The company revealed development of its natural gas property in the Newark East (Barnett Shale) Field in Tarrant County, Texas. Mexco owns a 21.45% royalty interest in a 122 acre tract.
Three additional wells have been drilled on subsequently pooled acreage and are currently producing natural gas into the sales pipeline. This property, operated by Chesapeake Operating, now contains three wells plus three new wells for a total of six wells. Mexco’s royalty interests in these wells range from 5.39% to 6.57%.
Mexco is participating in drilling three development oil wells in the Brahaney Field in Yoakum County, Texas. All wells are to be drilled to a total depth of approximately 5,500 feet to test the long-lived San Andres formation. Two of these wells have been completed with the third well currently being drilled. Mexco’s working interest in these wells is 3.75% (2.3985% net revenue interest).
Mexco is also participating in the drilling of five infill oil wells in the Fuhrman-Mascho and Nix (Clearfork) Fields of Andrews County, Texas. All of these wells have been drilled to a total depth of approximately 7,200 feet to test the long-lived Clearfork and San Andres formations and are in the process of being completed. Mexco’s working interest in these wells range from 0.399% to 0.7% (respectively, from 0.225% to 0.399% net revenue interest).
Mexco also participated in the drilling of four infill wells in the Dodd-Federal unit in the Grayburg Jackson Field of Eddy County, New Mexico. These wells were drilled to a total depth of approximately 5,000 feet. The unit, operated by Marbob Energy, currently contains approximately 100 wells and is expected to contain approximately 140 wells when completely drilled.
