Redhawk Resources - Fund III
$15,000,000

There are four phases in Redhawk Resources Fund III; acquisition, repair and enhancement, developmental and lastly, liquidation.  The goal of the project is to generate meaningful cash flow, provide maximum tax deductions and create considerable principal value for wealth-building purposes.  These goals will be achieved by increasing production from 70 wells originally drilled by Gulf Oil Corporation. Repair work will be done on a number of wells, 20 wells will be worked over, and 39 wells will be converted to injectors. Six new wells are planned to be drilled creating an efficient and productive waterflood. The end goal is to be producing about 740 barrels of oil per day from this project.

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Proven Fields

The Energen 5000-acre field to the northwest of our location has been in water flood since 1978.  To date, it has produced an estimated 9.5MBO during its water flood recovery and is still actively producing 90 barrels of oil per day.
The Apache 4000-acre field to the southwest of our location has been in water flood production also since 1978. To date, it has produced an estimated 18.6MBO during its water flood recovery and is still currently averaging 220 barrels of oil per day.

Workover/Drill Status

All wells in this field were drilled and completed during the late 1980's and early 1990's by perforating only one (1) shot per foot within the areas of highest porosity. There has been success in this area by re-perforating pay zones with multiple shots per food and adding additional shots in zones that were never perforated.  Using advanced pumping and lifting technology should increase production from its current rates.  While the repair and enhancement phase is being performed, land and legal work would be underway to unitize leases allowing a water flood program to be put in place.  The developmental phase would include drilling up to six (6) new wells and installation of five (5) water flood stations.