[Context: On June 12, Houston-based Laredo Energy VI announced results from three wells in the dry gas window of the Lower Eagle Ford, two testing at more than 10 million per day and another at more than 14 million per day. The company went through a corporate reorganization in 1H17, and now counts Avista Capital and Chambers Energy among its board members and, presumably, investors. Further details, advisors and related links are below.]
Laredo Energy VI, LP Announces Initial Well Results of Eagle Ford Delineation Program
HOUSTON–June 12, 2018–(BUSINESS WIRE)–Laredo Energy VI, LP (“Laredo” or the “Company”) announced today that it has drilled four wells in the dry gas window of the Lower Eagle Ford Shale. The new wells span the areal and depth extent of Laredo’s acreage and are part of the Lower Eagle Ford delineation drilling program implemented by the Company’s new management team. The drilling program was initiated in late 2017 and is in accordance with the Company’s new strategy. Results are as follows:
>> Needmore 22H was spud on October 20, 2017 and achieved first production on December 11, 2017. The well tested at 10.8 million cubic feet per day (Mmcf/d) on a 21/64″ choke at a flowing casing pressure of 5,138 psia; shut-in wellhead pressure was 5,823 psia. It was drilled to a vertical depth of 10,773′ with a lateral length of 7,277′ and completed in 36 stages utilizing approximately 400,000 lbs. of proppant per stage.
>> Ellen C 12H was spud on November 9, 2017 and achieved first production on January 2, 2018. The well tested at 10.4 Mmcf/d on a 17/64″ choke at a flowing casing pressure of 7,437 psi; shut-in wellhead pressure was 7,704 psia. It was drilled to a vertical depth of 12,244′ with a lateral length of 6,673′ and completed in 33 stages utilizing approximately 432,000 lbs. of proppant per stage.
>> Benavides Family Minerals B 1H was spud on December 6, 2017 and achieved first production on March 8, 2018. The well tested at 14.2 Mmcf/d on an 18/64″ choke at a flowing casing pressure of 7,867 psia; shut-in wellhead pressure was 8,286 psia. It was drilled to a vertical depth of 12,657′ with a lateral length of 6,291′ and completed in 38 stages utilizing approximately 355,000 lbs. of proppant per stage.
>> Reuthinger 13H was spud on April 21, 2018 and is currently waiting on completion. It was drilled to a subsea vertical depth of 12,400′ and its completed lateral length is expected to be approximately 6,300′.
“Laredo’s large and contiguous South Texas leasehold position is ideal for development in the dry gas window of the Eagle Ford Shale, Austin Chalk and other formations,” said Michael J. Wieland, President and CEO of Laredo Energy. “Following a comprehensive geologic and geophysical review of the Company’s leasehold initiated in early 2017, we are confident in our ability to optimally develop this world-class, stacked-pay asset.
“Well results thus far are positive indications that a full-scale, multi-well pad-driven development program in the Lower Eagle Ford will provide a basis for strong growth at Laredo for years to come. Further, our asset is supported by our close proximity to export markets and the Gulf Coast industrial and petrochemical complex. As such, we are continuing our one-rig drilling program into the second half of 2018.”
The Company’s development program targets the Lower Eagle Ford Shale at vertical depths of 9,700′-12,700′, where the formation exhibits significant over-pressure. The Eagle Ford lies across the entirety of the Company’s 71,600 gross (50,500 net) leasehold acreage in Webb County, Texas.
In addition to the Lower Eagle Ford productive zone, Laredo’s acreage produces from the Upper Eagle Ford, Austin Chalk, Escondido and Olmos formations. The Company currently produces approximately 113 MMcfe/d, of which 33% is from the newly-completed Lower Eagle Ford wells.
Following the appointment of new management team members in the first half of 2017, Laredo underwent a corporate reorganization.
About Laredo Energy
Laredo Energy VI, LP is a Houston-based, private equity-backed exploration and production company that operates in the dry gas window of the Eagle Ford Shale. The Company seeks to significantly grow asset value through a strategic and modern approach to drilling, completion, production and marketing practices, leveraging the team’s depth of experience exploring and producing South Texas reservoirs, including the Eagle Ford shale.