LOS ANGELES, May 06, 2019 (GLOBE NEWSWIRE) — Foothills Exploration, Inc. (OTC.QB: FTXP) (the “Company,” or “Foothills”), an independent oil and gas exploration company engaged in the acquisition and development of natural gas and oil properties in the Rockies today released its operations update for the recent Greater Green River Basin asset acquisition.
During the first 30 days of operations ending March 31, 2019, the Company successfully generated an 11% increase in net gas production rates by implementing the first stage of its field-wide maintenance and optimization program. This program targets wells with optimization upside potential, which could benefit from low-cost acid stimulation and soap agitation regiments. After achieving positive results on a selected number of wells, the Company plans to now implement this optimization program field-wide. The asset is expected to add approximately $1.2 million in gross revenues, without factoring in any of the additional property improvements planned by the Company.
In addition to its field-wide maintenance and optimization program, the Company is also targeting two wells for recompletion in the Marine sand section of the Frontier formation. The Marine sand has proven to be productive, correlative and consistent in the Frontier formation in our area of interest. If these recompletions prove successful, the Company’s technical team believes they could potentially increase the field’s total current production by a factor of approximately 25-50%. In addition, the Company’s technical team is also examining additional opportunities to recomplete other wells in the field, where the Marine is also present behind pipe. The Company expects to commence workover operations to recomplete both wells sometime in late Q2.
“The acquired assets are in a proven conventional play, with low decline wells, which have tremendous development and field-wide optimization potential. We are looking at several different opportunities to unlock significant value from these assets moving forward,” said Kevin Sylla, Executive Chairman of Foothills. “The Company is also currently evaluating several bolt-on acquisitions in the Greater Green River Basin, which complement the asset, including producing properties, additional acreage, joint ventures and farmout opportunities,” continued Sylla.
Future Development Upside
The Company is evaluating prospects for horizontal development of the Frontier formation throughout all of its recently acquired 18,214 acres in the Greater Green River Basin. The Company has identified several key target areas that would benefit from horizontal exposure based on the depositional environment. The area of interest has strong well control and several vertical proved undeveloped (“PUD”) locations. The ability to access the reservoir horizontally could allow the Company to recover a considerable amount of oil and gas in place.
About the Company
Foothills Exploration, Inc. is a growth stage oil and gas exploration and production (E&P) company with a focus in the acquisition and development of undervalued and underdeveloped properties in the Rockies. The Company’s principal assets are located across well-established plays in the U.S. Rocky Mountain region. Foothills’ strategy is to build a balanced portfolio of E&P assets through two core initiatives. The first is to actively focus on acquiring dislocated and under-exploited production and development properties then maximizing those assets to create shareholder value. The Company’s second initiative is to generate high-impact oil and gas exploration projects. For additional information please visit the Company’s website at www.foothillspetro.com.