South Justis Field
In June 2025, EON acquired the South Justis field ("SJF"). The SJF is in the Central Basin of the prolific Permian Basin located in Lea County, New Mexico approximately 100 miles from our Grayburg-Jackson field.
The SJF comprises 5,360 contiguous leasehold acres, 130 producing wells and 78 injection wells for a total of 208 wells. The Company has approximately 94% working interest and 82% net revenue interest in the SJF.
Producing zones in the South Justis Field are at a depth of 5,000 feet to 7,000 feet in the Glorietta, Blinebry, Tubb, Drinkard and Fusselman intervals. Original Oil in Place (“OOIP”) was 210 million barrels of oil with 30 million barrels produced to date
Based on internal analysis by the seller and reperformed by EON, the proven developed and producing (“PDP”) reserves are net oil of 150 MBBL with a PV-10 of approximately $2.9 million, and the proven developed and non-producing (“PDNP”) reserves are net oil of 361 MBBL with a PV-10 of approximately $7.3 million. EON believes 15 million barrels of recoverable reserves can be developed with existing well recompletions and new well drilling.
| Period | Epoch | Formation | Approx. Regional Thickness (ft) | |
|---|---|---|---|---|
| Permian | Ochoan | Dewey Lake | 200-400 | |
| Rustler | 100 | |||
| Salado | 1,000 | |||
| Guadalupian | Tansil | 200 | ||
| Yates | 200 | |||
| Seven Rivers | 500 | |||
| Queen | 200-500 | |||
| Grayburg | 300 | |||
| San Andres | 1,500 | |||
| Leonardian | Glorieta | 100 | ||
| Yeso | Paddock | 1,500 | ||
| Blinebry | ||||
| Tubb | ||||
| Drinkard | ||||
| Wolfcampian | Wolfcamp | 0-1,500 | ||
The South Justis and Grayburg-Jackson fields are in close proximity and will be operated by the experienced field teams at both fields. The operations will be under the direct supervision and involvement of our VP of Operations who has 40+ years of experience in similar waterflood oil fields.
