The new acreage is expected to provide the company, an opportunity to complete about 45 wells in the first phase of drilling.
The leases are situated in Anderson, Cherokee, and Hardeman counties, which are targeted for redevelopment drilling.
The fields are expected to include good amount of oil and gas, according to the company’s geologic and engineering studies, and Chestnut plans to produce oil through horizontal drilling.
Chestnut Exploration and Production owner and chairman Mark Plummer said the company expect the investment in these fields to be positive and productive over a long period of time.
"Our expertise and technology in redeveloping fields provide us with a solid foundation for expanding our exploration and production projects," Plummer added.
Chestnut has oil and gas assets in California, Louisiana, New Mexico, Oklahoma and Texas.
