Crimson Exploration (CXPO) issued an operational update on the company’s development of the Eagle Ford Shale in Texas. The company has approved increasing the 2011 capital budget directed towards this play to $78 million, a 30% increase over the previous level.
Zavala County
The KM Ranch #1H well is currently flowing back and the company expects to have results to report in mid August 2011. The KM Ranch #1H Eagle Ford Shale well was drilled and completed with a 5,800 foot lateral and twenty stages of hydraulic fracturing stimulation.
Crimson Exploration has 2,300 net acres and 147 Eagle Ford Shale drilling location in Zavala County. The company plans to spud the KM Ranch #2H well in November 2011.
Karnes County
Crimson Exploration has spud the Littlepage McBride #2H well and expects to begin completion operations in the third quarter of 2011 and report initial production results in September 2011.
The Littlepage McBride #2H Eagle Ford Shale well is near the Littlepage McBride #1H well, which is currently producing 525 barrels of oil equivalent (BOE) per day and has produced a cumulative 53,000 BOE since starting production.
