Falcon Finalizes Agreement With Deweyville Partners

Located 25 miles northeast of Beaumont, the Deweyville prospect is situated in the down-dip section of the Yegua Trend. This prospect is defined by subsurface mapping and integration of 3D seismic data. According to Falcon, conservative project economics for three wells were run on a combined 9 BCF of gas and 3 million barrels of oil (or 27 BCF equivalents). Nearby analogue fields and volumetrics, however, suggest that up to 40 BCF and 14 million barrels of oil (or 110 BCF equivalents) can be recovered.

Falcon has purchased 16 percent of the working interest in this prospect. In addition, it will pay 16 percent of all well costs and G&G costs, third-party prospect fees, land brokerage costs, lease bonus, and all other similar costs of the prospect.