Eagleford Energy Inc. issued an operational update on the company’s oil and gas development of leasehold in the United States.
Eagleford Energy conducted an injection of nitrified acid into the wellbore of the Matthews/Dyami #3 well in order to stimulate production from the San Miguel formation. This operation was also conducted to comply with the terms of a contract governing the lease.
Eagleford Energy reported that a review of well fluid activity after the operation indicated an improved flow of oil from this well. The company plans to continue production testing here to determine the level of water cut.
The Matthews/Dyami #3 well is located in Zavala County, Texas, on the Matthews lease. This lease comprises 2,629 acres and is part of the Maverick Basin in South Texas.
Eagleford Energy said that according to the farm out agreement signed in April 2011, the company has to spend up to $1.05 million on drilling or other activities on this lease to earn a working interest.
Eagleford Energy earned a 21.25% working interest in the Matthews/Dyami #3 well through the payment of 100% of the drilling expenses and the completion of the nitrified acid treatment.
For more information on the company, go to http://www.eagleford.com