Citation's first substantial property acquisition occurred in 1986. That year, Citation purchased a number of Permian Basin properties from Shell Oil Company. Since that time, Citation has continued to expand its production base in West Texas and New Mexico. Citation has purchased additional assets from companies such as Amoco, Exxon, Texaco and Mobil, and those assets include both primary and secondary recovery projects. The West Texas Region also includes an active development project in Willacy County for Frio and Miocene-aged sands at the Willamar Field.
The West Texas Region office is located in Midland, Texas.
Barnett Shale
The company owns approximately 5,000 net acres in two consolidated positions located near the northern and southern boundaries of Parker County, Texas. Citation's current production consists of shallow gas encountered in the Bend and Caddo formations. The deeper Barnett Shale trend has rapidly become the premier shale gas play in the onshore domestic United States. Citation has partnered with active players in the offsetting leases to shoot and interpret relatively large 3-D seismic surveys. Over 50 prospective locations for horizontal wells within the Newark East Field have been identified and are being evaluated for drilling to an average TVD of 6,000'.
Flowers Field
Flowers Field is located in southeast Stonewall County, Texas. Citation acquired the approximately 5,875 acre field from Texaco in 1994. Production from the Canyon sands began in the early 1950's and the field was unitized for water flooding in 1963. Many of the wells were shut-in or abandoned due to mechanical failure. Citation drilled a 28-well infill development pilot to further evaluate reactivating the waterflood and to determine the extent of remaining undeveloped reserves. With the successful pilot programs, Citation will have the opportunity to drill up to 300 additional infill, injection and replacement wells to a relatively shallow depth of 4,500 feet.
Fuhrman Mascho Field
The Fuhrman Mascho Field is located in the northeast portion of the Central Basin Platform of the Permian Basin, just four miles west of Fuhrman, Texas. The field was initially developed in 1937. Citation's E.F. King lease produces oil and associated gas from 15 producers completed in the San Andres and Glorieta/Clearfork formations at 4,300' and 5,400', respectively. Cumulative production amounts to 6.4 MMBO, 4.6 BCFG and 3.8 MMBW from reservoirs predominantly influenced by solution gas drive mechanisms. Citation began water flooding in December 2004 by converting two producers to injection. Further development of a 40-acre five-spot pattern continued in 2008 with the drilling of two additional injectors and increasing production to 440 Bopd. Up to 12 additional lease line injectors could be drilled on the King lease boundaries.
Goldsmith
The Goldsmith property is located just north of Odessa, Texas on the Central Basin Platform in the Permian Basin. Acquired from Shell in late 1986, Goldsmith Field produces from the San Andres formation at approximately 4,000' and the Clear Fork at 5,600'. Total daily operated production is 95 Bopd and 430 Mcfd from 16 producing wells. Additionally, Citation owns a significant WI in the Cummins Deep Unit operated by Apache Corporation and the Landreth Deep Unit operated by Occidental Permian. Both operators have been very active drilling approximately 60 Clearfork wells in 2004, 15 wells in 2005, 25 wells in 2006, 19 wells in 2007 and 12 wells in 2008. Additional infill drilling and waterflood expansion opportunities are present on all Citation properties at Goldsmith.
Harper
Discovered in 1933, the Harper Field is located on the east side of the Central Basin Platform in Ector County, Texas. It is on a prolific trend composed of various San Andres carbonate fields encountered at a depth of 4,000'. The East Harper Unit, originally operated by Shell Oil Company, was formed in 1966 to waterflood the eastern half of the Harper Field. Citation acquired and became the operator of the unit in 1992. Currently unit production is 230 Bopd, 85 Mcfd and 4,600 BWPD with an injection rate of 6,250 BWIPD. Waterflood development of the Lower San Andres formation is progressing through vertical deepenings, as well as injector reactivations. An additional 110 Bopd and 50 Mcfd produce from the non-unitized Glorieta and San Andres properties in the field.
Jordan
The Jordan Field is located 10 miles southwest of the East Harper Unit in Ector and Crane Counties, Texas. The trap is a low-relief, broad anticline formed by the drape of Permian sediments over buried Pennsylvanian faults. The Jordan University Unit was formed in 1966. Citation acquired it from Shell Oil Company in 1991. The unit contains 122 producers and 35 injectors with production of 570 Bopd and 635 Mcfd from the San Andres reservoir. Upside potential is being exploited through injector reactivations, profile management, and recompletion activity.
North Robertson
Acquired from ExxonMobil in 2003, Citation's North Robertson Field is located in Gaines County, TX, approximately eight miles southwest of Seminole. With 68 active producers and injectors, the North Robertson Field currently produces 785 Bopd from multiple Permian and Pennsylvanian Reservoirs. Within the Glorieta/Clearfork reservoir, the focus items have consisted of waterflood pattern re-alignment and a successful 15-well infill drilling program in 2008. Additional opportunities at North Robertson include reactivations and stimulation work in other reservoirs, including the development of high nitrogen-concentrated gas from the Yates Sands.
Willamar
Citation acquired the Willamar Field from Amoco Production Company in July 1989. The field is located approximately 15 miles northeast of Harlingen, Texas in Willacy County and produces 620 Bopd and 490 Mcfd from 58 active producing wells. Active reservoirs are the unitized Frio and Miocene sandstone intervals ranging in depth from 3,500' to 8,500'. Citation owns a 60 square mile 3-D seismic survey across the property. Additional opportunities remain to recomplete existing wells in shallower Miocene sands and possibly identify additional drill locations on existing structures.
| Net Proved Reserves | 29 MMBbls 43 Bcf |
| Net Production |
4,500 Bopd 8,900 Mcfd |
| Active Wells | 3,000 |
| Employees | 58 |