EON to launch San Andres drilling program after recompletion campaign
EON Resources will begin its 2026 development program with the recompletion of five vertical wells in the San Andres formation, as it prepares for a broader horizontal drilling campaign in the Permian basin, the company said in a press release.
The recompletions, scheduled to be reported in the second quarter, are designed to test completion techniques ahead of a planned 92-well horizontal drilling program. The work is expected to cost approximately $2 million and will involve perforation and hydraulic fracturing of the selected wells.
Results from the recompletion program will be used to optimize future well designs, with partner Virtus Energy preparing to begin horizontal drilling operations in Q2 2026. Initial permitting has been submitted, and the company expects approvals within about 90 days.
EON plans to drill 10 horizontal wells in 2026, starting with three wells in the second quarter, with results expected in the third quarter. Longer term, the company anticipates drilling 10–20 wells per year, depending on performance and commodity prices.
The company estimates average production of around 400 bbl/d per well, with early output from recompletions and initial horizontal wells expected to deliver approximately 500 bbl/d net production.
The drilling campaign is supported by a farmout agreement with Virtus, which provides funding for development, while EON retains a 35% working interest in the project.
The program forms part of EON’s broader strategy to increase production from its Permian basin assets, where it holds approximately 20,000 leasehold acres and operates hundreds of producing and injection wells.
