United Oil & Gas
Corp.

keyboard_backspace Callahan Lease

In the 1950’s, Magnolia Oil Company (“Exxon Mobil Corporation”) drilled a discovery well in Callahan County, Texas – this was the beginning of the famous Red Horse Field.


Magnolia drilled additional wells focusing on the prolific Moran Sand at 2500 feet, bypassing extensive reserves in other zones. A great deal of proven recoverable oil and gas was abandoned in favor of more prolific oil production in the shallower Moran Sand. 

Exxon Mobil Corporation decided to sell its production due to sagging oil prices. During the next 30 years, the new owner produced only existing wells with no new wells drilled to access known Moran oil reserves or the significant recoverable oil and gas reserves. 

United Oil & Gas currently owns working interest in the field and intends to increase its holdings.

Next steps

Next steps include the analysis of the existing wells and their necessary workover procedures in accordance with our petroleum engineer’s recommendation. Most work will consist of circulating the wellbores clean, acidizing perforations and changing downhole pumps. United Oil & Gas plans to initiate secondary recovery by injecting water from the water supply well into 2-3 injection wells as parts of a planned, engineered waterflood. The principal reason for waterflooding an oil reservoir is to increase the oil-production rate and, ultimately, the oil covery. This is accomplished by “voidage replacement”—injection of water to increase the reservoir pressure to its initial level and maintain it near that pressure.





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Safety and compliance with environmental guidelines are of the highest priority at United Oil & Gas. To provide a safe and clean working environment protects our employees and nature. 

Summary activities 

The Q4 video update provides a summary of United Oil & Gas' activities in the fourth quarter of 2017, as well as an outlook for the planned work in early 2018. 

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