Insight.
Growth.
Value.

On May 21, 2009, New Western Energy entered into a joint venture agreement with RC Oil Company, Inc., to acquire a working interest in 14 wells in Rogers County, Okla. Under the terms of the joint venture, New Western agreed to provide funding to RC Oil Co. for operations in return for 75 percent of the net revenue interest (NRI) owned by RC Oil Co. in the Glass leaseholds. The Glass lease covers more than 120-acres in northeastern Oklahoma. Two of the wells on the lease were put into production in mid-June 2009. Further development and production of the lease will consist of a combination of primary and secondary recovery. Secondary recovery efforts will include water flood and the use of a NCO2 machine to re-pressure existing formations and enhance and increase production. In addition, New Western received a right of first refusal to purchase an additional 75 percent in all future wells developed by RC Oil, which RC Oil presently owns.