The company has retained a 12.5% working interest for the well. The combined leased acreage (Koliba) consists of 79 acres covering an anticipated anticlinal structure (target) with offsetting production.
The Koliba #3 well is a direct offset to the Murphy Baxter, Koliba #1 well which produced from the 5,880ft (target) zone.
The Koliba prospect lies in the North McFaddin Field. The company has identified three Frio Sand target zones at 5880′, 5350′, and 4930′ under the Koliba leases.
The company plans to drill a direct offset to the Murphy Baxter, Koliba #1 well which produced from the 5880′ (target) zone.
The company completed drilling the Koliba #2 prospect in Victoria County, Texas, earlier this year to 6,880ft to evaluate three Frio sand objectives and found the well to be slightly downdip structurally but still productive.
