The Vista Grande Upper Devonian Woodford project is located in the Val Verde Basin of the greater West Texas Permian Basin between the Central Basin Platform and the Marathon thrust front. The entire project recoverable resource is 1.4 BBOE gross/1.1 BBOE net and includes 4.14 TCF dry gas based on third-party evaluation.

Kerogen Exploration embarked on a project to explore the Woodford (black) Shale with the purpose of identifying and exploring for a commercial wet gas window. Studies included integrated technologies from geology, geophysics, petrophysics and engineering, and the SCOOP area in Oklahoma was identified as an analogy. Sweet spots were mapped based on overlapping, high-graded criteria.

The 90,000+ acre area of interest is characterized by thermal maturities ranging from black oil to the far north to dry gas to the south with a wet gas window identified between. The Woodford shale is Type II kerogen, organic-rich, porous, thick, over-pressured, and brittle. Fracture analysis indicates the optimum drilling direction for the laterals is SW-NE.

Kerogen has de-risked the play having drilled three wells two of which were tested in the Woodford in horizontal laterals. Data from the wells also demonstrated high-quality Barnett reservoir qualities which offer dual, stacked objectives of Woodford-Barnett; the Barnett is an attractive target to be tested going forward..