PARTICLE DRILLING TECHNOLOGIES ANNOUNCES RESULTS OF IN-HOUSE TESTING OF ITS PARTICLE INJECTION SYSTEM; EXTENDS CONTRACT & BEGINS PLANNING THE NEXT COMMERICAL TRIAL
Houston - February 20, 2008 – Particle Drilling Technologies, Inc. (NASDAQ: PDRT) (the
“Company”) today announced that modifications to its particle injection system have
substantially improved the particle injection rate. The modifications to the injector have
increased the injection rate from 8 gallons per minute (gpm) to 14 gpm. This commercial
injection rate was only recently achieved and management intends to continue component
calibration in order to provide a broader range of particle injection capability. To date, the
Company has logged meaningful hours on the particle injection system and will continue to log
additional hours leading up to the next field trial.
As the Company accumulates more time on the system, it can better determine component wear
patterns and formulate preventative maintenance schedules.
Jim B. Terry, President and CEO, Particle Drilling Technologies, commented, “During the last
few weeks of working with this new injection system, we have struggled more than anticipated
with some of the system components and with the start up of our new high pressure flow test
loop. We have now solved many of the unanticipated issues that have been detected during the
testing program.
“While I’m not completely satisfied with our progress, I am satisfied that this system design is
the right solution for the particle injection component of the PID system. The majority of the
components that make up the new particle injector are proven and mature in their own right but
few have ever been combined with each other and in some cases, never been applied to an
injection application. The number of third party supplied components that have given us trouble
and the amount of time required to get resolution has been frustrating but I feel like most of that
is behind us now.
“I remain committed to getting to the next trial as soon as possible but not before I am
reasonably satisfied that we can continue improving on our past performance. We have
improved our drilling performance sequentially from well one through four and we will not go to
the next well until we are convinced we have our best shot at continuing that trend to first
revenue.”
About Particle Drilling Technologies, Inc.
Particle Drilling Technologies, Inc. (NASDAQ: PDRT) is a development-stage oilfield service
and technology company commercializing its patented and patent-pending Particle Impact
Drilling system. The company’s technology is designed to enhance the rate-of-penetration
function in the drilling process, particularly in hard-rock environments. It is headquartered in
Houston, Texas. For more information, visit: www.particledrilling.com.
Safe Harbor Statement
Certain statements in this press release that are not historical but are forward-looking are subject to known and unknown risks and uncertainties, which may cause PDTI's actual results in future periods to be materially different from any future performance that may be suggested in this press release. Such risks and uncertainties may include, but are not limited to, PDTI's need to raise equity capital and its ability to obtain equity financing on acceptable terms, if at all, a severe worldwide slowdown in the energy services sector and working capital constraints. Further, PDTI is a development stage company that operates in an industry sector where securities values are highly volatile and may be influenced by economic and other factors beyond PDTI's control such as announcements by competitors and service providers.
Contacts:
J. Chris
Boswell, SVP & CFO Particle Drilling Technologies,
Inc. 713-223-3031 ext. 2085
Ken Dennard, Managing Partner Jack Lascar, Partner
DRG&E / 713-529-6600
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