GMX Resources Inc. (GMX) has agreed with PVR East Texas Gas Processing LLC, a subsidiary of Penn Virginia Resource Partners, to process all of its natural gas produced from wells jointly developed with Penn Virginia Oil & Gas LP located in Harrison and Panola counties in East Texas. GMX estimated that processing revenues on the associated natural gas production will increase the current average sales price by approximately $1.20/MMBtu and said it expects a potential $4.5 million revenue increase for FY2008 at current commodity prices. Processing is expected to begin no later than March 1. GMX will gain access for its residue gas to additional pipelines serving the Perryville Hub. GMX said it is negotiating a similar processing agreement to cover the balance of its production in its core area. GMX also said it has finalized a definitive agreement for a proposed acquisition of approximately 3,200 gross (3,000 net) acres of undeveloped leases in Harrison County, TX, increasing its overall net acreage by 18% and operated acreage to 65%.

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