30 Jul Success Story Time!
Posted at 18:37h
in News and Opinions
About a year ago, we were approached by an operating company out of the Illinois Basin for promoting working interest. As a group that had topical knowledge of IL Basin geology, the infrastructure, and have been burned in KY about 10 years ago, we were very hesitant about anything out of the TX-LA-OK area.
After some due diligence we decided to promote their deal based on the following:
- NRI of 85% (TX is around 75-80%NRI)
- Shale payzone only needed 3-4 frack stages (other shales in US require at least double digit)
- $20 BO breakeven once in production
- Promised weekly updates
- And the big one…they have drilled 9 successful wells in the Basin in the target payzones
Well, it took a while (due to vendor and supply delays) but here’s the great news:
- The first well completed is on choke doing 180 BOPD (open is estimated at 300 BOPD) (not in shale)
- Second and third well already drilled and awaiting frack (out of 10)
- They’ve ACTUALLY delivered on weekly updates
- With oil at $70, this first well should pay off in 3 months
Based on the success of this lease so far (and another one we privately promoted in-house), we are encouraging you to check out these 2 new offers from the Operator:
- Working interest in a 2 well drilling program on a different lease in IL. Great entry price and potential ROI, much like the above. ID 1211
- WI the lease above in wells 4-10 . ID 1202
As much as I like TX, I’m starting to fall in love with the IL Basin!