Doxa Energy has signed a letter of intent (LOI) with managing partner Dynamic Production of Fort Worth, Texas, to acquire an option of an undivided leasehold interest under approximately 18,000 gross acres in the emerging Mississippian oil play in Oklahoma, US.

The LOI allows that Doxa to acquire up to 20% under the recently assembled lease block, resulting in 3,600 net acres to the company.

The Mississippian oil play is an emerging horizontal play that has the potential to become one of the most profitable domestic onshore oil plays today.

The play is led by Chesapeake Energy, SandRidge Energy and Eagle Energy of Oklahoma.

All of Doxa’s proposed leases are situated in Alfalfa, Garfield, Grant and Kay Counties, Oklahoma.

Based on current well spacing estimates from area operators, Doxa anticipates that up to 72 gross wells may ultimately be drilling on the acreage block, or 14 net wells to Doxa, provided it elects to participate for 20%.