Areas of Exploration
Over the years, Texas Royalty’s exploration efforts have resulted in drilling prospects that have tested almost every productive geologic formation in the East Texas Basin. Our early exploration efforts there concentrated in Leon, Limestone, Robertson and Freestone Counties, where some highly lucrative prospects were developed. This early commitment to East Texas was derailed when natural gas prices fell to under $3/MCF while oil prices were surging to close to $100/BBL.
In 2011, we shifted our focus to shallow oil plays in West Texas, concentrating primarily in conventional drilling plays in the mature basins from the Eastern Shelf to the Permian Basin. New opportunities are presenting themselves throughout the State of Texas in both the natural gas and oil sectors, and we are looking hard for the right opportunities with today’s pricing in mind.
From time to time, Texas Royalty will use 3-D seismic as an exploration tool to explore new horizons in new areas, as well as within the boundaries of some of our current producing fields. We are currently working a couple of 3-D data sets that have generated new ideas that we will drill when oil and gas prices recover.
Texas Royalty consults with outside Geologists, Geophysicists, Engineers and Landmen to help us explore for oil and gas. These experienced professionals play an important role in guiding our Exploration efforts toward successful drilling projects and production purchases. They help choose our opportunities wisely in ever-changing economic conditions and pricing scenarios.