Patriot Energy, Inc. announces drilling the first of seven wells in the eastern shelf of the upper Permian Basin in Kent County Texas. The Sandhill-7 Prospect encompasses approximately 8,500 leased acres in Kent and Knox Counties. Six wells will be drilled and completed in Kent County with the other in Knox.
Patriot Energy entered a substantial non-operated position with Atoka Operating, Inc., a sophisticated operator with decades of experience in the upper Permian region.
The first well, the Barker Trust #1, spud last week. With an expected depth of 5,000 feet, drilling should be completed within the next two weeks. The Barker Trust #1 primary objective is the Tannehill sand, a prolific well-known substantial oil-producing interval in west-central Texas. Other noted Permian Basin formations that will be targeted among the other six wells include the Mississippian, Ellenburger, Strawn and Frye Sands and the Bend Conglomerate.
Patriot Energy anticipates additional offset wells once production is established. There is potential for a total of 15-20 wells in this phase of the prospect. Once the Barker Trust #1 is drilled to depth, Blue Line Drilling anticipates moving the rig to the second well site and commencing drilling immediately upon rig transfer.
"As oil prices have obviously settled into a new trading range, nimble companies like Patriot Energy are adjusting to today's conditions so we can continue producing American oil and gas economically. The Sandhill-7 is a perfect example of a scaled multi-well prospect involving shallow vertical wells that make economic sense even below today's prices," says Michael Miller, Patriot Energy's President and founder.
Patriot Energy is sending a prospectus to interested accredited investors.