Hinto Energy Inc., Arvada, Colo., said it started up oil production in Mason Lakes field in Musselshell County, Mont.
The company said it began producing oil after working over wells on recently acquired leases, activating a water source, and injecting water. Initial rate is 500 b/d, 5-10% oil. The company said it is investigating enhancements to pumping methods to increase the rate.
Management believes that the leases hold great potential for further drilling and is evaluating opportunities to expand its lease holdings in the county. The company also owns properties in Utah.