Woodford is an established and proven reservoir located in south east Oklahoma. The reservoir was thought to be mostly depleted until the introduction of horizontal drilling and stimulation technology, which has opened up exciting ventures for Magnolia and other participating companies. These formations have not been exploited to the same extent as the Bakken to date, but several qualified independent exploration companies have now begun aggressive drilling programmes.
Magnolia holds leases in respect of approximately 67,200 gross mineral acres (800 net mineral acres), giving rights to participate in the drilling of wells in 105 sections located in 26 counties in central Oklahoma. The Company has an average working interest of approximately 2.65% and an average net revenue interest of approximately 2.36% .in the 105 sections.