Formcap Corp has increased its acreage position in the Permian Basin by approximately 1,000 gross acres to 5,800 acres of oil & gas leases, all with primary terms of five (5) years. These 5,800 gross acre leases comprise the Weber City Prospect located in Curry County, New Mexico, which lies on the eastern most side of New Mexico bordering the State of Texas. These new leases are part of an on-going acquisition plan currently under way in New Mexico.

The Weber City Prospect is strategically positioned in the Permian Basin, a prolific area that has produced over 35 billion barrels of oil and 100 trillion cubic feet of gas, and is host to over 20 percent of all domestic oil and gas produced in the US. Recent M&A activity in the Permian Basin highlights the growing importance of this historically prolific, domestic source of energy. The Permian Basin’s development history and stable, long-life production is one of the main reasons FormCap has secured the Weber City Prospect acreage. FormCap plans to drill an initial 7,000 foot well to test four potentially productive hydrocarbon zones; the San Andres, Clearfork, Wolfcamp and Cisco formations. Over 100 wells (based on 40 acre spacing) could be drilled on the Prospect and it is estimated that these leases could contain over 220 million barrels of oil in a successful case.

“As part of our long-term strategy, FormCap is continuing to secure additional acreage in the Weber City Prospect area. We are also actively pursuing and evaluating other potential acquisitions for the Company” stated Graham Douglas, FormCap’s President & CEO.

Tags: Formcap Corp