PEDEVCO Corp. d/b/a Pacific Energy Development (NYSE MKT: PED) (the “Company”) announced today the financing of seven new Wattenberg horizontal wells in which the Company elected to participate for its full 25% working interest, and an eighth Wattenberg well in which the Company elected to participate for its full 4.4% working interest. As previously reported, these wells were drilled and completed by a third party operator in the Wattenberg Area of Weld County, Colorado, with seven of these wells located in the same section as three of the Company’s other producing wells which had initial production rates in excess of 500 barrels of oil equivalent per day (boepd).
These eight new wells were drilled and completed at an estimated 15% under budget with an average initial production rate as calculated by the Company of approximately 521 barrels of oil per day (bopd) and 482 thousand cubic feet of gas (mcfgd) (601 boepd) from the Niobrara “B” and Niobrara “C” Bench target zones, which production rates significantly exceed the 500 boepd production rates the Company initially anticipated from these wells.
In anticipation of the Company’s previously announced pending merger with Dome Energy, the Company signed agreements with Dome whereby Dome has provided the financing for these wells as further described in the Company’s Current Report on Form 8-K filed with the SEC today.
Commenting on these results, Mr. Frank Ingriselli, the Company’s Chairman and Chief Executive Officer, stated: “We are very excited to have successfully financed these wells through our partnership with Dome Energy and for the wells to come in under budget and with production that exceeds our expectations. We look forward to continuing to develop our acreage through our drilling and completion of wells operated by us, and through participation with other experienced operators in the D-J Basin.”
About Pacific Energy Development (PEDEVCO Corp.)
PEDEVCO Corp, d/b/a Pacific Energy Development (NYSE MKT: PED), is a publicly-traded energy company engaged in the acquisition and development of strategic, high growth energy projects, including shale oil and gas assets, in the United States. The Company’s principal asset is its D-J Basin Asset located in the D-J Basin in Colorado. Pacific Energy Development is headquartered in Danville, California, with an operations office in Houston, Texas.