Occidental expands Permian basin interests

Occidental Petroleum Corp. has acquired 35,000 net acres in the Permian basin horizontal drilling play and expanded its enhanced oil recovery holdings in the basin through transactions with private sellers totaling $2 billion.

The acquired leasehold in Reeves and Pecos counties, Tex., includes 7,000 boe/d of net production, 72% oil, from 68 horizontal wells. The company estimated the acreage has at least 700 gross horizontal-drilling locations targeting Permian Wolfcamp A and B and Bone Spring strata.

The acquired acreage is near other Occidental development sites. It expands the company’s leasehold in the area to nearly 59,000 acres.

The acquired working interests in producing carbon-dioxide floods and related equipment increase Occidental’s ownership in several properties where the company is operator or an existing working interest holder.

The properties produce 4,000 boe/d, 80% oil. They have net proved-developed-producing reserves estimated at 25 million boe and total proved reserves estimated at 41 million boe.

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


Shell Leverages Data to Transform from Reactive to Predictive Operations

This 6-page report describes how Shell engaged in a massive project with OSIsoft to transform the...

Selection, Use, Care and Maintenance of FR Clothing

For industries operating in an inherently dangerous environment, the importance of selecting the ...

Evolution or Revolution: IT / OT convergence means a world of possibilities

The oil and gas industry is experiencing a rapid paradigm shift in regards to digital transformat...

Predict, Prescribe, Profit: Creating a World that Doesn't Break Down

What are you doing to reduce unplanned downtime at your plant? Equipment breakdowns and process i...