Ridgeway to buy another New Mexico field for EOR

By OGJ editors
HOUSTON, May 9 -- Ridgeway Petroleum Corp., Houston, signed a binding letter of intent to buy an undisclosed New Mexico oil field for eventual carbon dioxide flooding.

The acquisition covers 5,000 areas in a 5,500-acre mature field producing 75 b/d. Closing is scheduled by May 31.

Recovery is 13% of OOIP of 95 million bbl. Consulting engineers estimate another 18 million bbl could be recovered from the field, which could reach a peak rate of 5,000 b/d of oil if fully flooded.

It is the second of several fields the company is targeting for CO2 flooding in the Permian basin. The new acquisition is within 6 miles of the company's initial acquisition. Ridgeway controls 200,000 acres in the St. Johns CO2 and helium field in Arizona and New Mexico.