X-Change Corporation announced through its subsidiary Cress Oil, Inc., an independent exploration and production company based in Houston, Texas that it has acquired a 65,000 gross acre (50,000 net acre) lease position in the Alberta Bakken Shale formation in Montana.
Cress Oil plans to drill the initial 6-9 Bakken wells during the next 24-36 months, which will represent the start of a continuous, multi-rig development program for the company. In conjunction with a major oil company, Cress will develop the large acreage region over a period of the next 5 years.
"Our 65,000 acreage position in this region gives us a large competitive advantage in the Bakken Shale," said Atul Trivedi, chief executive officer of Cress Oil, Inc. "We believe the Bakken Shale gives X-Change Corporation a game-changing resource play for the United States and will be a major focus of Cress's future exploration and production activities."
In addition Cress Oil has taken down 7,500 of the 44,000 mineral acres position the company purchased earlier in the Bakken and Three Forks formation in the U.S. portion of the Williston Basin of Montana.
The mineral interest acquired by Cress Oil covers approximately 44,000 acres in Roosevelt County, Montana in the northeast range. The Roosevelt County continues to increase in daily production in oil and gas as more wells are successfully drilled. The company plans to drill within the next twelve months. The objective of this project is to exploit recently discovered reservoirs of shale oil and gas and other minerals. According to recent studies there is a large oil formation throughout the lease.
U.S. Geological Survey reports have found that the Bakken Shale is one of the largest and richest continuous oil accumulations in the United States. Because the Bakken shale has moved up into Canada, specifically Alberta, Canada, Cress Oil intends to explore and develop deep into the southern Alberta basin of Montana as well. There is an estimated of 6-24 billion barrels of oil to be recovered in the Bakken formation.
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