GTN Energy Partners LLC
An Independent Oil Company
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Massie West Lease

 

The 16,900 - acre Massie West Ranch shallow viscous oil project is located in the northeast portion of the Val Verde Bone Springs section of the Permian Shale in Southwest Texas, approximately 35 miles south of Sonora, Texas. It is part of the highly productive Midland Basin where the oil is sourced from the Bone Springs section of the Permian Shale.  The lease is on relatively flat land topography and readily accessible on well- maintained roads.  GTN's current focus is to produce oil from two shallow sand deposit reservoirs above the shale, although the potential exists to further develop the deeper shale in the future. The sand reservoirs geology is exceptionally homogeneous and has world-class characteristics of porosity, permeability and mobility that are ideally suited for the inexpensive water flooding method of production. The project, which is operated by JG Stone Oil Company and by an experienced management team, has successfully utilized water flooding to produce oil from shallow sand deposits.

GTN predecessor company, GT Ventures, under common management, operated nine wells in the A sands that produced 50 BOPD with low cost water flooding methods. These wells are currently re-activated under GTN ownership and in addition, five new wells are being drilled by GTN in a new 15-20 acres spot. Production costs using modern technologies are significantly less than commonly used thermal recovery processes; moreover, shallow drilling in the pay-zones of the Paluxy sands that occurs at an average depth of less than 400 feet further diminishes the cost of well completion.  

There are several oil wells and multi-million barrel fields in all directions from the Massie West Ranch property, including the Holman Field, the most prolific shallow field and the Wardlaw lease. These fields in the Play are in close proximity to the Massie West Ranch and are all located in the Paluxy sand formation. These fields' combined production is in excess of half a million barrels of oil over 38.5 acres.

Besides potential for fracking in the Bone Spring source rock, which has not yet been researched or documented, the two potential pay zones are in the A and B sand zones above the Bone Springs. The proven reserves  over 275 acres of the lease are 5.7 million barrels of oil in the A sands. Probable reserves are 74 million barrels over 3,500 acres and potential reserves over the remainder of the lease are 120 million barrels of oil.