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EX-10.2 - AGREEMENT, DATED SEPTEMBER 6, 2018, BETWEEN GLOBAL VENTURE INVESTMENTS INC. AND - PEDEVCO CORP | ped_ex102.htm |
EX-10.1 - SEPARATION AND GENERAL RELEASE AGREEMENT - PEDEVCO CORP | ped_ex101.htm |
8-K - CURRENT REPORT - PEDEVCO CORP | ped_8k.htm |
Exhibit 99.1
Pacific Energy Development Announces
Development Plan for Recently Acquired Assets in the Permian
Basin
Significant Horizontal Infill Opportunities in Prolific San Andres
Formation
Houston,
Texas, Monday, September 10, 2018 – PEDEVCO Corp. d/b/a
Pacific
Energy Development (NYSE American: PED) (the
“Company") today announced its development plan for its
recently acquired assets located in the Chaveroo and Milnesand
fields (the “Assets”) of the prolific San Andres play
in the Northwest Shelf of the Permian Basin situated in West Texas
and eastern New Mexico. This plan has been developed over the past
10 months as the Company evaluated these Assets prior to the
acquisition which closed on August 31, 2018. Currently, the Company
has initiated a fast-track development plan which includes a phase
one program of drilling, completing and evaluating the results of
an initial 4 horizontal wells over the next 3 to 6 months. Phase
two of the program contemplates the drilling and completion of 12
additional horizontal wells in 2019.
Over
440 vertical San Andres wells have been drilled on 40-acre spacing
in these two fields and recovered 48 million barrels of oil
equivalent with an estimated 600 million barrels of oil equivalent
remaining in place. The Company’s plan calls for infill
drilling with horizontal wells to bring the spacing down to 20
acres and thus convert proved undeveloped reserves to proved
developed producing reserves, as well as converting probable and
possible reserves to proved reserves.
Leveraging
historical production data and existing infrastructure within the
field, including roads, power, and water disposal facilities
acquired by the Company, the Company has identified over 150 well
locations for horizontal infill development targeting the main pay
zone of the San Andres reservoir which has a net thickness in
excess of 100 feet across these Assets. The Company owns an
approximate 100% working interest and an approximate 80% net
revenue interest across these Assets.
The Company is also pleased to
announce the addition of Mr. Clayton Riddle as the Company’s
new Vice President, Development, and Mr. Kevin Goebel as the
Company’s new Operations Manager, both of whom have extensive
relevant experience in the development, modern horizontal drilling
and completion techniques as well as operational management of San
Andres assets through their prior employment with a private San
Andres focused operator. Mr. Riddle and Mr. Goebel also have
extensive experience in the D-J Basin in Colorado where the
Company’s other primary assets are located.
J.
Douglas Schick, President of the Company, stated, “We have
spent a long time evaluating multiple opportunities in the San
Andres and we believe these Assets ideally fit our strategy. We
believe this acquisition and development plan will transform our
Company into one of the key players in the horizontal San Andres
play. It offers us a unique opportunity to horizontally down space
two main pay fields, which is a rarity in legacy San Andres assets.
We have strategically assembled a multi-disciplinary technical and
operations team with experience centered on the horizontal San
Andres play and we are confident we will successfully develop these
Assets and significantly increase production in the near
term.”
About Pacific Energy Development (PEDEVCO Corp.)
PEDEVCO
Corp, d/b/a Pacific Energy Development (NYSE American: PED), is a
publicly-traded energy company engaged in the acquisition and
development of strategic, high growth energy projects in the United
States. The Company’s principal assets are its San Andres
Asset located in the Northwest Shelf of the Permian Basin in
eastern New Mexico, and its D-J Basin Asset located in the D-J
Basin in Weld and Morgan Counties, Colorado. Pacific Energy
Development is headquartered in Houston, Texas.
Cautionary Statement Regarding Forward Looking
Statements
All
statements in this press release that are not based on historical
fact are "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995 and the provisions
of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended (the
“Acts”). In particular, when used in the preceding
discussion, the words "estimates," "believes," "hopes," "expects,"
"intends," "plans," "anticipates," or "may," and similar
conditional expressions are intended to identify forward-looking
statements within the meaning of the Act, and are subject to the
safe harbor created by the Act. Any statements made in this news
release other than those of historical fact, about an action, event
or development, are forward-looking statements. While management
has based any forward-looking statements contained herein on its
current expectations, the information on which such expectations
were based may change. These forward-looking statements rely on a
number of assumptions concerning future events and are subject to a
number of risks, uncertainties, and other factors, many of which
are outside of the Company's control, that could cause actual
results to materially differ from such statements. Such risks,
uncertainties, and other factors include, but are not necessarily
limited to, those set forth under Item 1A "Risk Factors" in the
Company's Annual Report on Form 10-K for the year ended December
31, 2017 and subsequently filed Quarterly Reports on Form 10-Q
under the heading "Risk Factors". The Company operates in a highly
competitive and rapidly changing environment, thus new or
unforeseen risks may arise. Accordingly, investors should not place
any reliance on forward-looking statements as a prediction of
actual results. The Company disclaims any intention to, and
undertakes no obligation to, update or revise any forward-looking
statements, except as otherwise required by law, and also takes no
obligation to update or correct information prepared by third
parties that are not paid for by the Company. Readers are also
urged to carefully review and consider the other various
disclosures in the Company's public filings with the Securities
Exchange Commission (SEC).
Contacts
Pacific
Energy Development
1-855-733-3826
PR@pacificenergydevelopment.com