Brookside gearing up to drill fourth oil well in bustling US energy hub Oklahoma

Brookside Energy’s (ASX:BRK) successful Jewell well was spud and completed by a Latshaw drill rig earlier this year, owned by Latshaw Drilling. Now, the same rig will be used to spud the fourth well on-site Brookside’s project, called the ‘Wolf Pack’ well. 

Wolf Pack will be the fourth well in a campaign that includes: Jewell, Rangers, and Flames. All three wells have successfully turned over oil and condensate liquids; which are being progressed to market.

The Flames well was the latest to join Brookside’s portfolio, and continues to produce hydrocarbon products for sales. In May, its Rangers well posted flow rates over 1,000 barrels per day. 

Worth noting is that the wells produce oil, gas, and condensate liquids, meaning the company can benefit from high gas prices if oil drops, and vice versa. 

Ideal jurisdiction

Wolf Pack represents the first well following Brookside’s Held By Production (HBP) campaign (the first three wells discussed above.) 

HBP refers to Oklahoman state law. Once an oil or gas well starts producing, the owners of the well have an indefinite right to use the land hosting the asset until such time gas stops flowing. 

This process, called HBP, is a mechanism designed to allow juniors a fair go to get a foot in the door, so to speak. 

Compliance teams are progressing approvals with the Oklahoman state regulator, Oklahoma Corporation Commission (OCC), to win the greenlight to move ahead. Currently, cementing of the drill pad is being completed at the site where the Wolf Pack well will be perforated. 

Also worth highlighting is that Oklahoma is a major energy hub, just like Texas, but often forgotten in the latter's shadow. The two states share a border; Oklahoma is known for being politically aligned with the Lone Star state. 

Low-risk, high-returns: management 

Brookside expects the drill to hit the ground in November. Worth noting is that Wolf Pack will run quite deep. Its total length will be 17,000ft. 

Targeting the Sycamore fourmation, the well will vertically descend some 10,000ft, followed by a 7,000ft horizontal section. This horizontal section reflects the fracking component of the well design. 

“We continue to focus on our strategy for creating value with proven, low-risk, high-return development wells,” Brookside MD David Prentice said. 

“It is great to be working with the Latshaw team again…Lawshaw provided us with the people for the drilling of our very first operated well, Jewell.” 

“We are pleased to bring the news of commencement of phase 2 drilling.” 

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