HOUSTON--(BUSINESS WIRE)--Texas Oil and Minerals (PINK SHEETS: BNPD), http://www.texasoilandmineralsinc.com announced today it has entered into negotiations to acquire its second prospect in Dewitt County, Texas. This new prospect covers over 227 acre of the Wilcox Formation.
The generating geologist feels we can gain structure on a well in the Wilcox that produced more than 55,000 barrels of oil from sand at 7,800 feet. This prospect also has the potential to have 2 to 3 additional locations in this sand and a gas bearing sand.
The Wilcox formation is known to produce an average of 600 barrels of oil per acre foot. For example, in 2007, the US Geological Survey estimated that there are 110 million barrels of undiscovered oil, and approximately 3 trillion cubic feet of gas and over 500 million barrels of natural gas liquids throughout the Wilcox formation.
Tom Gouger, CEO, stated, "With our primary focus on building reserves and a sustained cash flow, we have commenced negotiations on the purchase of our next drilling prospect located in DeWitt county. The target sands in this prospect are in the Wilcox formation and range from 6800 to 9200 feet.”
“There is a low risk factor for drilling this prospect because of the down dip well that produced 58,000 barrels of oil on this lease. There is a possibility of drilling 2 to 4 additional wells on this lease with 3 different producing sands in this field. We feel on a conservative estimate there is an additional 150,000 barrels and 2-3 bcf of gas to be recovered from this lease,” Gouger added.
BNPD has already begun due diligence and project evaluations in anticipation of the acquisition, including proposed Well Recompletion and Enhancement Work programs. The final acquisition will be subject to final negotiations, documentation and requisite approvals.
About Texas Oil and Minerals (BNPD)
Texas Oil and Minerals creates value by acquiring and exploiting reserves in fields specifically targeted for oil and high-rate return North American clean burning natural gas. We are involved in prospects that range in value from $1,000,000 to $50,000,000, which include seismic and land projects, drilling prospects and the purchase of producing properties. Our team is comprised of highly skilled industry professionals who leverage their knowledge toward the success of our business. With more than three generations of collective experience, this team of professional and talented production personnel can provide innovative exploration and development solutions focused on creating exceptional returns in oil and gas through acquisition and exploration. www.texasoilandminerals.com
Safe Harbor Statement:
This release includes forward-looking statements intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by phrases such as INCL or its management "believes," "expects," "anticipates," "foresees," "forecasts," "estimates" or other words or phrases of similar import. Similarly, statements herein that describe the Company's business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those in forward-looking statements.