BHP – Petrohawk’s Red Hawk Zavala County Acreage Abandoned

Petrohawk has terminated any further investment in Zavala County’s Red Hawk field. We’ve heard this was a possibility. Eagle Ford Shale Oil wells in the county have not outperformed expectations like many other areas of the play and Petrohawk has now stepped away from the asset. BHP is not expected to continue drilling, but I’m sure the company will consider whether or not the Zavala County Eagle Ford assets fit the company’s overall portfolio.

Watch for well results from Chesapeake in the eastern part of the county. It will be interesting to see if Chesapeake’s acreage provides better returns. Petrohawk and Chesapeake were two of the earliest movers in the county.

Petrohawk announced Results in the Red Hawk prospect in Zavala County, Texas, failed to meet minimum expectations during the quarter. As a result, capital spending at Red Hawk will be terminated and capital budgeted for 2011 will be reallocated to other operating areas.

Read the full press release at

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Kenneth E. DuBose

Kenneth E. DuBose

Kenneth DuBose is the past President of Cheyenne Minerals Inc., an independent oil and gas operator. He began his energy industry career with ARCO Oil & Gas. Mr. DuBose then directed development of natural gas storage projects with Tejas Power Corp. He was a founding member of U.S. Minerals, (acquired by Torch Energy in 1999) a provider of internet based education for America’s mineral owners. Mr. DuBose holds a BS in Petroleum Engineering from Mississippi State University. He has served on various industry steering committees, non-profit boards, and is an active member of the Society of Petroleum Engineers, the National Association of Royalty Owners, the American Association of Professional Landmen, as well as being a Registered Investment Advisor. He writes on topics of oil and gas investing, wealth management and personal finance, having appeared in the Wall Street Journal, Kiplinger’s, Kiplinger’s Personal Finance, Houston Business Journal, Financial Advisor and various radio and TV outlets.