1. A horizontal Pearsall shale completion was announced by San Antonio-based Blackbrush Oil & Gas in Frio County (RRC Dist. 1), Texas. The Indio Tanks Field well, #12H Pals Ranch, had an initial daily potential of 568 bbl. of 53-degree- gravity oil, 3.42 million cu. ft. of gas and 430 bbl. of water from an acid- and fracture-treated interval at 14,075-14,955 ft. Tested on a 17/64-in. choke, the flowing casing pressure was 3,600 psi. The 15,504-ft. well has a true vertical depth of 11,031 ft. It is in Section 101, Thomas B. Eastland Survey, A-294 and the lateral bottomed about one mile northwest.
2. A Buda oil discovery was announced by Virtex Operating Co. in Atascosa County (RRC Dist. 1), Texas. The #1H Gonzales produced 335 bbl. of 38-degree-gravity crude and 247,000 cu. ft. of gas per day through perforations at 7,332- 11,359 ft. The horizontal well was drilled to 11,359 ft., 7,305 ft. true vertical, in Section 6, J. Poitevent Survey, A-1261. The horizontal leg bottomed less than a mile to the southeast. The Corpus Christi, Texas-based company’s new well is in the vicinity of shallow Navarro oil production in Charlotte Field. There has been little horizontal activity in the area.
3. According to Mego Resources LLC, a South Texas Frio discovery in San Patricio County (RRC Dist. 4) was tested flowing 2.22 million cu. ft. of gas, 70 bbl. of 38.4-degree-gravity condensate and 38 bbl. of water per day. The #1 State Tract 975 South is in Section 4, John N. Seguin Survey, A-246 and production is from perforations at 8,839-42 ft. The directional well was drilled to 9,412 ft., 9,180 ft. true vertical. Tested on a 12/64- in. choke, the flowing casing pressure was 2,835 psi and the shut-in casing pressure was 2,895 psi. The well bottomed to the southeast beneath Nueces Bay. Mego, based in George West, Texas, has also drilled an offset, #2 State Tract 975, which bottomed to the east beneath the bay. It reached a 9,024 ft. and was waiting on completion tools at last report.
4. EOG Resources Inc. is expanding its San Patricio County (RRC Dist. 4), Texas, drilling program in the Midway East Field area. The #1 McKamey- Mauch Gas Unit will be directionally drilled to 13,600 ft. on a 160-acre South Texas lease in Lot 16, Calvin Wright Survey, A-280 and will apparently target Frio. About one mile to the northnortheast, #3 Elick, Lot 15, Jackson Crouch Survey, A-87, was recently drilled by EOG to 12,100 ft., 11,927 ft. true vertical, and results have not been announced. The Houston-based company is also waiting on completion tools at #1 Priday, which has been cased to 11,450 ft. and #1 Brannon Gas Unit, which is cased to 12,038 ft. and has a true vertical depth of 11,347 ft. A quarter-mile northeast of #1 Brannon, EOG spud #1 Blackland Gas Unit in late April. This vertical test is permitted to 12,800 ft. in Patrick Bryody Survey, A-52.
5. A High Island Block A-547 venture could extend production from the offshore Texas block to the east. Arena Offshore is under way at #6 OCS G02705. Water depth in the area is 250 ft. and the planned bottomhole is to the north beneath Block A-546. Production in the area comes from numerous wells generally west of the Woodlands, Texasbased company’s test.
6. According to IHS Inc., Wildhorse Resources LLC has expanded its deep Lower Cotton Valley drilling program in Lincoln Parish, La., to extend gas production in Terryville Field southward. The most recently permitted venture, #1 Burnette 35, will be vertically drilled to 18,000 ft. in Section 35-19n-4w. Wildhorse is under way at #1 Gleason 6 in Section 6-18n-4w with a planned depth of 18,000 ft. and one mile further to the west, the Houston-based company is drilling an 18,000-ft. wildcat at #1 LA Minerals 36 in Section 36- 19n-5w. Nearby, Wildhorse is also drilling #1-Alt Dowling 20- 17H in Section 20-19n-4w, with a scheduled bottomhole one mile to the north. Proposed total depth is 17,500 ft., 11,050 ft. true vertical.
