the TSX Venture Exchange under the symbol ADB.


Statements in this release that are not historical facts are "forward-looking
statements" within the meaning of the U.S. Private Securities Litigation Reform
Act of 1995. Readers are cautioned that any such statements are not guarantees
of future performance and that actual developments or results may vary
materially from those in these "forward-looking statements".


1 Year Admiral Bay Resources Inc. Chart

1 Year Admiral Bay Resources Inc. Chart

1 Month Admiral Bay Resources Inc. Chart

1 Month Admiral Bay Resources Inc. Chart