By October 20, 2015 Read More →

Energy Revenue America expanding coal bed methane production in OK

New mineral/royalty rights agreements will provide Energy Revenue America with additional acreage for drilling in 2016

Coal bed methane producer Energy Revenue America, Inc. has announced it is buying mineral rights and royalty agreements in Oklahoma.

Energy Revenue America

Energy Revenue America

Energy Revenue America says it spent the last 12 months repairing and updating its 65 mile natural gas pipeline and is now ready to “accelerate its focus” on acquiring new mineral and royalty rights agreements in Nowata and Washington counties.

The new Mineral and Royalty rights agreements will provide ERA with a new revenue stream and provide the option to add additional acreage as their drilling program ramps up in 2016.

“These new Mineral Rights and Royalty Agreements will position us for additional revenue and will  provide an option to acquire additional leases as we continue the aggressive drilling program that we started late this summer,” said Charley Havens, ERA Chairman and COO.

According to the Energy Revenue America website, the company has purchased the Envirotek Fuel Systems (Envirotek), a 65-mile pipeline with 3,000 acres in the Cherokee basin and three compressors presently transporting gas.

Energy Revenue America has options on an additional 10,000 acres in Nowata County (north of Tulsa) and will add an additional 235 miles of pipeline to the Envirotek system. The pipeline addition will be achieved through a combination of acquisitions and adding new pipeline to the present Envirotek pipeline.

Over the next five years Energy Revenue America expects to drill over 500 wells on the 13,000 acres.  The website says that gas reserves at the end of year 2 will exceed $80 million and at the end of year 3 over $150 million.

Posted in: Energy Financial

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