G2 Energy said it has officially transferred control of the operations and production of its cornerstone-producing oil asset the Masten Unit in Cochran County, Texas, from RMB Operating to an interim operator.
RMB Operating was removed as it did not meet performance standards nor did it cooperate according to the company’s expectations, G2 said.
The appointment of an interim operator is an important step in G2 becoming the operator of records, it noted.
The company said it has hired and will deploy a new operating team comprised of local oil industry professionals who will advance the Masten Unit in a safe and efficient manner.
The team has submitted to G2 a detailed service plan which they will immediately execute to return the Masten Unit to its previous production levels over the next 40 days.
G2 CEO Slawek Smulewicz said that it was a major milestone for a junior company in the energy sector to become its own operator.
“Together with the interim operator, G2 will now be able to closely monitor all aspects of field operations, reduce costs and increase near-term production,” Smulewicz said in a statement.
“Our first priority will be to initiate a low-cost work-over program on six of our existing wells. We anticipate a substantial increase in both our production and the resultant cash flow within 90 days.”
G2 Energy is a junior oil and gas producer focused on acquiring and developing additional overlooked, low-risk, high-return opportunities in the oil and gas sector.
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