EnerJex Resources, Inc. has acquired leasehold interests covering 4,040 gross (3,945 net) acres in Weld County, Colorado. These interests were acquired from multiple third parties at undisclosed terms and are located in two distinct areas of the emerging horizontal Niobrara and Codell oil plays as further described below.
Wattenberg Extension Area
In the Wattenberg Extension area, EnerJex has acquired an 85% operated working interest in 640 acres representing the entirety of Section 16 / Township 8 North / Range 61 West. This acreage is held by production and EnerJex is currently in the process of reactivating and working over three existing vertical wells on the property, including two wells that produce oil from the Niobrara and Codell formations and one well that produces oil from the J-Sand formation. During the past week, EnerJex worked over and intitiated oil production from the two Niobrara/Codell wells and they have produced at a combined rate of approximately 60 barrels of oil per day (BOPD) during the first few days of production. Management expects this rate to decline and stabilize at a lower rate of production.