Growing in A
New PlayNorthern Delaware,新墨西哥
About the PlayPermian
The Northern Delaware basin,which is located within the greater Permian area,has been drawing a lot of attention and for good reason.The geology with 5,000 feet of oil-rich stacked pay creates outstanding well economics.We closed on our two acquisitions in May and June of 2017,giving us a strong foundational footprint in the region where we've begun developing the Wolfcamp and Bone Spring plays.
"While we expect to pursue additional trades and grassroots leasing,this bolt-on achieves the scale necessary for efficient long-term development in the basin," said CEO Lee Tillman in March 2017 following the announcement of the acquisition of Black Mountain assets.The acreage is estimated to hold approximately 1.45 billion BOE of total resource potential.
Latest Activity3334Q 2018
Our Northern Delaware production increased to an average of 26,000 net boed in fourth quarter 2018,up 138% from the year-ago quarter.The Company brought 12 gross Company-operated wells to sales in the Malaga and Red Hills areas with an average 30-day IP rate of 1,935 boed (49% oil),or 360 boed per 1,000 foot lateral.Fourth quarter activity was primarily focused on delineating our acreage position,including Lower Wolfcamp spacing tests in Malaga.During the quarter, we executed a comprehensive water management agreement covering the entire Red Hills prospect area,complementing a previously announced agreement in Eddy County.
A return to New Mexico
CEO Lee Tillman was an invited keynote at the 2017 New Mexico Oil & Gas Association's Annual Conference.Read his remarks about the Company's entry into the Northern Delaware.
Using Best PracticesHydraulic Fracturing
In combination with advanced horizontal drilling technology,fracking makes it possible to develop oil and gas resources that were previously inaccessible.