Joint VentureMay 28, 2026, 04:51 PM
Battalion Oil Finalizes Joint Development Agreement for 8-Well Program
AI Summary
Battalion Oil Corporation announced the execution of definitive documentation for a Joint Development Agreement (JDA) in Monument Draw, Ward County, Texas. This JDA formalizes a previously announced agreement for up to an eight-well program, providing an accretive carry structure to Battalion and accelerating development of core inventory. The initial phase will focus on a four-well pad, with drilling scheduled to commence in late Q2/early Q3 2026, targeting key formations and expected to prove out over 100 additional drilling locations. The company also continues to negotiate a long-term debt refinance and an oil transport and marketing partnership.
Key Highlights
- Executed definitive JDA for up to an eight-well Monument Draw program.
- Initial development will focus on a four-well pad, drilling in late Q2/early Q3 2026.
- Targets 3rd Bone Spring, Wolfcamp A, and Wolfcamp B formations.
- Expected to prove out over 100 additional drilling locations in Wolfcamp B and 3rd Bone Spring.
- Battalion will operate the wells and retain a majority working interest.
- One offset well achieved 389 Mboe (53% oil) through 267 production days.
- Second offset well achieved 123 Mboe (41% oil) through 82 production days.
- Company continues to negotiate an accretive refinance of long-term debt.
Price Impact
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