Rango Energy Inc. provided an update confirming that the well at Kettleman Middle Dome well (KMD 17-18), currently suspended with total drilling depth at approximately 8,000 feet, remains a viable well and that the company intends to continue operations for this well targeting the McAdams formation. Rango and Hangtown are evaluating several options on how best to proceed, pending results of subsequent wells drilled into the Temblor reservoir and the completion of financing efforts currently underway. The company is not incurring costs on KMD 17-18 while these initiatives are in process and is confident this well-bore will be commercially viable.

Simultaneously, Rango and Hangtown (the "Companies") have completed the permitting process and satisfied environmental requirements for the Elk Hills projects. The Elk Hills project targets the Sespe Sands, which are shallower wells than KMD 17-18 with estimated costs of approximately $600,000 for each well. The production profile for similar wells in the area have EUR's of 150,000 to 250,000 barrels of oil per well.

The company also reports significant progress is being made to finalize the merger with Hangtown Energy. The post-merger Company will include three previously drilled wells at KMD, which are controlled by Hangtown and awaiting completion to initiate production. The cumulative production for these wells is estimated to be between 300 and 600 BOPD.