Matrix acquires Yowlumne Field

Bakersfield, CA

Matrix announces the closing of the acquisition a portion of the Yowlumne Field of all interests owned by Texaco Production USA, Inc. The interest is a non-operated 15.9 % working interest in the Kern County field operated by Aera Energy. Matrix purchased the 15.9 % working interest in the Unit B of the field with approximate production of 220 barrels of oil per day to include surface fee rights to approximately 76 acres in Unit A of the property. Matrix stated that the field has projected reserves to Matrix of 180,000 barrels of oil at current oil prices ($24 dollars WTI) from the currently producing wells as purchased with an effective date of October, 1, 2000 for $500,000. The asset adds approximately $90,000 per month to the company’s cash flow. The field has both infill drilling potential and potential to cut costs of the ongoing water-flood in the field.