US based oil and gas company Credo Petroleum said it is about to complete its first Horizontal Tonkawa Well in Texas Panhandle.
In Lipscomb and Hemphill Counties, Credo owns an average 33% interest in about 3,000 gross acres, and currently operates 12 vertical wells.
The value of Credo’s acreage increased considerably after Chesapeake Energy accomplished two horizontal Tonkawa wells in the area last year.
Credo owns a 22% working interest in the third horizontal Tonkawa well that was drilled by Chesapeake in the area.
The well, drilled on a 320 acre spacing unit to a 7,600ft vertical depth with a 4,400-foot lateral, was fracture inspired.
The company is preparing to drill additional horizontal Tonkawa wells in this play, and has recently made the initial drilling for its second horizontal Tonkawa well, the Bussard-Cameron 74-1H, nearby.
Credo CEO Marlis Smith, Jr, said this area complements the company’s Bakken horizontal drilling project and is likely to add considerable oil production and reserves for the company.