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South Texas

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South Texas (Buda/Eagle Ford)

As of December 31, 2015, our South Texas region included approximately 166,600 gross (81,900 net) acres, proven reserves of 33.4 Bcfe, and 272 gross (145.6 net) producing wells. We believe approximately 20,400 gross (8,900 net) acres to be prospective for the Buda and Eagle Ford Shale plays. During 2013, Crimson, and subsequently Contango, drilled seven gross wells (3.3 net) in the Buda formation in Zavala and Dimmit counties. Six of the wells were successful, while one was a mechanical failure which was side tracked in 2014. During 2014, we drilled 14 gross wells (6.8 net) in the Buda formation in Zavala and Dimmit counties. During the fourth quarter of 2014, we drilled one additional well in Dimmit County as a vertical pilot well to test the viability of the Eagle Ford and other formations in the area. Though core analysis indicates the viability of the Eagle Ford formation in the area, no drilling activity was conducted in this area in 2015, or is planned for 2016, because of the low commodity price environment.

Our estimated net proven Buda/Eagle Ford reserves in this area were 11.5 Bcfe, comprised of 77% liquids, with 26 gross (13.3 net) producing wells, as of December 31, 2015.

 

South Texas (Elm Hill Project)

As of December 31, 2015, we held approximately 57,000 gross acres (27,000 net) in Fayette, Gonzales, Caldwell and Bastrop counties, Texas. During 2014, we drilled four gross wells (2.0 net) in this area, two of which commenced production during the fourth quarter of 2014, while the other two were not commercial successes. During 2015, we drilled one gross well (0.5 net) that was not a commercial success. The Company and its partner are currently evaluating options for future testing of the Navarro, Buda and Austin Chalk, or for monetization of the acreage position.

The remaining 89,200 gross (46,000 net) acres in our South Texas region are located in our conventional fields that produce primarily from the Wilcox, Frio, and Vicksburg sands. Our estimated net proved conventional reserves in this region were 21.9 Bcfe, comprised of 72% gas, with 242 gross (130.7 net) producing wells, as of December 31, 2015.

 

South Texas Metrics

Proved Reserves @ 12/31/15
33.4 Bcfe
% Natural Gas
56%
Average WI
54%
PV-10
$27.4 Million
Productive Wells (gross/net)
272 / 145.6
Developed Acreage (gross/net)
98,377 / 46,224
Undeveloped Acreage (gross/net)
68,208 / 35,638 
   
2015 Average Daily Production (Mmcfe) 9.3
   
 
 
Key Operated Field(s):  
Pearsall, Leona Rivers, SW Speaks, Cage Ranch, North Bob West, Fashing, Zavala, Leona River, Escobas, Gimme Putt, Magnet Withers, Elm Hill  
   
Target Formation(s):  
Buda, Eagle Ford, Lower and Middle Wilcox, Frio-Vicksburg, Cretaceous Sands, Navarro, Austin Chalk