Australia-based oil and gas company Titan Energy has acquired 100% working interest in the proven Sargent Ranch oil and gas field located in Brazoria County in the US state of Texas, from Seacoast Oil & Gas.
The company has acquired about 337 acre area situated three miles west of its Allen Dome oil field for a cash payment of $98,366.
Titan’s newly purchased Sargent Ranch contains two shut-in wells that were earlier drilled by Esenjay Petroleum and Santos.
The company is planning to return to commercial production and is currently planning a workover program for the Poole #2 and Poole #3 wells.
Sargent wells are estimated to have the potential to produce upwards of 75 barrels of oil per day (bopd) and one million cubic feet per day (mmcfd) of gas.
The company expects the Estimated Ultimate Recovery (EUR) for the Sargent Ranch area to be 200,000 barrels of oil and five billion cubic feet of gas.
Titan Energy US managing partner John McNight said the acquisition is part of the company’s strategic plan to expand its oil production in Texas.
"It is an acquisition that aligns perfectly with our growing focus on the USA where we are building up a portfolio of assets in proven oil and gas producing areas," McNight added.
"We believe the use of modern technology and ideas will allow us to bring previously producing wells in historic fields back into production, while there is also upside for future exploration drilling."