FireWheel Energy LLC

With its wealth of resources ready to be developed, the Permian Basin in Texas is a hotbed of activity right now. That is one of the prime areas of focus for FireWheel Energy LLC, and the independent oil and gas company has found a way to distinguish itself and remain competitive by pursuing unconventional resource plays and acquire-and-exploit opportunities. With this strategy, the company has grown considerably since its inception nearly two years ago.

Based in Midland, Texas, FireWheel Energy was founded in August 2011 and has focused its operations on the Permian Basin and East Texas.

Prior to creating FireWheel, the majority of the company’s senior management team held executive and management-level positions with XTO Energy/Exxon. When the company was established in 2011, FireWheel received a $300 million equity commitment from EnCap Investments LP.

“The management at FireWheel has assembled a team of professionals that bring decades of expertise in the areas of geology, land, engineering and business management,” the company says. “With an emphasis on the Permian Basin and East Texas, the team has a proven track record of finding, acquiring and developing oil and gas reserves from both conventional and unconventional reservoirs.

“Our drilling and completion experts have an impressive history of horizontal well completions with multi-fractured stimulation treatments that can tap reservoirs in ways that enhance the value of our leasehold positions. FireWheel professionals are experienced with infill drilling and secondary recovery techniques to maximize the economic output of our oil and gas leases.”

At the Forefront
FireWheel Energy has leased and begun to develop more than 150,000 acres in its Indian Blanket Prospect in “the new and promising” Cline Shale play on the eastern shelf of the Midland Basin, according to the company. The leasing operations began in October 2011, with drilling operations commencing in June 2012.

“This play was first developed in Glasscock County, Texas, by Laredo Petroleum, and FireWheel was at the forefront of the leasing activities to extend the play eastward in neighboring Sterling and Mitchell counties,” the company says. “Offset operators to the FireWheel position include Devon Energy and Range Resources, as well as Laredo Petroleum.”

The company notes that it spudded its first Sterling County horizontal well in June 2012.

Key Assets
FireWheel Energy believes its strong management team, as well as its experts in the field, have been key to the company’s growth. The members of its management team include:

• Kyle M. Hammond, CEO and director – Prior to forming FireWheel, Hammond served as vice president of operations for the Permian Division of XTO Energy/Exxon from 2003 to 2011. While there, he managed the growth of the Permian assets and the company’s Alaska operations.
• Don W. Eubank, vice president of operations and director – Prior to joining FireWheel, Eubank was drilling manager for the Permian Division of XTO Energy/Exxon from 2006 to 2011. He has extensive domestic and international drilling experience and has held engineering and operations management positions with Conoco, Bass Enterprises, Schlumberger IPM and Samson Resources.
• Alan J. Brown, general counsel, vice president of business development and director – Prior to FireWheel, Brown was a partner at the law firm of Lynch, Chappell & Alsup in Midland from 1998 to 2011. His practice focused on oil and gas transactions, as well as estate planning.
• Ralph L. Nelson, vice president of exploration – Prior to joining FireWheel, Nelson served as Permian Basin geology manager for XTO Energy/Exxon, where he managed a drilling program of more than 100 wells per year. He also has drilled hundreds of wells in the Permian Basin while serving as technical lead at various independent producers such as Mewbourne Oil Company and Ensearch Exploration.
• Bill E. Coggin, vice president of finance – Prior to becoming part of FireWheel at its inception, Coggin served as CFO for Storm Peak Energy, an independent oil and gas company in Midland. He previously served as CFO for Southwest Royalties and Saber Resources.

FireWheel notes all its associates are important. “Companies are measured by their assets, and we believe that our people at FireWheel are our key assets and represent the best the oil and gas industry has to offer,” the company says.