Tecton Energy

Tecton Energy has retained Meagher Oil & Gas Properties Inc. to sell interests in a redevelopment project in Choctaw County, Alabama. The package includes 54% to 100% working interest (average 80% net revenue interest) in 4,500 net acres in West Gilbertown Field first discovered in 1944. Development has been done by small operators and production has not been optimized due to lack of technology. The assets include three producing wells (two new and one re-entry) producing about 30 barrels of oil per day gross with potential of 750 to 1,000 barrels. The primary target formation is the Selma chalk with 40 locations identified on 40-acre spacing and estimated ultimate recovery of 78,000 barrels per well. The secondary target is the Eutaw sand with 10 locations identified on 40-acre spacing and estimated EUR of 63,000 barrels per well. The state has approved 10-acre spacing. Upside includes application of improved drilling and completion techniques as the wells have never been fracture stimulated. Three shut-in wells are available for re-entry or recompletion. The bid due date is Nov. 7. The closing date is Dec. 1. The effective date is Dec. 1. Contact Julia Foster, 303-721-6354, ext. 229.