Redhawk Resources Management III LLC (comprising managing partners Progressive Equities, LLC, Redhawk Resources LLC, and StableRock Energy LLC) has begun its newest offering, Redhawk Resources – Fund III LP, located in the central platform of the Permian Basin in Pecos County, Texas, near Fort Stockton.
The $15,000,000 Redhawk Resources – Fund III makes a total of $145,000,000 of oil and gas drilling and development offerings directed by the managing partners in the last 18 months.
Redhawk Resources – Fund III LP encompasses 3,800 contiguous acres of producing oil and gas leases with 70 existing shallow wells in Pecos County. The existing wells were purchased in various stages of operation. Twenty-nine of the wells were down on day 1 of operations. Electrical service will be restored where indicated, and workovers will begin on 20 of 40 existing wells. Six wells will be drilled for production and later converted to injection wells. Thirty-nine of the existing wells will be converted into injection wells with five water flood stations being built to begin to flood the zones. It is estimated that Redhawk – Fund III will be fully developed within 36 months.
StableRock Energy took over operations from current operator American Resources Inc. on Nov. 1.
Redhawk Resources – Fund III is targeting the Queen Field that, to date, has produced 2.5 million barrels of oil which constitute only 4% of the oil in place. The estimated depth of oil recovery efforts is anticipated to be approximately 4,000 feet. Other fields that may be potentially targeted are the Yates and Seven Rivers formations. The leasehold acreage is adjacent to and surrounded by developed fields owned by Apache Corp. and Energen Resources.