Sage Petroleum

Sage Petroleum is an oil and gas exploration and production company founded in 2006 by Don K. Henderson, J. Wade Kennedy, Dr. W. Richard Moore, and W. Mathew Henderson. The Company is based in Denver, CO and focuses, though not exclusively, on the Rocky Mountain region.

Our core competency is to originate exploration prospects and/or acquisition prospects with substantial undeveloped potential. We then seek to partner our projects with industry and/or financial investors. Sage prefers to operate, but depending upon the requirements of our partners, we are prepared to take a non-operating role if it is coupled with our contractual advisory input.

Several projects are currently active -

  • A 25% working interest in the Brooks Ranch Field in Wyoming. This mature field has produced 3 MMBO since the 1950’s from the 2nd Frontier sandstone, and another 17 MMBO are analyzed to remain in place. The Company and the operator, our partner Penneco Oil Co. of Delmont, PA, acquired the field in March, 2011. Three new wells have been on production successfully since February, 2012. Nine more wells are being completed in late-winter, 2012/2013. These include tests of both field extension and downspacing.
  • “Dakota Trail” is an exploration objective in the Brooks Ranch Field lying below the currently producing zone. Two of the Brooks Ranch wells have been drilled deeper to test this Dakota prospect. One encountered a marine sand, and the second found a channel margin sand. Neither is commercial and have been completed in the 2nd Frontier. One or two more wells planned in the 2013/14 drilling program will look further for a Dakota channel.
  • “Thornapple” is a new-field exploration project originated by Sage in the Michigan Basin. The Company has supporting data using gravity, magnetics and 2D seismic and is building a leasehold position. Penneco Oil Co. has also joined us in this project, and we are seeking a new joint venture partner to complete the land acquisition, acquire 3D seismic, and drill a first well.

The Company has also entered into a strategic partnership with Thomasson Partner Associates, Inc., of Denver, CO (“TPA”), Thomasson Petroleum E&P LLC (“TPEP”). TPEP will acquire, operate and develop projects originated by TPA’s highly accomplished exploration geo-scientists.

Current activities include:

  • “Pathfinder” is a Niobrara shale opportunity in the southern Denver Basin of Colorado. TPEP has entered an agreement with Aus-Tex Exploration, of Denver, CO, and Melbourne, Australia, to acquire the Project from TPA. TPEP is carried for a 15% working interest through a first well and provides technical advice under contract. Two wells were drilled in 2012; logs are excellent in multiple zones as well as in the primary target of the Niobrara. A first horizontal leg is being completed and is expected on production in March, 2013. Approximately 16 prospective sections have been leased.
  • TPEP is actively working on the acquisition of a long-proven, shallow oil field in Montana. Joint venture financing has been committed, and TPEP is in discussions with three land blocks in the field. Joint venture terms provide for purchase of the project opportunity from TPA and for TPEP to earn a 25% working interest. The effective beneficial working interest to Sage will be 10%.