MDM Permian Inc. (OTC:MDMP) Stock Picks Up Momentum: Here is Why
This morning, investors are expected to be more interested in those companies that may have come into the news cycle on Wednesday, and by that token, it could be a good time to take a look into MDM Permian Inc. (OTC:MDMP). The company is an emerging operator in the oil and gas industry, and on Wednesday it made a key announcement. MDM Permian revealed that its executive leadership continued to have unfailing confidence in the company’s success over the long term.
The company announced in the news release that over the previous 30 days, the executive team at MDM Permian had expressed confidence in the prospects of the business. The President and Chief Executive Officer of the company, Mark T. Warner, demonstrated his confidence in the future of the company by picking up as many as 492600 shares over the course of the previous month.
The Vice President of the company, Rachel T. Green, also showed her belief in the future of MDM Permian through the purchase of 55,000 shares in the past month. The investments made by the executive team in MDM Permian shares were an indication of their commitment to the success of MDM Permian in the highly competitive oil and gas space. Additionally, it also expressed their optimism about the company’s prospects.
The company hit the headlines on September 20 when MDM Permian announced its strategic plans pertaining to the reworking of a trio of Cotton Valley gas wells, located in one of the East Texas acquisitions of the company. In the news release, the company announced that it had been successful in identifying considerable reserves in those wells.
The conservative estimates stood at a range between 750 million cubic feet and 1 billion cubic feet of gas in each well. The company also noted that the Cotton Valley wells had shown initial production rates that were promising, and at the time, the average production per day stood at 1.5 million cubic feet a day. The company also added that after the first year, the production rates eventually stabilized to around 30% to 40% of the initial rates. The company noted that it was committed to boosting the performance of the gas wells at Cotton Valley. The company added that it was going to deploy advanced reworking technologies for the purpose of boosting production and operational efficiency.
On September 5, the Dallas-based company announced that there had been positive findings in engineering and geological reports related to one of its East Texas leases. MDM Permian revealed that the reports had been verified by a qualified petroleum engineer as well, and there was confirmation of strong evidence about the considerable oil and gas reserves in the Pettit formation.
The company also noted at the time that the lease in question could eventually go on to produce as much as 73,000 barrels. It was further noted that the volume was present at three different locations in the Pettit formation at the East Texas leases acquired by the firm.
