Join our daily newsletter At The Bell to receive exclusive market insights
- Stonehorse Energy (SHE) has provided an update on sustained production results from its recently acquired Bullard Well
- Bullard is located within the Anadarko Basin in Oklahoma
- In its 14 months of operation, the well has produced gross wellhead volumes of 167,000 barrels of oil and 1 billion cubic feet of natural gas
- So far, Bullard has generated nearly A$18 million of gross revenue and is expected to achieve a payout in less than two years
- These results support Stonehorse’s strategy of growing its presence as an oil and gas producer
- Stonehorse is up 12.5 per cent and shares are trading for 0.9 cents each
Stonehorse Energy has provided an update on sustained production results from the Bullard Well 1-18-07-UWH.
The Bullard Well is a Woodford Shale producer located in the southern core of the SCOOP (South Central Oklahoma Oil Province) Play in the Anadarko Basin in Oklahoma.
The company is set on establishing and growing its presence as an oil and gas producer.
On October 25, Stonehorse paid Brookside Energy roughly $1.69 million (US$1.15 million), through a step-in agreement, to acquire a 15.61 per cent non-operated working interest in the Bullard Well and 2.3 per cent in the Henry Federal Well.
The Bullard Well has been operating for 14 months and has produced gross wellhead volumes of 167,000 barrels of oil (BOE) and 1 billion cubic feet of natural gas (335,000 BOE – 50 per cent oil).
So far, Bullard has generated gross revenue of A$17.9 million (US$12.13 million). It is also on track to achieve a payout from operation costs in approximately 12 months.
Stonehorse Executive Director David Deloub is pleased with the Bullard Well’s performance.
“The Bullard well’s performance to date has exceeded our expectations and supports our planned investments in the SCOOP and STACK Plays,” David stated.
“This, coupled with our low-cost operating model provides us with financial and operational flexibility,” he added.
Stonehorse’s strategy is to flexibly build a portfolio of high quality well bore assets with working interest percentages reflecting risk appetite and capital availability, along with the step-in agreement with Brookside.
The step-in allows the company to access various opportunities in the Anadarko Basin.
Stonehorse is up 12.5 per cent and shares are trading for 0.9 cents each at 10:59 am AEDT.
