The producing assets comprises 139 gross oil and gas wells along with many stacked-pay formations in north east Eagle Ford
The acquired assets are located in Houston, Madison, and Leon Counties in Texas. (Credit: Pixabay/John R Perry)
Empire Petroleum, through its subsidiary Empire Texas, has acquired oil and gas producing assets and the related midstream assets from Pardus Oil & Gas and Pardus Oil & Gas Operating GP.
The assets are located in Houston, Madison, and Leon Counties in Texas.
The producing assets comprises 139 gross oil and gas wells along with many stacked-pay formations in north east Eagle Ford and encompasses around 30,397 net acres of leasehold, of which around 18,000 net acres includes the Ft. Trinidad Field.
Empire Texas will operate the acquired wells
Empire Petroleum president Mike Morrisett said: “We believe the Ft. Trinidad Field has tremendous stacked pay potential and a significant resource base.
“In our view, these assets, including proprietary 3D seismic data and an extensive library of geological and geophysical analysis, combined with a better outlook for oil pricing coming off of the unprecedented COVID-19 slow down, will significantly expand Empire’s inventory of growth opportunities.”
The firm said that the properties are characterized by about 91% working interest and 83% net revenue interests.
Recently, the properties have been producing more than 400 barrels of oil equivalent per day (BOEPD) mainly from the Woodbine, Buda, Georgetown, and Edwards formations.
The wells will be operated by Empire Texas and it will initially use a transition services agreement with the existing team of the sellers.
The acquired midstream assets at Ft. Trinidad comprise around 123.9km of gathering lines, pipelines along with the related facilities and equipment.
Empire expects that the midstream assets will enable it to control the marketing of the natural gas and natural gas liquids that are produced by the firm and optimize the operations of its oil production.
The Tulsa-based oil and gas company currently has producing assets in Texas, Louisiana, North Dakota and Montana