By the OGJ Online Staff
HOUSTON, Apr. 2�Swift Energy Co., Houston, has bought interests in Lake Washington field in Plaquemines Parish, La., for $30.5 million from Elysium Energy LLC effective Mar. 1.
Swift said reserves total 7.1 million bbl of oil and 3.7 bcf of gas. Production from the purchased interests is 1,000 boe/d.
It plans a 3-year program to drill proved undeveloped locations, reactivate wells, and reduce operating costs. Costs this year will be $5.4 million.
The field produces from multiple Miocene sands ranging from less than 2,000 ft to more than 10,000 ft. The field is on a salt dome feature and has produced more than 300 million boe. Oil and gas from 20 wells is gathered from four platforms in 6-30 ft of water.
Swift said complex faulting has created a large number of reservoirs. Only about 15% of the total structure has been fully evaluated, and other fault blocks have been identified by 3D seismic.
It said 98% of the value of the acquisition is allocated to the Elysium-operated portion, comprised of three leases with net revenue interests over 80%. The remaining 2% is attributable to minor interests in 36 offsetting wells operated by Phillips Petroleum Co. and Hunt Petroleum Co.
Swift said 26% of the reserves are proved producing reserves with the rest proved behind pipe and proved undeveloped. Development costs are less than $6/bbl. Completion rates vary from 50 to 300 b/d with decline rates typically less than 10%/year.
