The primary objective of the Pinetop prospect is the Cisco/Seaman carbonate trend at a depth of approximately 11,700ft.
Victory Energy based on its internal analysis and on seismic data estimates that a successful well in this prospect has recoverable reserve potential of approximately 420,000 boe and a potential IP rate of about 330boe per day (approximately 86% oil, 14% natural gas) to the 100% working interest.
The Pinetop prospect is 3D seismic-supported and based the availability of rig the initial well will be spud in the next 60-90 days.
The vertical well is expected to require little stimulation to complete and move into production and the company is expecting the total drilling and completion cost to be approximately $140,000 through the first well and for each additional well $112,000.
The acreage has another eight wells that can be spudded, if the initial well is successful.
The company has acquired 4% before payout working interest at a net revenue interest of 2.94% and an after payout interest of 3% at a net revenue interest of 2.205%.
Victory Energy Corporation is engaged in the exploration, acquisition, development, and production of domestic oil and gas properties.
