Matrix acquires Las Cienegas Field

Santa Barbara, CA

Matrix announces the pending closing of the acquisition of its interest in the Las Cienegas Field interest of a 17 % working interest from Phillips Petroleum. The interest had been held by BridgeMark Energy in recorded title since October 1999 as the former partner of JJ Production in the initial acquisition of the interest from Phillips. The working interest is to be transferred to Matrix in October with the filing of all title documents in Los Angeles County. The interest was purchased with an effective date of October, 1, 1999 for $700,000 and adds reserves of 900,000 barrels to Matrix at current oil prices of $22 dollars WTI. The project adds approximately 200 barrels of production per day from 39 producing wells of oil equivalent and natural gas production to Matrix. The property with 3 production sites to the interest of Matrix has many infill drill opportunities and is operated by BSI based in Ventura, CA.