The Teton #1a-10 well is being drilled vertically to a depth of 1975ft, targeting the Swift Sandstone formation.
The well is one of a planned group of six wells the company intends to drill at the Teton River project.
The company said it already has an approved permit from the state of Montana in place for a planned 5-Spot operation upon completion of a successful drilling program.
UnionTown Energy is engaged in the acquisition and exploration of oil and natural gas properties.