Producing Oil & Gas Assets with Workover Upside

# Confidential Sale Memorandum

## Texas Working Interest Opportunity – Producing Assets & Rework Projects

This memorandum describes a working interest available for acquisition in a portfolio of Texas oil and gas assets consisting of existing producing wells and selected rework opportunities. The properties are located in established producing areas where redevelopment activities are planned using existing wellbores and infrastructure.

## Bartlett "F" Rework – Jones County, Texas

The Bartlett "F" property produces from the Bluff Creek Sand formation. The planned rework program consists of acid stimulation of existing producing wells to improve formation permeability and restore production.

The field currently includes six producing wells and seven injection wells. Produced water is recycled through the existing injection system, reducing operating costs and utilizing established field infrastructure.

**Current status**

* Existing producing and injection wells
* Current production: approximately 4 BOPD
* Planned production following workover: approximately 10 BOPD
* Estimated workover budget (AFE): $80,000

## Jade #9 Rework

Jade #9 is located within the Fort Worth Basin and targets the productive Pregnant Shale interval. Historical well logs indicate gas-bearing zones that are candidates for recompletion using modern completion techniques.

**Current development plan**

* Target production: approximately 200 MCF/day
* Estimated workover budget (AFE): $100,000

## Ragle #7 Rework

Ragle #7 targets multiple sandstone intervals within the Strawn Sands formation between approximately 2,720 and 2,900 feet.

The proposed work program includes acid stimulation and a sand-fracture treatment intended to improve well productivity.

**Technical summary**

* Formation: Strawn Sands
* Acreage: 40 acres
* Acid treatment: 1,500 gallons HCl
* Fracture treatment: 20,000 pounds sand
* Estimated workover budget (AFE): $140,000

**Estimated production following rework**

* Oil: approximately 2 BOPD
* Gas: approximately 150 MCF/day
* Water: approximately 40 BWPD

## Property Highlights

* Established Texas oil and gas properties.
* Existing producing wells and field infrastructure.
* Rework opportunities identified using historical production and geological data.
* Development programs focused on improving production from existing wellbores.
* Oil and natural gas production from proven formations.

## Working Interest Available

A working interest in the properties described above is available for purchase through a direct asset sale.

**Indicative terms**

* 1.00% working interest: $10,800
* Net Revenue Interest (NRI): 0.75%
* Existing lease burden: 25.00% royalty to mineral owners

Projected production and operating information, together with supporting geological, engineering, and economic data, are available to qualified purchasers during the due diligence process.

Additional documentation, including well files, production history, technical information, and operating data, is available upon request.