This latest move marks Mondial’s first of several planned acquisitions for working interest in producing oil and gas properties in West Texas.
Terms for the purchase of the field consists of a 37.5% working interest, 28.125% net revenue interest in the oil and gas interests, and pro rata oil & gas revenue and reserves for all depths below the surface to 8500ft.
The field is located in the Permian Basin and the Crawar Field, which is directly adjacent to property operated by Chevron Corporation in Ward County, Texas.
As of now, there are three wells in operation on the property and producing nearly 300plus barrels of oil per month (bopm).
Plans are to increase and stabilize oil and natural gas production, thereby growing initial production to about 900 to 1,000bopm.
The purchase also includes the Highland Production Company No. 2 well-bore in the oil and gas interests and pro rata oil & gas revenue and reserves with depth of ownership from 4,700 to 4,900ft.
In addition, the purchase includes an option to develop and drill a series of wells on the J.B. Tubb Leasehold Estate/Amoco Crawar Field, South 40.
