By OGJ editors
HOUSTON, May 11 -- Marksmen Energy Inc., Calgary, signed a definitive agreement with private MAR Oil Co. to pursue a light oil horizontal development drilling opportunity in Ohio. Drilling is to start in May.
In addition to the development drilling opportunity, the agreement is structured to permit the companies to develop and explore future prospects in Ohio.
Marksmen agreed to lend MAR $2 million to be used to drill two horizontal wells and other related oil and gas activities. Wayne R. Toole, president and a director of MAR, has joined Marksmen’s board. Toole founded Zorin Exploration Ltd., which drilled in Wyandot County, Ohio, last decade (OGJ, Apr. 1, 2002, p. 40).
Vertical wells on MAR’s property are in a shallow target zone and are producing high-quality, 43° gravity oil with low operating costs. The wells also produce liquids-rich natural gas. Substantially greater oil recoveries and much higher productivity are expected from the proposed horizontal wells.
MAR intends to drill horizontally through the known pay zone of one of its producing wells directly to the same pay zone in another of its producing wells, guided by its detailed 3D seismic covering the entire route.