The Paleozoic Illinois Basin is one of the oldest and most prolific hydrocarbon producing basins in N. America. According to historical records, oil was first discovered largely by accident during the 1860s.
Some 45 years later, production reached commercial levels with ~181,000 barrels being produced in 1905. Since then, the Illinois basin has produced upwards of 4.2 billion barrels of crude oil, and in recent years continues to produce around 9.5 million barrels annually. Current estimates point to around 10 billion barrels of oil remaining unrecovered primarily in known Illinois Basin fields alone. Hydrocarbon bearing reservoirs are typically found in shallow stacked Mississippian carbonate sequences, the most notable being the Salem and Warsaw formations. A combination of stratigraphic pinching and regional structuring effectively trap the light 35° API oil within what are largely considered independent carbonate sequences. The relatively shallow stratigraphic position and segregated nature of these carbonate reservoirs make them prime low risk targets for modern exploitation. Additionally, with the potential of near field discoveries being high, our Illinois assets are the perfect embodiment of Maha’s 40:40:20 portfolio pyramid.
As of March 1st, 2020 Maha purchased 160 BOPD of Illinois Basin producing assets, along with 2.014 million barrels of proven (P) oil reserves and 2P and 3P oil reserves of 2.941 MMbo and 5.213 MMbo
With upwards of 100 potential drilling locations, these assets have huge growth potential. Coupled with low operating costs, development of our newly acquired Illinois Basin assets is a strategically important step that will make significant and reliable long term contributions to Maha’s overall growth as an energy producer.