By OGJ editors
HOUSTON, June 23 -- Foothills Resources Inc., Bakersfield, Calif., will seek to recover more reserves in Upper Texas Gulf Coast fields it plans to acquire from an affiliate of Texas American Resources Co.
Consideration is $62 million in cash and stock.
The acquisition includes 95-100% working interests in four fields with more than 30 productive reservoirs at 800-4,500 ft, and 4,000 gross acres of leasehold or fee interests.
Foothills Resources will operate the four fields and will immediately begin planning and permitting for a 3D seismic survey at Goose Creek and Goose Creek East oil fields at Baytown, Tex.
The 3D data are expected to lead to the identification of undeveloped opportunities and deeper oil prospects. Seismic shows direct hydrocarbon indicators over gas reservoirs in the area, and old wellbores found gas shows in Oligocene Vicksburg.
This DHI effect contributed to the discovery of two Vicksburg fields, Hematite field, which has produced 22 bcf of gas from 8 wells adjacent to Goose Creek East, and Eagle Bay field, which has produced 156 bcf from 15 wells in western Galveston Bay.
The properties being acquired produced 820 b/d from 5.1 million bbl of proved reserves.
