Pacific Energy Development Announces Closing of Acquisition of Over 23,000 Net Producing Acres in the Permian Basin
Significant Horizontal Infill Opportunities in Prolific San Andres Formation
Houston, Texas, Tuesday, September 4, 2018 – PEDEVCO Corp. d/b/a Pacific Energy Development (NYSE American: PED) (the “Company") announced today
that effective September 1, 2018 it closed the previously announced acquisition of over 23,000 net leasehold acres, all operated production, and all related
existing infrastructure and certain operating companies from certain U.S. subsidiaries of Hunter Oil Corp. (OTCQX: HOILF; TSX-V: HOC). These assets are
located in the Chaveroo and Milnesand fields of the prolific San Andres play in the Northwest Shelf of the Permian Basin situated in West Texas and eastern
New Mexico, and are notable as follows:
? Historical production from these two fields is 48 million cumulative barrels of oil equivalent (“MMBOE”), with more than 600 MMBOE (~93%)
estimated remaining in place.
? 440 vertical San Andres wells have already been drilled in the two fields without a single dry hole.
? Greater than 100 feet of net thickness in the main pay zone of the San Andres reservoir across the asset provides ideal environment to apply
horizontal drilling technology to existing infill locations.
? Development plan to be announced by the Company next week.
Dr. Simon Kukes, the CEO of the Company, commented, "We are pleased to announce the closing of this transformative acquisition, which, together with our DJ
Basin asset, we believe will provide the Company with a core platform from which to build a significant oil and gas company. We look forward to announcing
our development plans for the San Andres asset next week as we have already began the planning and design work on the development plan.”
