About the East Texas acquisition, Flowers adds, "The site's first workover has already been significantly more successful than expected. Undervalued assets such as these are helping to drive our growth. Our initial plan includes bringing 5 wells back into production. Under the supervision and planning of Joel and Juan Tamez of 'J&J Tamez LLC', the Flowtex team could not be more pleased with the results. A well that was deemed unrepairable came back into production on January 8th, with an initial production rate of 230 BOPD which has stabilized, without issue, at double our expected production rate. This victory has the team very eager to move on to the next set of wells this month."
Flowtex's rapid growth can also be attributed to market conditions. Flowtex was formed after the oil prices tumbled in 2014 which led to so many distressed assets becoming available. Flowtex assembled an experienced, highly-skilled technical team to identify the best acquisition targets. The Flowtex technical team analyzes the potential yield of each lease, as well as the opportunity for efficiency improvements which fundamentally change an asset's financial equation. Armed with this analysis and recommendation from the technical team, Flowtex can more accurately value acquisition opportunities.
Flowtex president Beau Flowers is proud of how far the company has come since its founding. "We've formed an incredible team of experts in identifying undervalued assets in a competitive business. The due diligence for each acquisition can take years. Our goal is to find areas that are far enough along in the research and development phase that we can expedite the process, producing as much oil as possible before the prices go back and the costs to drill and produce begins to get inflated again. When it comes together like it has with this East Texas site, it feels great, not only for me personally, but also to see this team perform. We're putting hard-working Americans back to work while reducing dependence on foreign oil."
Flowers adds that Flowtex is not finished acquiring under-performing assets. "We've been in the Oil Business long enough to have seen many cycles and realize that right now, when the market is down, is the time to capitalize. We will be careful to make the best possible acquisitions, but, yes, we'll continue to expand when the opportunities arise and our team feels confident in the financials behind each project."
About Flowtex Energy
Flowtex Energy is a leading exploration company specializing in the acquisition and development of domestic oil and natural gas wells. The company's team of experts capitalizes on decades of combined experience and an extensive industry network to secure opportunities in superior oil and gas properties, which ultimately provide significant return potential with quantified downside risk for participating partners.
Rise Early…Work Hard…Strike Oil!
Learn more at http://www.flowtexenergy.com or contact Flowtex Energy Media Relations at (512) 229-1596.
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/flowtex-energy-completes-acquisition-of-positive-yield-east-texas-oil-fields-300405699.html
SOURCE Flowtex Energy