HOUSTON--(BUSINESS WIRE)--Horizon Energy Corporation (OTCQB: HORI) announces the initial geological report is positive, as it considers a recent option agreement for a two-tract oil and gas lease totaling 1,340 acres in Webb County, Texas. The report states there are approximately 24 million barrels of oil remaining in the field with about 20% of it underlying the Horizon leasehold, which equals 4.8 million barrels of oil in place. Assuming a 20% recovery of that figure, the report estimates the property can yield 1.4 million barrels, which at current prices for West Texas Intermediate Crude oil is valued at $146 million.
The geological report for the Horizon lease further states there are several inactive wellbores on the property that can yield instant production while further recovery methods are investigated.
The county has received global attention for being part of the Eagle Ford shale play and Texasdrilling.com reports there are currently 18,234 drilled wells in Webb County. Although activity in the area is focused in the Eagle Ford play at the northwest portion of the county, that play is nestled among various geologic layers, many of which are also producing oil and gas and may be more or less prevalent in different areas with depths varying across all formations. This has many oil and gas companies returning to some of the previously drilled oil fields that for decades have produced using traditional vertical wells, and successfully applying horizontal drilling techniques.
“We are encouraged by this report and expect the Webb County property to become a vital part of our portfolio,” said Robert Bludorn, Chairman and CEO of Horizon Energy Corporation. He added, “Horizon is optimistic about its potential relationship with the drillers in Webb County as there are tremendous opportunities to produce oil and gas in an environment of rising oil prices and attractive finding and development costs.”
Major operators in Webb County include ConocoPhillips (NYSE:COP), SM Energy (NYSE:SM) and Lewis Energy in partnership with BP (NYSE:BP).
About Horizon Energy Corporation
Horizon Energy Corporation was incorporated in the state of Wyoming in 2010. Its business model and scope of operation includes traditional and nontraditional energy sector opportunities. It is currently in the business of acquiring, discovering and developing oil and gas properties. Additional information is found at www.horizonenergyusa.com.
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