Tecton Energy

Tecton Energy has retained Meagher Oil & Gas Properties Inc. to sell certain interests in the Central Rio Grande Rift Play in New Mexico. The package involves the Albuquerque Basin deep gas play and the Santa Fe Hagen embayment oil play in Bernalillo, Sandoval, Santa Fe and Valencia counties. The Albuquerque Basin deep gas play includes 130,000 gross acres (106,000 net) of primarily fee leases with no permitting issues. The play targets multiple Lower Tertiary and Upper Cetaceous tight sands and shale gas at 8,000 to 18,000 feet. Tecton estimates initial production of 5- to 15 million cubic feet per day with estimated ultimate recovery of 5- to 15 billion cubic feet equivalent. The Santa Fe Hagen embayment oil play includes 75,000 net acres of primarily fee leases under a force majeure until year-end. The play involves multiple cretaceous targets at 2,500 to 7,500 feet, including the Dakota-Greenhorn, Niobrara and Menefee coalbed-methane intervals. Tecton estimates initial production rates of 30- to 125 barrels of oil equivalent per day and estimated ultimate recovery of 40,000 to 75,000 barrels equivalent. The bid due date is Nov. 7. The effective date is Dec. 1. The closing is expected by Dec. 1. Contact Julia Foster, 303-721-6354, ext. 229.