Savoy Energy Corp., www.savoyenergycorporation.com – the US-based oil and gas developer, with extensive expertise in work-over and recompletion, announced entry yesterday into a letter of intent with a privately owned firm to acquire an 80% Net Revenue Interest in a producing field on a 500-acre site.
The site has 34 well bores, seven of which are in production, the remainder are believed to be serviceable by the Company and would subsequently be put back into production.
With a 60-70 BOPD production capacity streaming from three of the five known formations and all prior analytical data indicating that the field has been very well defined by the drilling, coring and logging already done, the site holds great promise and roughly 1.3-1.6 million bbls total (according to an existing reserve report).
The Company is a leader in bringing decommissioned oil and gas assets back into production via comprehensive evaluation, the implementation of cutting-edge recompletion technologies and highly efficient management protocols – an innovative model that allows SNVP to sidestep high initial setup costs and substantial risk traditionally associated with exploration and production.
CEO of SNVP, Arthur Bertagnolli noted that this acquisition was a natural pick by the Company’s refined strategy for indentifying and pursuing underdeveloped resources.
Bertagnolli also indicated his confidence that the remaining wells which could be worked over and returned to production at a “favorable well intervention cost” should achieve 100 BOPD rates, making SNVP extremely well positioned to capitalize off the newly acquired field.
Able to use an elaborate network of contacts, the Company’s size, experience and a superior financial model, SNVP is set apart from competitors by a variety of strategic advantages.