New entity formed to preserve Los Cerritos Wetlands and consolidate existing oil fields

Beach Oil Minerals Partners has been formed to provide a "much-needed infusion of capital and resources" to ensure the success of the Los Cerritos Wetlands restoration and oil consolidation project. End Quote

Los Angeles-Long Beach, CA (1888PressRelease) April 30, 2016 - Synergy Oil and Gas, LLC, Chief Executive Officer John McKeown announced today the formation of a new entity, Beach Oil Minerals Partners, LLC, which will be responsible for overseeing the Los Cerritos Wetlands restoration and oil consolidation project.

"Creating Beach Oil Minerals Partners is critical to the success of the Los Cerritos Wetlands restoration and oil consolidation project," said McKeown, who will serve as the CEO of Beach Oil Minerals Partners. "Forming this new entity allows for a much-needed infusion of capital and resources necessary to ensure the success of this project and the sustained preservation of the wetlands."

The Los Cerritos Wetlands and Oil Consolidation Project includes three primary objectives:
*Restore the Los Cerritos Wetlands - Restore 154 acres within the currently active oil field and convey the property to the Los Cerritos Wetlands Authority for the ongoing stewardship and management of the property. Tidal exchange will be re-established through methodical grading and re-contouring of mostly disturbed uplands and unvegetated mudflats. These areas will be planted with a variety of coastal salt marsh species, thereby increasing the overall ecological function of this portion of the Los Cerritos Wetlands.
*Provide public access - Repurpose the current Bixby Ranch office building into an on-site Visitor's Center, and establish a designated trail around the perimeter of the property for passive recreational uses.
*Consolidate oil operations - Remove oil operations from the restoration area and relocate to the "Pumpkin Patch" and to a nearby storage yard owned by the "Los Cerritos Wetlands Authority". This will consolidate operations to approximately 10 acres from the current 178 acres.

Currently there are 53 wells - which are more than 50 years old - and more than 66,000 linear feet of pipeline onsite. The project will also remove approximately 95% of the above-ground pipeline immediately and all of the wells over time. The remaining 5% of above-ground pipeline will be removed over time, as the wells are removed.

Half of the existing wells will be removed within 20 years of occupancy at the Pumpkin Patch site, with the remaining wells removed within 40 years of occupancy. If the wells are not producing within 18 consecutive months of operation, this timeframe will be shortened.

"We will be utilizing new technology that is cleaner, safer and more efficient than the older technology currently in use on site," noted McKeown. "The new wells increase the time of extraction and will be located in a well cellar, below grade and unseen to passersby - unlike the 'horse heads' currently bobbing up and down now."

The public Notice of Preparation for the Environmental Impact Report analyzing the Los Cerritos Wetland Restoration and Oil Consolidation Project has recently been issued by the City of Long Beach. For more information, visit www.longbeach.gov.

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