Brookside Energy Ltd (ASX:BRK) continues to grow its extensive landholding in oil and gas-rich Oklahoma with the tripling of its acreage position in this new Bradbury Area of Interest (AOI) within the Ardmore Uplift-Ardmore Basin.
The Bradbury AOI in Murray County is east-northeast of the company’s highly successful SWISH AOI where three development wells have been completed.
Brookside’s US operating partner Black Mesa, LLC, identified this opportunity using historical production data and logs from vertical producers as well as seismic and mapping to prospect for overlooked areas with the potential to be exploited using low-cost vertical drilling.
Increased activity
BRK managing director David Prentice said: “We are excited to bring news of the expansion and increased activity within our Bradbury AOI to our shareholders.
“It is great to open another path for growth within the business as we continue to execute our Three Pillars strategy and particularly pleasing that we can fund this new initiative from our cash reserves and cashflow.
“The Bradbury AOI adds another significant string to our bow and we look forward to bringing news of progress as operations for our first vertical well get underway."
Oklahoma geological basins and uplifts.
Area has potential
The company says it is excited at the potential of the area with three DSUs already controlled (~80% working interest in each 40-acre unit) and the opportunity for further growth as prospecting continues.
Brookside has secured Edge Services, Inc’s Rig 12 for the drilling of the first low-cost vertical well in the Bradbury AOI, which will be the Juanita Well.
Expected to spud mid-month
Pad works are underway, with the rig expected on site shortly ahead of the planned spud in mid-October.
The Juanita Well, to be drilled as a vertical well to a true vertical depth of ~6,450 feet, will target 10 potential oil reservoirs, including zones from within the highly productive Simpson Group, all of which are proven producers in the area.
Mean cumulative production from vertical wells in the Bradbury AOI is ~130 MBO per well, including a 744 MBO producer less than a mile east of the Juanita Well location.
A second well location has been selected and these operations can be fast-tracked subject to the results from the Juanita Well.
Brookside said the combination of low-cost drilling and completion costs and high reserve potential was expected to result in superior well economics from vertical wells drilled, completed and successfully brought online in this new AOI.