Addison-based MDM Permian said Oct. 11 it has formed an alliance with Frisco-based FireDream Resources to jointly develop up to 200 wells in the southern Midland Basin. MDM Permian is the prospect generator and operator for the agreement that begins with four wells in Irion County on the 160-acre Lindley lease from Canyon Sands at approximate depths of 7,000 feet with Wolfcamp, Clearfork and San Angelo potential behind pipe. MDM Permian officials said the company has “designed a re-work program that includes updating existing infrastructure, additional perforations to increase oil and gas entry, chemical programs and acid jobs.”
Michael Rafael, president and CEO of MDM Permian, said, “The overlooked oil and gas reservoirs as well as the historically low recoveries from these wells in the Canyon Sands present a tremendous opportunity to build reserves and production at a relatively low cost using modern recovery technology.” He told the Midland Reporter Telegram his company’s petroleum engineer “determined these Canyon Sands had produced only four percent of oil in place.” Rafael added, “It seemed back in the days when these wells were originally drilled no one knew how to get oil out of the Wolfcamp … I still think there’s a lot of room for little guys like us to come in and drill conventional and unconventional wells.”