Assets

Adams-Baggett

  • Producing high BTU natural gas since 2008
    Crockett Map
  • Producing formations (Canyon Sandstone)
  • Nine wells completed and producing
  • Located in Crockett County, Texas
  • Well life exceeds 25 years

Prospect Background

The Company received its first production revenue from this field in March of 2008 and continues to receive income today. Canyon sandstones are the primary hydrocarbon target within this prospect and they form a prolific low-permeability gas play located in the famous Val Verde Basin of this Southwest Texas.

Natural gas from the Canyon Sandstone generally receives a 25% or more premium in price above the standard market price for natural gas due to its higher BTU content per cubic foot. Currently nine gas wells are producing.

The Canyon Sandstone gas play is part of the large prolific Adams-Baggett Canyon Sandstone gas field. The Canyon Sandstone formation is found at a depth of 4,300 feet to 4,900 feet. The average life span of a Canyon Sandstone gas well is approximately 30 years, the decline production curve starting during the first year.

These Canyon intervals are composed of thinly interbedded sandstone and mudstone, which formed in slope and basin depositional systems. The more tabular Ozona interval occupies a basin-floor position adjacent to the south margins of the Ozona Arch and the Central Basin Platform. Within this existing gas field are two deeper zones, Strawn Limestone and the Ellenburger Dolomite. The Strawn zone is usually found at 9,000 to 9,800 feet, while the depth of the Ellenburger zone is between 10,500 and 11,500 feet.

The company, through its partnership with Aurora Energy Partners, holds a working interest in nine wells; 100% WI and a 75% NRI in seven wells and a 50% WI with 38% NRI in two wells.

Our references to estimated ultimate recovery or “EUR” in on this web site refers to the estimated unrisked adjusted reserves for a well from proved, probable and possible categories of reserves.