Nostra Terra buys minority stake in San Miguel Prospect

Oil and gas exploration company Nostra Terra announced on Monday that it has acquired a 1% stake in the San Miguel prospect in the South Texas region.

The prospect spans 35,000 acres and shares similar characteristics with the Don Pedro prospect, in which Nostra Terra purchased a 1% stake in April.

The project has already been the subject of extensive regional mapping and drilling work is ongoing at the site.

The first well has already been spud and the focus of the San Miguel prospect is on shallow oil targets, and according to the company there are up to nine stacked formations that are prospective to horizontal drilling, which has proven successful in the area.

“Between this prospect and the previous acquisition we should see a new well every other month. This compares very well with Chisholm Trail where over the last few years we announced 18 wells in a period of 26 months, with a number of operators,” said chief executive officer Matt Lofgran.

“The board continues to pursue additional acquisitions with the intention of having a material impact on production and reserves going forward," he added.