Doxa Energy Ltd. recently entered into definitive agreements providing for its participation in three (3) new conventional oil & gas exploration projects in southern Texas. Two of the projects are focused on the Queen City formation at depths above 6,000' subsurface in areas which historically produce oil, and the third project will be targeting gas/condensate production from the expanded Yegua formation on the Gulf Coast. Furthermore, operations for drilling and evaluating initial test wells on two of the projects commenced in the fourth quarter 2013 and are ongoing.
Each of the new projects offer potential for development wells. Additional details of all three projects will be released in the near future upon completion of ongoing operations and leasing efforts. Doxa's level of participation in the two Queen City projects vary from 15-20%, and is set at 4.5% in the Yegua formation test, subject to certain terms and conditions set forth in the respective agreements.