Nighthawk Energy enters into two JV agreements

Nighthawk Energy plc (AIM: HAWK and OTCQX: NHEGY), with its 100% controlled and operated projects in the southeastern Denver-Julesburg Basin, Colorado, has entered into two joint venture (JV) agreements in northern Lincoln County, Colorado.

The JVs are located southwest from the company's Arikaree Creek field and Snow King project toward the town of Limon. Both JVs are with Cascade Petroleum LLC, a private oil and gas exploration and production company formed in 2011 and based in Denver, Colorado.

The first JV, named the Monarch JV, will be operated by Nighthawk and covers approximately 23,619 net mineral acres southwest from the company's Arikaree Creek field and Snow King project. After an initial earn-in commitment, Nighthawk will share the Monarch JV with Cascade on a 50:50 basis between the parties. This agreement gives Nighthawk access to the potential upside in multiple additional Mississippian and Pennsylvanian structures identified by Nighthawk's geoscience team from 2D seismic data. Nighthawk believes that these structures may have similar attributes to its existing Arikaree Creek and Snow King fields.

The second JV, named the El Dorado JV, covers 40,372 net mineral acres and will be operated by Cascade. It is located on both sides of the Monarch JV area and will be shared on a 85:15 basis (Cascade and Nighthawk, respectively). Under this JV, Nighthawk has the right, but not an obligation, to participate in a 15% working interest in any well drilled in the area by paying its share of the well costs.


Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...