April 17, 2009 (FinancialWire) — Pinnacle Gas Resources, Inc. (NASDAQ: PINN) (Current Market Cap: US$6.14 Mil.) has sold undeveloped acreage and certain gas gathering assets, providing net proceeds of approximately $3.2 million to the company. The company also said that Steven A Webster, its chairman since 2003, plans to resign from the company’s board.

The company said it sold its high-pressure gas gathering assets in the Cabin Creek area of Wyoming to Big Horn Gas Gathering, L.L.C., the field operator of such assets.

Pinnacle also sold around 800 undeveloped acres in its Arvada gas project in Wyoming to an unrelated third party. The acreage held no production and was not operated by Pinnacle, according to the company.

The company used a portion of the proceeds to reduce the amount borrowed under its existing credit facility to $9 million, which it said is in compliance with the current borrowing base as of April 14.

Replacing Webster as chairman will be current Pinnacle board member Thomas G. McGonagle. McGonagle became a director of the company in August 2007 and was formerly a managing director and co-head of the U.S. merchant banking group at Babcock & Brown. He was also managing director of the financial sponsors group of Donaldson, Lufkin & Jenrette.

Sheridan, Wyoming-based Pinnacle Gas Resources is an energy company engaged in the acquisition, exploration and development of domestic onshore natural gas reserves. It focuses on the development of coalbed methane properties located in the Rocky Mountain region.

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