Global Petroleum (LON:GBP) told investors that drilling is now underway on the Peeler #3 vertical production well on the Leighton Olmos field in McMullen County, Texas.
The AIM-listed oil firm has a 15 percent stake in the field which is operated by Texon Petroleum (ASX:TXN).
Drilling began on Peeler#3, the ninth well targeting the Olmos reservoir, on the 15 June. The well will be drilled to 2,743 metres.
Texon is expected to take 15 days to drill the well and run production casing. After that the well will be fracture stimulated in August. There are eight Olmos wells currently in production. In April Texon brought two of these wells online, with combined production of 550 barrels of oil equivalent per day.
According to Texon, Leighton Olmos contains 2.25 million barrels of oil equivalent.
Yesterday, Global revealed that Texon spudded another well, this time on the Tyler Ranch project, which targets the Eagle Ford shale.
This well is located just north of the partner’s first Eagle Ford well. That first well, Tyler Ranch EFS Nos1H, achieved an initial production rate of 1,200 barrels of oil per day (bopd).
Drilling and casing operations are expected to take 35 days with fracture stimulation and well testing scheduled for August.
Aside from the Texas shale projects Global is also interested in projects in Namibia. The group is currently working through the acquisition process to buy Jupiter Petroleum, which holds prospective assets in offshore Namibia and Juan de Nova - a French dependency in the Mozambique Channel.
Earlier this month Global received approval from the Namibian competition commission, which was a key step in the acquisition process. It is now working towards satisfying the remaining conditions as soon as possible.
The sale and purchase of Jupiter was conditional on the satisfaction of a number of conditions - including due diligence investigations and the necessary consents from the government. Shareholders must also approve it at a general meeting.