Abstract: Atkinson Field, Live Oak and Karnes Counties, Texas

By

Richard H. Sams

Excellent shallow gas production from a Reklaw (Eocene) sand was discovered after only two exploratory attempts to define the purely stratigraphic trap. The trap is formed where a marine channel sand meanders across a homocline. Structural influence except for regional tilting appears to be negligible. While a substantial profit from finding another such field seems obvious, the economics of making the search is considered. Dry hole costs versus the discounted present value of the field are compared to the U. S. exploratory success ratio of 1 out of 58 to determine the profitability of making the search. At a wellhead gas price of 35¢ per Mcf the projected dollar return from the Atkinson Field could support an exploratory effort of over 250 dry holes before the venture became non-profitable.

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