By researching the Illinois State Geological Survey, the company has discovered the oil field, previously produced an aggregate of approximately 1.8 million barrels of oil. Nearby waterflood operations in the same zones have yielded recovery rates of 80% of primary production.
Additionally, the company has been able to expand its 500-acre estimate for the initial Waterflood Target in Illinois to 1,325 acres. It has currently leased a total of 550 acres of this previously producing field.
Jeremy Driver, president and CEO of Strategic American Oil, said: “This second waterflood project offers the company another potential low risk long-term production project in a proven waterflood area. The company is currently evaluating and performing feasibility analysis on this target. Meanwhile, we are designing a pilot waterflood operation for the initial Waterflood Project, which, if proven, would be expanded into commercial operations.”
Waterflood is an oil extraction method where water is pumped into an injection well displacing the reservoir formation and forcing the oil into a recovery well. This method is used to recover additional oil in place following primary production methods.
