Just across the border from Mexico, south of Encinal and north of Laredo, lies the nearly contiguous 75,000 acres under lease by Kimmeridge Texas Gas. The position was assembled prior to the discovery of the Eagle Ford Shale play and its consolidated nature is particularly conducive to the significant economies of scale associated with unconventional development.
Geologically, KTG leasehold is located on a stable shelf between the Edwards Reef to the northwest and the Sligo Reef to the southeast. KTG drills all stacked pay targets under their acreage, which include Escondido (3,700′-7,400′), Olmos (5,600′-9,600′), Austin Chalk (9,100′-12,500′), Upper Eagle Ford (9,500′-12,800′), and Lower Eagle Ford (9,700′-13,000).
KTG manages all operations on its acreage and maintains a high working interest (~90%) in its properties. KTG produces from around 200 wells in the Escondido, Olmos, Austin Chalk and Eagle Ford formations.
