Xun Energy, Inc. and its subsidiaries (the "Company") primarily are engaged in the acquisition of producing or near producing oil and gas properties and the development of these oil and gas properties. The Company will acquire
producing or near producing oil and gas properties that which produces cash flow and upside development. Such activities are concentrated in North America onshore, primarily in the United States.
Xun Energy recently acquired 30 oil and gas well locations in Pennsylvania where it plans to drill and produce oil. If successful in completing development of these 30 wells within the next 24 months, Xun has an option for an additional
15 well locations. The success of these wells is dependent upon the success of the Company obtaining funding to drill and complete the wells.
Currently Xun Energy is scouting and evaluating properties in Texas, Oklahoma, Pennsylvania, Kansas and in Canada.
Xun Energy was incorporated on December 20, 2007 in the State of Nevada. Xun is a development stage company, and to date has earned limited revenue and currently does not have any significant assets.
Xun Energy common stock trades on the Over-the-Counter-Bulletin Board under the symbol ("XNRG").
Xun Energy's focus is to generate cash flow.
Xun Energy aspires to be an independent oil and gas company in North America and to provide our shareholders with returns over the long-term. To achieve this, Xun Energy will strive to optimize our capital investments to maximize growth in cash flows, earnings, production and establish reserves. Xun Energy will do this by:
Generating cash flow,
Securing financing to acquire Xun's planned acquisitions,
Exercising capital discipline,
Ensuring financial strength, and
Investing in oil and gas properties with strong full-cycle margins.
Falls Project - Texas
Xun Energy, Inc. has entered into Letters of Intent for the acquisition of oil and gas leases in Texas, named the Falls Project.
The Falls Project consists of 24 oil and gas leases, currently generating over $75,000 per month in net profits, covering 2,680.37 acres with proven oil reserves, net 542,300 barrels of oil in the state of Texas.
In addition to the acquisition of the properties the Company plans to develop 23 new oil wells and workovers on 6 existing wells.
The Falls Project is currently producing 45 to 55 Barrels of Oil Per Day (BOPD) with an average netback of 60%, based on $95 oil, currently generating gross revenue of $130,000 per month. The completion of the 23 well drilling program and a workover program on 6 shut in oil wells projects the daily production to peak at a settled in rate of 130 to 140 BOPD in 2015, an increase of 300% over current BOPD, resulting in additional gross revenue of $269,000 per month on a decline curve of 8.1% per year. The 23 new oil wells will be drilled and completed over 14 months. The current lease operators, with combined 22 years of experience, will continue to operate and develop the oil and gas leases for the Company.
Here is a video taken during our inspection of the oil and gas leases in June 2013:
The pictures and movie below were taken during our inspection.
NOTE: This is not an asset of Xun Energy, Inc. at this time.
DISCLAIMER: THE LETTERS OF INTENT ARE NON BINDING AND SUBJECT TO FINANCING. THERE IS NO GUARANTEE THAT THE COMPANY WILL BE APPROVED OR CLOSE ON THE FINANCING OR CLOSE ON THE ACQUSISITION OF THE PRODUCING OIL AND GAS LEASES. DISCLAIMER: SUBJECT TO SAFE HARBOR CLAUSE.
The statements contained in our website may not be historical fact, are forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995), within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The forward-looking statements contained herein are based on current expectations that involve a number of risks and uncertainties. These statements can be identified by the use of forward-looking terminology such as “believes,” “expects,” “may,” “will,” “should,” "projects" or “anticipates,” or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties. The Company wishes to caution the reader that its forward-looking statements that are historical facts are only predictions. No assurances can be given that the future results indicated, whether expressed or implied, will be achieved. While sometimes presented with numerical specificity, these projections and other forward-looking statements are based upon a variety of assumptions relating to the business of the Company, which, although considered reasonable by the Company, may not be realized. Because of the number and range of assumptions underlying the Company’s forward-looking statements, many of which are subject to significant uncertainties and contingencies that are beyond the reasonable control of the Company, some of the assumptions inevitably will not materialize, and unanticipated events and circumstances may occur subsequent to the date of this report. These forward-looking statements are based on current expectations and the Company assumes no obligation to update this information. Therefore, the actual experience of the Company and the results achieved during the period covered by any particular forward-looking statements may differ substantially from those projected. Consequently, the inclusion of forward-looking statements should not be regarded as a representation by the Company or any other person that these estimates and projections will be realized. The Company’s actual results may vary materially. There can be no assurance that any of these expectations will be realized or that any of the forward-looking statements contained herein will prove to be accurate. There is no guarantee that the Company will close on the financing or close on the acquisition of the producing oil and gas leases.