Areas of Operation

 

Gulf of Mexico

Over the past several years, Houston Energy has placed major exploration emphasis on the offshore Gulf of Mexico. This area offers an independent company such as HE various options and opportunities due to the availability of large affordable volumes of 3D seismic data, existing infrastructure with known royalty scales, and the ability to participate in the bidding for state and federal acreage at regular sales.

Houston Energy has been able to assemble over 5,400 blocks of 3D seismic data in the Gulf of Mexico to date, and employs state-of-the-art seismic modeling, AVO, and inversion when applicable to qualify and quantify prospects. With this amount of seismic control, HE has been able to map large portions of the Gulf in detail and categorize prospects within regional geologic frameworks. HE currently owns thirty-four 3D workstations for use in generating 3D prospects.

Onshore South Louisiana and Texas Gulf Coast

In the onshore Gulf Coast, Houston Energy concentrates on prospecting in known producing trends and in proven trap configurations. HE pursues three-way highside closures and downthrown rollover features along the lateral extensions of known producing lineaments and the basinward projection of established deltaic fairways. Simultaneously, HE is alert to the identification of lower risk and less expensive shallow structural traps.

In keeping with its overall exploration philosophy, HE keeps a balance between the high-risk/high-return deep prospects with shallower lower-risk/lower-return prospects. HE's diversified exploration program includes shallow salt dome plays, field infill and step-outs, and seismic "Bright Spot" prospects.

HE's exploration approach is heavily oriented toward 3D seismic. HE currently holds license to over 11,250 square miles of 3D data in the Onshore Gulf Coast. Complete integration of all available 2D and 3D seismic, well data, and additional reprocessing of the data with state-of-the-art techniques is mandatory.

West Texas/Southeastern New Mexico

Similar to its efforts in the Gulf Coast and Offshore, in West Texas and Southeastern New Mexico, Houston Energy is very heavily oriented toward 3D seismically defined prospects with major emphasis on structurally trapped reservoirs. Typical prospects in the northern Permian Basin are generally oil-prone and on the order of 640 acres or less in aereal extent, but can produce up to one million barrels of oil per well on 40-acre spacing. Structures in the Permian Basin are often vertically conformable, creating stacked pays in the overlying sections. Therefore, HE's prospects typically have multi-pay potential. HE currently holds licenses and/or owns over 740 square miles of late-vintage 3D data in West Texas and Southeastern New Mexico.