U.S. Energy Development Corp. has acquired an interest in a horizontal well development project in Loving County, which is located in West Texas.
The firm’s $8.5 million interest in the Columbia Project, whose total development cost is $24.1 million, will include three horizontal wells in the Permian Basin. The development, which targets oil-producing zones in the Wolfcamp Shale, is being operated by Shell Oil Company. Drilling and completion operations on the project are finished and initial production is targeted to begin in the fourth quarter of this year.
The Permian Basin is one of the oldest and most widely recognized oil and gas producing regions in North America. It covers approximately 86,000 square miles across New Mexico and Texas. The Permian is divided into three main sub-basins: Midland Basin, Central Basin and Delaware Basin.
In 2019, U.S. Energy acquired a large operated position in neighboring Ward County, Texas, and is currently developing t
