Encore has successfully drilled two horizontal Berea oil wells, both of which are currently shipping oil during the early flowback production phase. In addition, the Company drilled a third successful horizontal well in 2025, which is awaiting fracture stimulation. Building on this momentum, Encore plans to drill five additional horizontal wells, including three wells scheduled for drilling in 2026, located near the Levisa Fork River.
Upon completion of its current drilling program, Encore expects to be actively drilling and producing in five proven, productive lease areas within Lawrence County Kentucky's leading oil-producing county.
Encore Energy, Inc. is the lease owner, well operator, and developer of multiple horizontal oil and gas projects, controlling thousands of leased acres across Eastern Kentucky. To date, nearly 200 horizontal wells have been permitted, drilled, and/or placed into production in Lawrence County by multiple operators. The horizontal Berea "non-conventional" play represents the most active and prolific oil and gas development in the state, driven by advanced drilling and completion technologies, including MWD-guided horizontal drilling and plug-and-perf multi-stage fracture stimulation.
This tight oil play, along with other emerging opportunities across deep Appalachia, represents a quiet, near-billion-dollar industry with significant long-term growth potential. These operations are also contributing to job creation, workforce development, and increased tax revenues for Eastern Kentucky.
Encore's strategy is focused on developing and proving producing oil and gas assets with sustainable production profiles and long-term reserves.
"Encore will continue to drill the very best PUD locations to prove up both production and reserves over the long term," said Steve Stengell, President and CEO of Encore Energy, Inc. "We recently completed the first horizontal well in the East Field, and we are extremely pleased with the early flowback production results."
Modern oil and gas development has become cleaner and more environmentally responsible due to advancements in horizontal drilling, multi-stage completion techniques, and stringent regulatory compliance standards governing today's non-conventional energy operations.
Previously, Encore drilled and completed three horizontal Berea wells producing both oil and gas and constructed a nearly seven-mile gas transmission system, which is currently in production.
Investor Considerations
Oil and gas investments involve a high degree of risk and uncertainty and are suitable only for SEC-defined accredited investors who can afford the potential loss of their investment and understand the inherent volatility of drilling and production operations. Non-conventional oil and gas projects require significant capital investment, long development timelines, and operate in challenging mountainous terrain.
No assurances can be made regarding production rates, reserves, profitability, income, timelines, or commodity prices, all of which are subject to factors beyond the Company's control.
Qualified accredited investors may be eligible to deduct nearly 100% of intangible drilling costs (IDC) in year one, with the potential for long-term monthly income from sustained oil production and future exit opportunities. Encore offers operator-direct investment access, providing investors with transparent communication at the wellhead level.
Encore Energy, Inc. is a proud supporter of the Trump Administration's "Drill Baby Drill" energy initiative and the MAGA movement.