In July 2004, Citation purchased properties located in southeastern Colorado from Anadarko Petroleum Corp. In connection with this acquisition, Citation formed its Central Region to allow key operating personnel the ability to focus on these new assets. The majority of production from its SE Colorado properties is from Morrow-aged sands along the Las Animas Arch located near the town of Cheyenne Wells, Colorado. The Central Region was expanded in 2006 to include Citation’s properties located in Illinois, Kansas, Nebraska and Utah. These properties include mature waterfloods as well as primary production.
Citation entered the Illinois Basin in 1998 with its acquisition of the Salem Unit, located in Marion County, Illinois, from Texaco. From 2005-07, Citation constructed a gas plant at the Salem Unit that now processes natural gas and NGL’s that had been flared at the wellhead for years. In August 2010, Citation acquired over 150 additional leases and units in 13 fields located in southeastern Illinois and Indiana from Noble Energy that complemented its existing Salem Unit operations in Illinois through the addition of shallow, long-life producing oil properties with operational enhancement and exploitation potential. As a result of this acquisition, Citation became the largest operator in the Illinois Basin. In 2014 we continued our developments in the Illinois Basin, with an additional 31 new wells.
In September 2012, Citation acquired 100 additional leases and units in Kansas from Noble Energy near Citation’s existing Fairport and Bemis-Schutts fields. This 2012 producing property acquisition significantly expanded Citation’s operations in Kansas with a nearly three-fold increase in production in the state.
Citation’s recent activity in its Central Region has focused on developing its assets in the Illinois Basin, specifically the properties it acquired in the Noble acquisition along with continuing exploitation of its legacy Salem Unit. For the recently acquired Illinois and Indiana properties, current plans include continuing to drill and fracture stimulate wells in the Griffin field in Indiana targeting the Salem and Warsaw formations, and recompletions of existing wells to open additional pay in the Clay City area targeting Salem and shallower formations. In the Salem Unit, current development efforts are focused on reactivating and drilling additional Devonian producers and injectors, exploiting the underdeveloped deeper Trenton formation, and reactivating Aux Vases and McClosky producers. In the fall of 2010, Citation initiated a 20-acre surfactant polymer (SP) flood pilot project following a successful single well SP injection test in the shallow Benoist sand. Future potential for the Salem Unit includes continued reservoir optimization, drilling and recompletions, expanding the Benoist pilot SP flood and implementing other tertiary recoveries among various reservoirs. In the recently acquired Kansas assets from Noble, Citation’s development is focused on drilling additional 10-acre Arbuckle wells and performing polymer treatments on producing wells to improve water injection efficiency and production rates.
Citation’s Central Region office is located in Houston, Texas.