BlockFuel Energy Reactivates 15 Wells, Targets 65,000 boe EUR at $700K
BlockFuel Energy has reactivated 15 wells, with five more completing reactivation this week and Q1 output peaking at 100 boe/d. Its Q4 2025 acquisition includes 54 production wells and nine SWD wells, while a 40-acre vertical drilling program targets 65,000 boe EUR at $700,000 per well, supporting IBG’s 51% stake.
1. Well Reactivation and Initial Production
BlockFuel Energy has brought 15 wells into production and is completing reactivation of five additional wellbores this week, driving peak first-quarter oil and gas sales to roughly 100 boe/d. These milestones mark the initial output phase of the company’s Central Oklahoma well reactivation program.
2. Existing Infrastructure and Acquisitions
The company’s Q4 2025 acquisition contributed 54 existing production wells developed between 2012 and 2018, supplemented by nine operational saltwater disposal wells. This infrastructure provides necessary capacity to support current production levels and minimizes incremental capital requirements.
3. Planned Drilling and Recompletion Programs
BFE plans a vertical drilling program at 40-acre spacing targeting an expected ultimate recovery of about 65,000 boe per well at an average drilling and completion cost of $700,000. Recompletion operations targeting behind-pipe reserves are budgeted at up to $250,000 per well, reflecting a disciplined, low-risk development approach.
4. Merger Status and Strategic Stake
Innovation Beverage Group holds a 51% working interest in BlockFuel Energy and is progressing toward a proposed merger, subject to customary closing conditions. The operational progress and infrastructure upgrades are designed to enhance asset value and support the combined entity’s growth strategy.