HighPeak Energy Inc., the company formed from the closing of Pure Acquisition Corp.’s acquisition of the oil and gas assets of HighPeak Energy LP and HighPeak Energy II LP, expects to begin building production this year with an increased development program.
The deal includes a contiguous position of about 51,000 net acres primarily in Howard County, Tex., within the northeastern part of the Midland basin. The acreage is more than 90% operated. Current net production is 2,600 boe/d from horizontal wells recently brought back online after voluntary production curtailments made in response to the global pandemic. Production stream provides an oil cut of 85%.
HighPeak Energy expects to turn online an additional 15 wells by yearend which are expected to increase production to 10,000-12,000 boe/d in first-quarter 2021. An additional six wells are expected to be drilled by yearend with a one-rig program, according to an Aug. 24 statement by HighPeak Energy executives.