Ridgeway Arizona Oil Corp., a wholly owned subsidiary of Hunter Oil Corp., Houston, has applied for permits to drill five horizontal wells to begin redevelopment of Chaveroo oil field in Roosevelt County, NM (OGJ Online, Aug. 12, 2016).
The wells will target fractured Permian-Guadalupian San Andres dolomite at about 4,500 ft with mile-long laterals.
Hunter Oil plans to drill as many as 84 horizontal wells in Chaveroo field, a 1960 discovery in which it holds a 100% working interest in about 16,000 acres.
Chaveroo has produced more than 25 million bbl of crude oil from vertical wells drilled on 40-acre spacing. Hunter Oil estimates Chaveroo net reserves at 8.4 million boe proved and undeveloped, 3.4 million boe probable, and 10.2 million boe possible.
The company also plans to redevelop nearby Milnesand field, a 1959 discovery, with horizontal wells. Milnesand, in which Hunter Oil holds a 100% interest in 7,400 acres, has produced 12 million bbl of oil from vertical wells on 40-acre spacing.
Net reserves are estimated at 4.1 million boe proved and undeveloped, 1.8 million boe probable, and 4.3 million boe possible.
