2017 Lease and Mineral Acquisition Program
U.S. Crude Oil Company’s primary goal is to acquire large lease positions on oil and gas plays in prospective areas which it has identified and give investors the opportunity to drill well defined prospects as they are developed.
Previously, James Jones, Director of U.S. Crude Oil Company, LLC, acquired in access of 1.1 million acres for oil and gas exploration and over 100,000 acres was in the Wattenberg Niobrara play in Weld county Colorado, where the Niobrara formation has become one of the hottest unconventional resource plays in the USA. In 1985, Mr. Jones was a key figure in the initial development of the Codell formation which lies at the base of the Niobrara formation and is now a highly exploited target of horizontal drilling. Universal Oil and Gas Company, which Jones formed in 1985, took a 60 well farm out from Amoco Corporation and drilled or caused the acreage to be drilled. This acreage is located in what is now known as the core of the Niobrara-Codell play in the Wattenberg field. There were approximately 1,600 wells drilled in this area where Universal Oil and Gas Company had its lease hold, and significant commercial oil and gas production has resulted with ultimate recovery of oil and gas on the order of 50 million BOE. Today, the Amoco farmout acreage is operated by Petroleum Development Corporation, and much of the additional acreage outside of the Amoco farmout is operated by PDC and other operators such as Noble Energy and Anadarko Petroleum.
Oil & Gas Prospects Development
James Jones, the founder of U.S. Crude Oil Company LLC, put together several successful lease acquisition programs in 2004 and 2006. The developing opportunity that USC sees occurring now and over the next couple years is a mirror image to what Jones saw in 2004 and 2006 which resulted in several successful lease acquisition programs The programs acquired significant acreage positions of approximately 1,100,000 acres of federal, state and fee acreage being leased. See download for the article written by Jones in 1989 that discusses the developing opportunity for oil and gas investment during that time period and the framework of the investment opportunity that occurred then and continued into 2006. This mirror image of events that created the opportunity then is now replaying that opportunity and is once again knocking at the door. The first step in embracing this opportunity now is getting land positions in plays to develop during a time where prices, regulations, and costs are all creating a much improved environment to do oil and gas exploration which is the mirror image of past oil and gas cycles. Notice the same chart patterns for oil prices from June 2004 - January 2007 and January 2009-June 2010 and compare with the pattern from January 2010-June 2017 (See Oil Price Chart download).
It is the business plan of US Crude Oil Company, LLC to pursue conventional and unconventional prospects by acquiring lease positions in plays by using the proprietary LeaseBase program in conjunction with in-house databases that define legacy prospect areas where major and Independent oil and gas companies spent millions of dollars on evaluation work to define these prospective areas. Because of the collapsed oil & gas markets, the companies abandoned the areas without evaluating the efficacy of the identified prospect areas and moved their emphasis to overseas areas. Because of the success of the Niobrara play in the Denver Basin, US Crude Oil Company, LLC is proposing acquisition and development in an area that has both conventional and unconventional oil and gas prospects. One identified unconventional play has similar characteristics to the unconventional Niobrara play in the Wattenberg field of the Denver Basin. Jones and Berryman have written a report supported by a recent USGS report covering this exciting new oil and gas play in Utah and Arizona, and the unconventional segment of the play may be ultimately larger than the Niobrara play in the Denver Basin.
Liquid Ore Exploration
James Jones developed an unconventional model for the exploration for "Liquid Ore"© (supersaturated brine) for strategic metals such as lithium, magnesium, rare earths and other critical metals. These metals may be found in supersaturated brine in concentrations that provide a market and value for the extracted strategic metals. The finding, processing, and extraction of such metals are better described in the patent which was issued to Jones on April 11, 2017 (See download for patent).