PYR Pyr Energy Corp

DENVER, Aug. 3 /PRNewswire-FirstCall/ -- PYR Energy Corporation (AMEX:PYR) today reported an update on recent Company operations. At the Mallard prospect in Uinta County, Wyoming, drilling operations have begun on the re-entry of the #1-30 Duck Federal well. The existing well, temporarily abandoned last fall due to winter drilling restrictions, will be re-entered and drilled to a location, at total depth, approximately 1000 feet west of the surface location. It is anticipated that the well will test the southern extension of the existing Whitney Canyon field, which produces predominantly from the Mission Canyon Formation. Based on structural modeling of the initial drilling results it is anticipated by the Company, that the re-entry well will intersect the Mission Canyon Formation above the existing field gas-water contact. PYR is participating in the re-entry and drilling with a 28.75% working interest. At the Wilburton field in Latimer County, Oklahoma, BP America Inc. recently drilled and completed the Scharff #4-1 well in the Lower Atoka (Cecil) formation, which has resulted in initial production rates of up to 38 MMcf per day. Initial production has been constrained due to facility and transportation limitations. It is anticipated that these limitations will be removed in mid-August, and that the well production will increase. PYR owns a 2.42% working interest in the Scharff #4-1 well. The Company has also signed an AFE for the drilling of the Scharff #5-1 well offsetting the Scharff #4-1. PYR will participate in the drilling of this well, expected by mid-August, with a 2.42% working interest. At the Rogers Pass project in Montana, the operator of the SENGAI #14063-12 Flesher Pass well has notified the Company of its intention to plug and abandon the well. The well was drilled to a total depth of 16,000 feet. Based on drilling results from the well, the operator continues to evaluate the viability of the project. On August 1, 2005, the Company filed suit in the United States District Court for the Eastern District of Texas in Beaumont against Samson Resources Company and its subsidiary Samson Lone Star Limited Partnership to resolve its dispute with the defendant over pooling and working interest issues related to the Sun Fee #1-ST well in the Nome Field, Jefferson County, Texas. The Company will continue to vigorously pursue and defend its rights to its proportionate share of production and revenue from the Sun Fee #1-ST well with all legal avenues and remedies available. Denver based PYR Energy is an independent oil and gas company primarily engaged in the exploration for and the development and production of natural gas and crude oil. At the current time, PYR's activities are focused in select areas of the Rocky Mountain region, the San Joaquin Basin of California, East Texas, and the Gulf Coast. Additional information about PYR Energy Corporation can be accessed via the Company's web site at http://www.pyrenergy.com/. This release contains forward-looking statements regarding PYR Energy Corporation's future plans and expected performance based on assumptions the Company believes to be reasonable. A number of risks and uncertainties could cause actual results to differ materially from these statements, including, without limitation, the success rate of exploration efforts and the timeliness of development activities, fluctuations in oil and gas prices, and other risk factors described from time to time in the Company's reports filed with the SEC. In addition, the Company operates in an industry sector where securities values are highly volatile and may be influenced by economic and other factors beyond the Company's control. This press release includes the opinions of PYR Energy and does not necessarily include the views of any other person or entity. This release may not have been reviewed or approved by the operator and/ or participants in any of the projects discussed. DATASOURCE: PYR Energy Corporation CONTACT: Scott Singdahlsen, President, or Tucker Franciscus, VP, both of PYR Energy Corporation, +1-303-825-3748, or fax, +1-303-825-3768 Web site: http://www.pyrenergy.com/

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