7. In Arcadia Parish, La., Zachry Exploration has completed a 10,535-ft. Richie East well. The #1 Richie Land Co produced 2.51 million cu. ft. of gas and 360 bbl. of 47-degree condensate per day from Tweedel (Frio) perforations at 10,256-73 ft. Gauged on a 9/64-in. choke, the flowing tubing pressure was 7,012 psi and the shut-in tubing pressure was 7,130 psi. The directional well was drilled to a true vertical depth of 10,700 ft. in irregular Section 41-7s-1w and bottomed about a quarter of a mile to the northeast beneath irregular Section 23. Zachry Exploration is based in San Antonio.
8. According to IHS Inc., Anadarko Petroleum Corp. has logged the first-ever oil discovery in the Sigsbee Escarpment area near its Lucius development in the adjacent Keathley Canyon area. The #1 (BP2) OCS G27779 encountered about 250 net ft. of high-quality oil pay in Lower Tertiary-aged reservoirs. The well was drilled to 28,675 ft. in 8,500 ft. of water. The Houston-based company reported that it tested a significant four-way structure in Lower Tertiary and will be analyzing well data to determine if the find is commercially viable.
9. A Louisana state waters discovery by Castex Energy Inc. was announced on irregular Eugene Island Block 13. The #1 State Lease 20534 flowed 9.03 million cu. ft. of gas, 317 bbl. of 48-degree-gravity oil and 10 bbl. of water per day. Production is from Cibicides opima (Miocene) at 14,652-66 ft. Tested on a 12/64-in. choke, the flowing tubing pressure was 9,800 psi and the shut-in tubing pressure was 10,000 psi. The Eugene Island Block 18 Field well was drilled 18,477 ft. Castex’s headquarters are in Houston.
10. A horizontal wildcat is planned in Adams County, Miss., Plano, Texas-based by Denbury Onshore LLC. The #1 Gwin 3H will be in irregular Section 3-5n-2w, with a proposed bottomhole to the west-northwest in Section 50-6n-2w. The horizontal venture is targeting oil in Austin Chalk and has a permitted depth of 14,747 ft., 11,500 ft. true vertical. A successful completion would re-establish production in LaGrange South Field, which was online from 1948-2007. Oil production in LaGrange South Field is further to the north.
11. In Amite County, Miss., Goodrich Petroleum Corp. is drilling a horizontal Tuscaloosa Marine shale wildcat. The #1 Smith 5-29H is in Section 5-1n-6e, with an expected bottomhole one mile to the north in Section 29-2n-6e. The permitted true vertical depth is 11,800 ft. Also in Amite County, is Goodrich’s proposed #1 Huff 18- 7H that has a planned true vertical depth of 11,800ft. and no activity has been reported at that site. Houston-based Goodrich plans to spend up to $50 million on Tuscaloosa Marine shale projects in 2013.
12. In the northeastern portion of Mississippi Canyon Block 726, Hess Corp. has received permission to drill a sidetrack development test at #4 (ST) OCS G24101. The permit indicates that the test is set to be kicked off at 23,949 ft. The original hole reached an undisclosed total depth. Water at the site is 4,610 ft. At Block 726, New York Citybased Hess has permitted three more development tests and has received permits for several ventures planned for the western half of neighboring Mississippi Canyon Block 725 (OCS G22898). BP discovered Tubular Bells in 2003 (Mississippi Canyon blocks 682, 683, 725 and 726) and Hess purchased the rights in 2010 by buying a 20% stake in the field. Hess operates and holds a 57.14% interest and Chevron owns the remaining stake. Hess became operator of Tubular Bells in October 2010, when it bought a 20% stake in the field from BP for $40 million. Hess and Chevron subsequently bought out BP’s remaining 30% stake in late 2011.
***All data in the Exploration Highlights section is based on sources believed to be reliable, but its accuracy cannot be guaranteed. The prudent investor intending to act upon any particular data is urged to verify it with all other available sources. In no way should the publication of these items be construed as an express or implied endorsement of a company or its activities.
Most land in the U.S. is divided into townships—rectangular tracts six miles square. The township, in turn, is divided into 36 numbered sections, each a one-mile square. The lines running north-south and dividing east from west are called range lines. The lines running east-west and dividing north from south are township lines.
A well in Section 15-Township 4 north- Range 3 east is abbreviated: 15-4n-3e.