Royale Energy, Inc. (OTC: ROYL) announced on September 9, 2026, that it is continuing development activity in its Permian Basin acreage located in Ector County, Texas. The company controls a 7.50% working interest in approximately 16,600 gross acres in the region.
As of the report date, Royale has nine wells that have been drilled, completed, and are currently producing. The ninth well, which was drilled and completed during the first half of 2026 and began production in May 2026, had an initial rate of 1,031 barrels of oil per day and 1,915 thousand cubic feet of natural gas per day. After accounting for Royale’s working interest and that of direct investors, the well produced 77 barrels of oil per day and 144 thousand cubic feet of natural gas per day. The company reports that all nine producing wells are performing at or above the type curve, with a three-mile lateral type curve estimating an ultimate recovery of approximately 113 barrels of oil equivalent per lateral foot (BOE/ft), with an estimated 80% oil component.
A tenth well is currently being completed and is expected to begin flowback within approximately 30 days. The company stated that the strength of the production from these wells, combined with a substantial inventory of additional drilling locations, underscores the quality of its Permian Basin position.
Regarding future development, Royale anticipates continued drilling activity during 2026 and expects additional wells to be drilled in 2027. The company estimates that its acreage contains between 30 and 39 additional undeveloped Barnett drilling locations across approximately 12,940 gross acres of remaining undeveloped acreage. Additionally, Royale estimates that its acreage contains more than 40 additional undeveloped Woodford locations. The company is also evaluating the Woodford interval in the well currently undergoing completion. In the Jameson North Field on the eastern flank of the Permian Basin, Royale anticipates drilling a horizontal Odom well during the first half of 2027. Royale holds a 100% working interest in approximately 7,465 net acres in the field and has identified more than five additional Odom horizontal prospects generated through 3D seismic analysis.
