One of our governors remarked that “Texas has long been known as the nation's largest energy producer, but we are equally proud of our distinction as the nation's leading energy innovator.” Escondido Resources is proud to be one of those innovators. We are applying new drilling and fracture stimulation technologies to old, established South Texas fields with great results and a 97% success rate. Current net production rate for the company exceeds 30 million cubic feet of natural gas per day from the Olmos, Escondido and Eagle Ford formations. We are drilling horizontal wells in all of our target formations, resulting in higher reserves, increased efficiency and improved economics. Horizontal drilling technologies also minimize our footprint on the land, significantly reducing the impact of our operations.
As the country searches for cost-effective and environmentally sound energy alternatives, natural gas will continue to play a critical role in the transition to cleaner-burning fuels and a greater independence from foreign oil. That is why the Eagle Ford Shale and other shale plays like it are emerging as important factors in America’s energy strategy and one answer to an energy-hungry economy and economic recovery.
Texas is a vibrant and exciting place to live and work. It is home to every member of our team. We are pleased to be a significant contributor to the economies and quality of life in Webb, LaSalle and McMullen counties as a job creator, employer and taxpayer. Our three-county acreage position of more than 40,000 acres has a gross resource potential of more than 4 trillion cubic feet.
Escondido is well positioned for growth. We look forward to continuing our work with landowners and local communities as we advance our efforts to discover hidden natural gas reserves in South Texas.
William E. "Bill" Deupree
President & CEO