Of these wells, 37 have been drilled, 42 vertical and 2 horizontal will be drilled in the Paddock formation, 1 vertical in the San Andres and 9 horizontal in the Blinebry.
The unit, operated by Concho Resources, Inc., currently contains 117 producing wells with Mexco’s interest at .1848%.
The company will also purchase an additional 5% for a total of 16% working interest in 160 gross acres in the Fuhrman-Mascho Field of Andrews County, Texas, which contains 2,400 producing wells with cumulative production at 122 million barrels of oil and 122 billion cubic feet of gas.
The acreage now contains seven oil wells, four producing oil from the San Andres formation and three producing oil from the Grayburg and San Andres formations at an approximate depth of 5,000 feet, operated by Cone and Petree Oil & Gas Exploration.
The property also contains an additional nine potential drill sites in the Grayburg and San Andres formations.
