DALLAS--(EON: Enhanced Online News)--NYTEX Energy Holdings, Inc. ("NYTEX", or the “Company”) (OTCQB: NYTE), a Dallas-based energy holding company operating through its subsidiary, NYTEX Petroleum, Inc. announced the acquisition of 5,325 leasehold acres in the Texas Permian Basin in a joint venture that includes Greeheyco, Inc. Under the terms of the joint venture agreement, NYTEX is the designated operator of the prospect acreage on which up to 33 wells can be drilled. Currently holding a 10% working interest in the acreage, NYTEX is in negotiations with several joint venture partners to increase its working interest ownership position in the acreage. The primary objective is the San Andres formation. The wells are planned to be drilled horizontally in existing oil fields where only vertical wells have been drilled for many decades. Utilizing horizontal drilling and advanced completion technologies, recent horizontal San Andres wells in the Permian Basin have resulted in initial production rates in excess of 200 barrels of oil per day and significant estimated ultimate recoveries.
“We believe the detailed geological and engineering studies we undertook this year on the San Andres formation will result in an asset that, with the skillful execution by our capable drilling and production team, can rapidly add significant shareholder value.”
Michael Galvis, NYTEX President and CEO, commented, "We believe the detailed geological and engineering studies we undertook this year on the San Andres formation will result in an asset that, with the skillful execution by our capable drilling and production team, can rapidly add significant shareholder value.” Mr. Galvis added, “Our investment in the San Andres will provide NYTEX with a core asset that is highly scalable throughout key areas that we have identified in the Permian Basin.”
About NYTEX Energy Holdings, Inc.
NYTEX Energy Holdings, Inc. (website: http://nytexenergyholdings.com) is an early-stage exploration and production (E&P) company engaged in the acquisition, development, and production of oil and gas reserves from low-risk, high rate-of-return wells in shallow carbonate reservoirs. Our strategy is to enhance value for our shareholders through the development of a well-balanced portfolio of natural resource-based assets at low finding and development costs.
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