Blugrass Energy, Inc. announced that they have entered into a Memorandum of Understanding (MOU) with DeepExpro, LLC. The MOU is for the companies to jointly identify, evaluate, acquire, explore, and develop various working interests and net revenue interests in oil and gas prospects. DeepExpro, LLC is a privately held independent oil and gas exploration and production company with headquarters in Houston, Texas.
Blugrass Energy Inc. and DeepExpro LLC are focusing on the acquisition of fields that major oil companies have bypassed. Several of these fields are in the near coast and shelf areas of the Gulf of Mexico. They span from the Mississippi coast to the Texas coast. The two companies are now evaluating an opportunity in the Gulf of Mexico. The estimation is that the anticipated production of this opportunity is 2100 BOPD.
DeepExpro, LLC is an approved and qualified operator with the United States Department of Interior (USDOI), Minerals Management Service Gulf of Mexico (MMSGOM) Region.
Blugrass Energy Inc. announced, in late February, a drilling and development plan for 2010. The Company is focusing on areas with the highest potential returns. They are particularly focusing on the Permian Basin in the Artesia Vacuum Trend and the Val Verde Basin. The Permian Basin is one of the largest structural basins in North America. It is the source of 25 percent of U.S. domestically produced oil. Annual production from the Permian Basin exceeds 350 million barrels and 1,500 billion cubic feet of natural gas.
Continued drilling and development plans for 2010 will enable Blugrass to position their medium and long-term growth while enhancing Eddy County, New Mexico production. The Company plans to drill 10 new infill-drilling locations in 2010 on the Eddy County project. Blugrass is also scheduled to drill two Canyon Sands wells in the Val Verde Basin, one Strawn Well and one Ellenburger Well. This is to complete their initial earn-in agreement with Petro Grande.
Blugrass Energy, Inc. is a development stage oil and gas development and exploration company. The Company’s goal is to grow through internally generated and developed prospects, participation with industry partners in oil and gas exploration, and in targeted joint ventures.