South Plains Petroleum, Inc. (SPP) acquired the Swenson, Kieke and Welch properties located in Haskell County, Texas after discovering the Upper Swastika Sand to be extremely productive after reviewing old well files and seeing where the original wells conducted drill stem tests of the pay but never recovered any oil. Upon attempting the pay in their first well, the Swenson 14, the pay came in producing over 270 barrels oil per day. Subsequent attempts in other wellbores recognized that the pay was prolific in its production. Further mapping and reserve studies established that the field is in fact larger than the original pay which had produced over 2.5 million barrels of oil.
In addition to the Upper Swastika Sand, the original pay, the Lower Swastika Sand was not fully developed and the Company plans to drill several more wells in the field targeting that lower pay. This particular oilfield is a “Stacked” pay with several oil pays at different depths. Of note is a Tannehill Sand pay at approximately 1,800 feet deep which appears to be productive and affiliates of the Company have tested oil from that particular pay. A new well is planned to target both the Lower Swastika Sand and the Tannehill Sand to confirm the Tannehill as viable. If it is, that could add several million more barrels oil to this field’s overall recoverable reserves.
Part of SPP’s success has been in changing the way the field is produced. Conventional pump jacks have been replaced with submersible pumps. These submersible pumps are more dependable and require less maintenance in that there are no sucker rods moving up and down wearing holes in the tubing strings. Thus less down time for repairs. Recently, the Company noticed that the chemical treatments were not working as hoped and holes were developing in the tubing due to the corrosive saltwater. To solve this problem the Company installed plastic lined tubing last spring and none of those wells has been down since due to a hole in the tubing resulting in more run time, more production, and less operating cost which all create more profit for our shareholders.
TALPA AREA PROPERTIES
The Company has several properties south of Abilene, Texas located in Runnels and Coleman Counties where they or their affiliates have already tested oil and gas from several pays and mapped out the field. We simply need to begin drilling to realize those reserves.
SEEKING A PARTNER OR HAVE A TEXAS BASED PROJECT TO SELL?
South Plains Petroleum are always on the lookout for exciting new projects. If you have a project and are looking for a partner or you are looking to sell a project please contact our Prospect Acquisition and Appraisal Team on admin@southplainspetroleuminc.com