Jul 1, 2014 7:12 PM by AP
Lafayette-based PetroQuest Energy Inc. has acquired a 50 percent stake in 30,000 acres Midstates Petroleum Co. currently has under lease in Fleetwood, a few miles west of Baton Rouge, in a deal valued at $24 million.
The Advocate reports (click here) PetroQuest will pay $10 million in cash and credit $14 million to Houston-based Midstates for future exploration activities in the oil-rich formation. Midstates estimates that the area contains the equivalent of more than 300 million barrels of oil.
PetroQuest will be the lease operator and plans to drill two exploration wells during the second half of the year, with additional wells to be drilled in 2015.
Midstates spokesman Chris Delange said the first two test wells will target the Cockfield and Lower Wilcox formations.