America Resources Exploration has acquired a new oil field in Texas.
The company said the Harris Leases in Callahan County total approximately 700 acres and come with six shallow wells drilled into the Jane’s Cross Plains Sand pay zone.
The firm said it plans to issue 500,000 shares for the acquisition to the sellers at a value of 0.97 per share.
Chief executive Huang Yu said: “We are looking forward to developing this new acreage as we believe the previous owners may not have tapped its full potential.
“These leases are adjacent to our newly acquired Snyder leases, which our geologist estimates may hold as much as 4.1 million barrels of oil.”
America Resources Exploration is having the potential reserves of the oil field assessed and plans to engage a new operator to take over pumping of oil on property and submit a quote for a
potential rework programme for the six wells currently on site.