HOUSTON AMERICAN ENERGY ANNOUNCES DRILLING PLANS ON FINKLE UNIT IN REEVES COUNTY
Rhea-AI Summary
Houston American Energy (NYSE American: HUSA) announced plans to drill six wells on the State Finkle Unit in Reeves County, Texas, targeting the Wolfcamp formation.
EOG Resources will operate the unit, where HUSA holds a 0.0078 working interest.
Drilling is set to start by June 30, 2024, with all wells expected to spud by September 1, 2024.
HUSA will invest approximately $600,000 in this drilling program.
Positive
- HUSA is participating in drilling six new wells, potentially increasing future revenue.
- The drilling project targets the Wolfcamp formation, a known productive area.
- EOG Resources, a reputable operator, is managing the project.
- The timetable for drilling is clear and imminent, with activity starting June 30, 2024, and all wells spud by September 1, 2024.
Negative
- HUSA holds only a 0.0078 working interest, limiting direct financial benefits.
- The estimated cost of $600,000 represents a significant investment relative to HUSA's stake in the project.
- Potential risks associated with drilling activities, including delays or unsuccessful wells, could affect returns.
News Market Reaction – HUSA
On the day this news was published, HUSA gained 2.48%, reflecting a moderate positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Houston, TX., June 17, 2024 (GLOBE NEWSWIRE) -- Houston American Energy Corp. (NYSE American: HUSA) today announced plans to participate in the drilling of six wells, each well consisting of an approximate 3 mile lateral, on the State Finkle Unit in the Wolfcamp formation in Reeves County, Texas.
EOG Resources will act as operator of the unit and is the principal working interest owner in the unit. The unit includes acreage subject to our existing O’Brien lease. We will hold an approximately 0.0078 working interest in the unit. The first well is scheduled to spud by June 30, 2024 with all six wells anticipated to be spud by September 1, 2024. Houston American’s cost of participating in the drilling program is estimated at
About Houston American Energy Corp.
Based in Houston, Texas, Houston American Energy Corp. is a publicly-traded independent energy company with interests in oil and natural gas wells, minerals and prospects. The Company’s business strategy includes a property mix of producing and non-producing assets with a focus on the Permian Basin in Texas, Louisiana and Colombia.
Forward-Looking Statements
The information in this release includes certain forward-looking statements that are based on assumptions that in the future may prove not to have been accurate, including statements regarding timing of commencement of drilling operations, timing of completion of wells, length of the horizontal legs, cost to Houston American Energy and ultimate success of drilling operations. The timing of operations, cost to Houston American Energy and ultimate success of drilling operations is subject to numerous risk factors, including the ability of the operator to execute on planned drilling operations, the ultimate recoveries from prospects, and the availability and cost of rigs and services necessary to conduct drilling operations, among other risks described in our reports filed with the Securities and Exchange Commission.
For additional information, view the company’s website at www.houstonamerican.com or contact Houston American Energy Corp. at (713) 222-6966.
FAQ
What are Houston American Energy's (HUSA) drilling plans in Reeves County?
How much is Houston American Energy (HUSA) investing in the drilling program?
What is the working interest of Houston American Energy (HUSA) in the State Finkle Unit?
Who is operating the drilling project in Reeves County for Houston American Energy (HUSA)?
When will Houston American Energy (HUSA) start drilling on the State Finkle Unit?
