Project Profile
Value: Undisclosed
Location: Plaquemines parish, Louisiana
Peak Production: 130 barrels of oil and 350 thousand cubic feet of gas per day
Mesa owns 100% working interest in nineteen wells in the Lake Hermitage Field. Current production is approximately 300 BOD from six producing wells and a total of 3,578 mineral acres is held by production in the field. Twelve wells are currently shut-in pending evaluation for workover and/or future recompletion in uphole zones and one well is in the process of being converted to a salt water disposal well. There are three processing facilities and tank batteries in the field. The high gravity crude produced in the field is transported out of the field by barge on a two week rotating basis.
A third party engineering report prepared by Collarini Associates as of April 1, 2011 places the value of total Proved reserves using a discount rate of 10% (PV-10) at approximately US$15.25 million with a PDP component of $5.24 million. Probable reserves are estimated at US$10.65 million.
The company believes that a significant increase in production can be achieved in the Lake Hermitage Field by improving operational efficiencies, recompleting or otherwise returning several shut-in wells to production and by optimization of the gas lift system. A plan is in place and those efforts are underway. In addition, there are a number of proved undeveloped (PUD) drilling locations in the field and our technical team is currently evaluating the data and formulating a drilling plan for those locations.
Operator:
Mesa Energy Holdings Inc.: Operator with 100% interest
Contractor:
Collarini Associates: Reserves estimate