Texas Oil Farm Ranch For Sale

Business description

Texas Oil/Farm Ranch 520,000 Acres $625 million




· Second Largest Shallow Oil Field in Texas (at one time the largest)

· 350,000 + Acres of Undeveloped Oil Property with known oil reserves

· Has over 10,000 wells most of which can be placed back into production

· Over 700 Current Producing Oil Wells

· Most Have Multiple Pay Zones

· Majority of Wells Less Than 2,500 ft Deep

· All Wells Less Than 5,000 ft Deep

· Over 160,000 Acres of Proven Producing Oil Property

· Ranch Has Produced Over 200 Million Barrels of Oil

· Has current oil reserves estimated In the Billions of Dollars

· Currently Producing 40,000 + Barrels of Oil Per Month

· The ranch has a Copper reserve

· While drilling for Copper, Diamonds were discovered at 300 ft

· Has Over 26,000 Acres of Row Crop Farmland

· 4 large lakes 25,000, 10,000, 8,000 and 4,000 acres each

· Ranch has 170 full time employees

· 16,000 + Head of Cattle

· 400 Horses

· 58 farm houses

· 3 southern mansions

· Drilling and work over rigs

· 668 pieces of farm equipment (John Deere tractors, combines, plows, etc)

· Bell ranger helicopter

· In 1991 The Ranch Was Valued at $330,000,000.00 oil was $21.00 PB

· *Over 160,000 acres of mineral rights from NM ranch included

· Currently For Sale at around $1,200 Per Acre or $625,000,000.00






The oil is the main source of revenue for the ranch. There are over 9,300 oil wells that over time the equipment has run down and they are now closed. Most all of these wells can be reworked and placed back online and these wells will pay for the rework and a proven new technology applied in less than 90 days and pump oil for many years. Our suggestion and three (3) year goal would be as follows.



Rework the current producing 700 wells and 700 of the best producers of the over 9,300 closed wells for a total of 1,400 wells on line



1,400 wells producing @ 10 BOPD (ultra conservative) = 14,000 BOPD



Drill 150 new wells with an 90% success rate = 135 new wells on line @ 50 BOPD (ultra conservative) from each new well = 6,750 BOPD



This would move production up to a total of 20,750 BOPD @ $75.00 per barrel (Net) after expense = $1,555.000 (Net) per day after reworking and drilling new wells



Purchase ranch for $625,000,000 USD.



Rework 1,400 wells using new tech at $60,000 per well = $84,000,000 USD.



Drill 150 new shallow wells turnkey @ $500,000 per well = $75,000,000 USD.



Total for reworking the 1,400 wells and drilling 150 new wells =$160,000,000



This would take a total of $785,000,000 to purchase property and complete drilling and reworking program as outlined. 3-D & 4-D seismic, engineering work and permitting and bonding on the 350,000 undeveloped acres will add another estimated $15 M for a total investment of $800,000,000.



Revenue after completion would be $1.555 million per day x 365 days = $567,375,000 per annum after completion program. Profits will continue to rise as more wells are reworked and placed back on line and new wells drilled on the additional 350,000 acres that has known oil reserves but has not been developed. We have not accounted for any sells of natural gas as that information was not available to us on this date.



Please understand we have estimated reworking wells and drilling new wells at a maximum cost and estimated production at minimum as the latest new well drilled on the ranch is producing over 400 BOPD. Also we have used $75.00 per barrel as we feel like this will be a safe bottom for the next few years with many oil analysis predicting oil will reach $150.00 per barrel buy years end.



We have a new technology that has been bringing old wells in at anywhere from 400% to 1000% over current production when reworked using this new technology. This is not a rumor as our geologist has been using the new technology on wells with low bottom hold pressure, for over one year with outstanding results. This could be a very profitable venture as there is enough undeveloped land to drill oil wells for over 100 years and could possible become the largest shallow oil field in the United States.