McKinney, Texas (PRWEB) January 27, 2014
The Bakken shale is known as one of the most prolific oil discoveries in the last 50 years. The Bakken/Three Forks Shale formations are responsible for producing over 1,000,000 barrels of oil per day and that number it is expected to increase substantially over the next few years. FIG partners with publicly traded operators, as a non-operating working interest owner through the purchase of lease interests and AFE drilling expenses, or (Authorization For Expenditures), which is the industry’s means of invoicing non-operators for their share of drilling and completion expenses.
To date, the FIG 2013 Drilling and Acquisition Fund has acquired non-operated lease interests in 28,160 gross acres encompassing 22, 1280 acre DSU’s (Drilling Spacing Units), and has already established production and cash flow from the participation in two wells, the AKOVENKO F24-34-2H, which came on with an IP (initial flow rate) of 2,496 BBLS, and the HEISER 11-2-1H, which came on with an IP (initial flow rate) of 2,856 BBLS per the NDIC (North Dakota Industrial Commission). The Fund’s acreage also currently has an interest in four additional AFE’d wells which are drilling or are expected to be drilled soon in addition to several more locations that have been permitted.
FIG Tree has changed its focus to the Williston Basin following its previous success in the Woodbine Formation of South East Texas as a non-operated working interest owner alongside PetroMax Operating (PMO) out of Garland Texas.
“This is a logical step for FIG and its partners, said Richard Main, the company CEO. With the advancements of multi-well pad drilling and Super Density Pilots from operators like Continental, and Kodiak, you see instances of up to 30 planned wells per pad site and up to 15 per DSU. This has created an immediate demand for additional capital from existing leasehold and land owners. This funding gap allows our partners the opportunity to step in and reap the benefits that can come with the development of this world class reservoir.”
To date McKenzie County is the #1 producing Bakken Shale County in all of North Dakota with over 1,300 producing wells and as a result it has been the primary area of interest for FIG.
“Despite the prolific production from the area to date, we believe the Williston Basin in terms of how it is developed, stimulated, and produced, is still in its infancy, according to Ryan Wright, the company COO. The data suggests that better understanding of the formations, and improvements in fracture stimulation, have led to higher IP rates and EUR’s (estimated ultimate recovery) from the average well completions. In addition, more frequent pad drilling has resulted in lower average development costs. This means better economics for FIG and its partners. We intend to remain focused on the area in order solidify a stronger foothold in the play for our company and its partners.”
About FIG Tree Capital Ventures, LLC
FIG Tree Capital Ventures, LLC is a private oil and gas investment firm based in McKinney Texas with projects in the Williston Basin of North Dakota, The Woodbine Formation of South East Texas, The Cotton Valley/Bossier Haynesville of East Texas and the Edwards Lime Formation of Central Texas. The company and its partners focus on non-operated lease acquisition and development of the most prolific and active resource plays in the Continental United States.
For more information on FIG Tree Capital Ventures, its projects or how to become a partner visit: http://www.figtreecapitalventures.com/news.php