The initial two parcels of acreage in Ellis County, Oklahoma are located within the Anadarko Basin which has been a major oil and gas producing area for the US. Planning is underway to spud the first of an initial two well program in late July/early August.
Four adjacent sections of land are also being pursued surrounding the current acreage for additional drilling locations if the first two wells are successful. In a success case, up to twelve locations will be available for drilling.
This part of Oklahoma is an established production area with over 10 producing horizons. The initial well will be a twin of a well originally drilled in 1970, which discovered gas and flowed at a rate of 2.4 MMcf/d, despite suffering significant reservoir damage, from a production test over a 15 foot interval.
Other much thicker zones in the well also indicated gas pay, but were too damaged to be effectively tested. This zone was completed and readied for production, but the operator failed to secure a gas contract at the time.
Amity’s plan is to drill the initial wells using a superior casing design and to also utilise an oil-based mud system to protect the formation from damage caused by water-based muds. In a success case on the first well, a short horizontal lateral well may be drilled through the target section of the second well to further increase the production rate.