Is there really oil in Geneva County?

Oil in Geneva County?

A state geologist with the Alabama Oil and Gas Board said he does not know if new wells will produce oil in the southern and eastern parts of the county. However, he said the idea is not farfetched.
In neighboring Covington County, several wells are listed as productive for oil, according to records with the Oil and Gas Board. The most recent productive well began producing oil in October of 2007. Also, a host of wells are currently being dug in Conecuh County, one of which became active as late as March 1 of this year.

“Of course certainly there is the possibility (of oil in Geneva County),” said Nick Tew, State Geologist and State Oil and Gas Supervisor. “Whether there is oil there or not, that is not for us to say or determine.”

A man who said he is representing a partnership based in Brewton said Tuesday his company plans to drill at least two wells in Geneva County in search for oil. The mineral rights to about 10,000 acres have been leased already and plans are underway to lease 5,000 more, said Michael Cies, who made the announcement Tuesday at Friend Bank in Slocomb.

According to records with the State Oil and Gas Board, at least 10 wells have been drilled in Geneva County since records began being kept. The earliest was in 1946 for Shell Oil Co., and the latest came in 1985 for Calico Petroleum. All wells in Geneva County are currently listed as dry and abandoned.

But Cies believes many of the past drilling ventures in Geneva County came up dry because the wells were not drilled deep enough. The 1985 Geneva County well was drilled to a depth of about 3,400 feet. The most recent producing well in Covington County was drilled to a depth of more than 11,000 feet.

“That depth is definitely not deep enough to be looking at the strata that is currently producing in Covington and Conecuh,” Tew said.

Cies said he is in the process of gathering the necessary paperwork to file an application for a permit with the State Oil and Gas Board to begin drilling in Geneva County. Tew said once the application is received, it is reviewed to make sure the applying party is a registered corporation in the state of Alabama and must be bonded. If it meets all of the qualifications, Tew said applications are typically approved within two weeks of receipt.

Tew said the surge in energy prices is forcing oil companies to take greater risks in finding additional supply.

“It makes a lot of areas a little more attractive to investors,” Tew said. “With prices the way they are, it’s probably worth a little more risk.“

Cies estimates a cost of around $500,000 to drill the first well.