Lucy Lee and Mina Travis are both very deep wells drilled to 12,000 ft. in the Tuscaloosa Marine Shale. Both wells are currently on a lease in the Liverpool Field, which is just one sand bar north of the famous Greensville Field. All of the fields near the Lucy and Mina wells are already leased due to the large area of Tuscaloosa sands in this region.
This acquisition is a very large asset purchase for Paradigm Oil and Gas due to the extreme value of the leasing in the area, also a new location for an additional well is available. Traditionally, wells in the field came online at a rate of 180-220 bbls/d.
In 2003, the geological service company- Maxy Resources compiled a reserver report on the Liverpool Field. The report indicates the adjacent well, Lucy Lee, which is within the Shale formation, and the Mina well which is located in the Tuscolosa Sands, are separated by a thin limestone formation.The obvious positive information is that the Shale which the Lucy Lee has had strong production from is still available even though it is on a lower edge of the reef.
It also shows the OOIP/MMBO(original oil in place) for Mina Travis being at 4.8 million barrels having a recovered capacity of 1.39 million and Lucy Lee being at 3.54 million barrels having a recovered capacity of 1.98 million barrels. Understand that the Mina well has only produced near 30,000 bbl/s. due to a uni-dralic unit that compresses the zone with heavy water while circulating. That puts a reservoir recovered or PUD analysis value of $81,600,000.
The Lucy Lee & Mina Travis wells have been slightly perforated, hydraulic units already installed, and more perforations will be coming to get them online.
The upcoming operation will be to further perforate the shale in other more oil bearing portions determined by our local geophysical team. The added perforations and deep HTX TAG gun perforations will be a 8-10 day operation.