Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Elk Petroleum Appoints New Chief Executive Officer To Drive Growth

Enhanced oil recovery player Elk Petroleum (ASX: ELK) has appointed oil and gas veteran Dr. J. Scott Hornafius as its chief executive officer.

He succeeds Robert Cook in the role, who will remain as the managing director until the end of the year to support Hornafius.

He brings a mix of leadership, financial and technical expertise, management expertise, especially in business development and funding, and entrepreneurship - building a private company with joint venture partners from seed capital to a disposal value of more than $100 million.

Hornafius spent 16 years in various technical and management roles with Mobil in the U.S., PNG and U.K. before leaving in 2000 to found MegaEnergy, which developed a 100,000 acre position over the Marcellus shale gas play in the Appalachian Basin.

As President of MegaEnergy, he formed successful joint ventures with a number of major companies and was responsible for play identification, land acquisitions, drilling and development programs.

He also arranged a major funding program for MegaEnergy's programs and between 2007 to 2011, closed asset divestments and farmout agreements worth over $100 million.

Hornafius has built and maintains a wide range of senior level relationships and is well-respected across the petroleum, resources and financial sectors in the U.S., Australia and internationally.

He is a founding Director of Canning Petroleum Pty Ltd, which now holds very large onshore permit areas in Australia.

"Elk's board is pleased to welcome Scott as CEO. He has a proven strong drive to succeed and sees great potential and value in Elk's current assets, forward strategy and niche," chairman Dr Neale Taylor said.

"His experience will be a big benefit as Elk looks to bridge the gap from now to material cash flow from its interest in the Grieve CO2 (carbon dioxide) EOR project.

"Scott's experience in arranging funding and building new project and value growth is a major asset to us as Elk looks to build an asset base and funding for sustained growth beyond peak oil production from the Grieve CO2-EOR project".

Hornafius added: "I'm looking forward to building on and refocusing the growth strategy that has been initiated by Elk. I see huge potential in the areas and ideas that Elk has been developing over recent times; they are unique. My primary role is to ensure such opportunities are materialized as a matter of priority."

Elk has been progressing its Grieve enhanced oil recovery project with operator Denbury Resources (NYSE: DNR) starting water injection in mid-May to accelerate re-pressurising of the Grieve Muddy oil reservoir.

The Grieve project is fully funded and is expected to produce up to 1,000 barrels of oil per day net within three years, and possibly up to 5,000 barrels of oil per day by five years.

It has estimated proved and probable reserves of 18.6 million barrels of oil in the target Muddy reservoir.

Elk has a 35% interest in Grieve.

Elk had $2.25 million in cash as of 31 March 2013 but is fully funded to first oil for the Grieve EOR Project.

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX "Small and Mid-cap" stocks with distribution in Australia, UK, North America and Hong Kong / China.