Magnolia Petroleum gains stake in new Oklahoma gas wells

Magnolia Petroleum has announced it is working with Continental Resources to drill 10 new gas wells in Oklahoma.

The AIM listed company announced on Friday the new wells will be drilled in the Woodford formation, from which it’s estimated a total of 3.2bn barrels of conventional oil have been recovered from 60 reservoirs.

It will hold an average net working interest in each well of 0.525%, with the company’s total cost for all 10 wells estimated at $0.59m. The total cost of each well ranges from $8.8m to $13.1m.

The first well will spud in October.