Richard King

Nueces and Jim Wells County, TX

The Graham Cattle Company (Brownlee) lease is in the Richard King Field area of Nueces and Jim Wells County, Texas. The primary pay zone in the field is the top of the massive basal Frio sand sequence at about -5550‘. This interval has reported cumulative production of more than 2 million barrels of oil (BO) from the field and 794,090 BO from the Graham Cattle Company (Brownlee) alone.

Sun Oil Company originally developed the Graham Cattle Company (Brownlee) lease, drilling six successful wells in the late 1970’s and early 1980’s. Subsurface mapping indicates the crest of a well-defined anticlinal feature (the primary trapping mechanism for the field) is present on the lease. The test well, the Graham Cattle Co. #1, encountered the primary pay zone flat to structurally high to the surrounding wells, was planned to evaluate the interval for remaining “attic” oil reserves. Approximately 140,000 BO potential reserves are assigned to this primary target.

The Richard King Field is also a prolific gas producer, with reported cumulative production of over 75 billion cubic feet (Bcf) from multiple reservoirs. In the immediate vicinity of the Graham Cattle Company (Brownlee), several reservoirs produced significant quantities of gas at depths from -3800 to -5500 ft. Data indicate favorable structural setting for the initial test persists in these shallower horizons and these significant gas reserves were secondary targets. Potential recoverable reserves of approximately 1 Bcf are attributed to these zones.

Log interpretations of wells in the Richard King Field indicate a significant number of thinner zones exist which exhibit productive log characteristics. These were not produced apparently due to their thin nature and the low price for gas at the time. In summary, available geologic data indicated the test well on the Graham Cattle Company (Brownlee) Lease was a low risk, multiple target development well in the Richard King Field that should encounter significant oil and gas reserves.

The latest well drilled on the Richard King property, the Graham Cattle Company #5, successfully drilled in August, 2009, with 17 potentially productive zones exhibited. The Richard King’s monthly production exceeds 130 BO and 33 million cubic feet (MMcf) of gas.