The company will initially drill three wells immediately into the Ellenberger formation, which is claimed to be deepest prospective target in the area at approximately 4,400ft.
Although, the formation was not targeted for development in the surrounding leases, it was penetrated by a 1947 well that lies 1.5 miles of the acreage.
The Ballinger oil field’s current production, which comes from the Palo Pinto North formation, is at 3,400ft.
Till date, 350,000 barrels of oil has been produced from an estimated 4.75 million barrels of oil in place.
Royale Energy said that the existing well spacing indicates potential for infill drilling to produce the proven oil accumulation, including more than six million barrels of oil and 7.6 billion cubic feet of gas with around 20% recovery in other formations below the Palo Pinto North.
