Source: Bering Exploration
Bering Exploration, Inc. (Pink Sheets:BERX) has leased the mineral rights on approximately 1,200 gross acres targeting the Eagle Ford shale play in Central Texas with potential gross reserves of 3,000,000 barrels of oil and 120 well locations.
The prospect also contains one well bore that has been abandoned and the company will evaluate the possibility of a re-entry. This prospect has an aeromagnetic survey and the company expects to utilize it and other advanced techniques to maximize oil recovery from the Eagle Ford, Austin Chalk, Buda and Edwards zones. Bering will retain a 100% working interest and an 82% net revenue interest with a two year lease term.
The Eagle Ford Shale is a shale rock formation located in multiple counties in South Texas. It underlies the Austin Chalk and the Edwards limestone formation is just below it. It is considered by geologists to be the "source rock," or the original source of hydrocarbons (oil and gas) that are now found in the Austin Chalk above it. Industry leaders have been quoted as saying that it has the "perfect mineralogical makeup for a shale play" and one of the world's largest oil & gas companies has already called it the sixth largest domestic oil discovery in the U.S. history.
"We believe that this prospect will provide Bering with a strong basis for a 120 well program with a high probability of success," stated Steven Plumb, Chief Financial Officer of Bering. "This acquisition is another example of our strategy of seeking out low risk drilling opportunities."