Upon completion of the transaction, which is subject to the approval of stockholders of both companies, Pyramid will change its name to Yuma Energy, and relocate its headquarters to Houston, Texas, while maintaining offices in Bakersfield to oversee its California operations.

Headquartered in Houston, Texas, Yuma has been in the oil and gas business for over 30 years. Yuma focuses on the exploration for and development of conventional and unconventional oil and gas prospects, primarily through the use of 3-D seismic surveys, in the U.S. Gulf Coast region. In addition, Yuma has a non-operated position in the Bakken Shale in North Dakota.

Yuma’s core competencies in generating oil and gas prospects include: unconventional oil plays; onshore liquids-rich projects; and high impact deep onshore prospects located beneath known producing trends, identified through the use of 3-D seismic surveys. As of December 31, 2013, Yuma had oil and gas leasehold acreage of approximately 80,000 net acres.

Yuma is currently producing approximately 2,850 barrels of oil equivalent per day (BOEPD), and based on a Netherland, Sewell & Associates, Inc. July 31, 2013 reserve report using Securities and Exchange Commission (SEC) pricing parameters, Yuma had approximately 19.8 million BOE of proved reserves.

By comparison, Pyramid is currently producing approximately 130 BOEPD and had proved reserves of 482,000 BOE, as of December 31, 2012. Both Pyramid and Yuma are updating their reserve information as of December 31, 2013.

Michael D. Herman, Pyramid Chairman, who also assumed the roles of Interim President and Interim Chief Executive Officer in October 2013 said, "This merger will allow Pyramid’s shareholders to join a much larger company with a proven management team and very experienced Board of Directors. Yuma is focused on the rapid expansion of its production and reserves."

Sam L. Banks, Chairman and Chief Executive Officer of Yuma commented, "We believe the time is right for Yuma to become a publicly traded company. We have been working hard to position Yuma for this opportunity and look forward to working with Pyramid to complete this transaction and advance our collective portfolio of projects."