Esmark Energy
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Above: Southern Star #1-31, Woods Co., Oklahoma

More Than 2 Million Barrels of Strategic Oil Reserves

 

Esmark Energy, LLC, a wholly owned subsidiary of Esmark, Inc., was formed in 2008 to make strategic investments in the exploration, development, production and distribution of oil and natural gas properties and reserves in the United States.

The founding of Esmark's oil and gas business was based on a comprehensive engineering, geological and financial analysis of several key properties in Nebraska and Oklahoma. However, the underlying strategy was simple: Identify a proven operating partner with a strong local presence and build substantial reserves while oil price points fluctuate between $40 to $80 per barrel. As the economy slowly improves commodity prices will rise in tandem, given that the world's known reserves of high-quality crude are declining at a rate of 5% per year as demand for crude oil continues to grow.

Esmark Energy currently has a number of significant oil and gas field operations in place, including:

  • Esmark purchased a 70% ownership stake in a 1,760-acre oil field known as the Pound Schmidt Unit located in Kimball County, Nebraska. The field is being operated by Esmark Energy strategic business partner and investor Eagle Creek Resources, LLC, and has reserves of more than 800,000 barrels of oil. Esmark Energy and Pennsylvania-based Eagle Creek maintain the rights to explore, develop, produce, and operate the field for oil and gas. In some cases, operations have re-entered existing well bores to produce the oil and gas reserves.
  • Woods County, Oklahoma. Successfully drilled and developed two 6,800-foot oil and gas discovery wells;
  • Alfalfa County, Oklahoma. Successfully drilled and developed two 6,600-foot oil and gas discovery wells;
  • Major County, Oklahoma. Successfully drilled and developed Redfork Well – Oil and Gas – with drilling depth over 8,000 ft; and
  • Esmark Energy also has significant investments in the Oklahoma's Gans Project, an exploration and development project for drilling shallow gas fields located on the Eastern Oklahoma Shelf of the Arkoma Basin.

 

The company believes these oil fields, combined with new exploration and development, will produce substantially more oil reserves in the years to come, and Esmark Energy and will continue to identify and acquire attractive properties to build long-term oil and gas reserves.

Esmark's estimated oil reserves as of August 30, 2009 exceed two (2) million barrels valued at more than $150 million.

 

 

Overview of Esmark Energy, LLC - Oil and Gas Reserves

Overview of
Esmark Energy, LLC
Oil and Gas Reserves

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