Surge Energy Milestones


2015
April: Chinese based Shandong Xinchao Energy Corporation Limited, via it's subsidiaries, finalizes acquisition of Hoople Field, a 5,000 acre established waterflood asset in Crosby County, TX.
May: Executive team and first hired staff join newly formed Surge Energy.
Sept: Surge Energy begins operating the Hoople asset and establishes its headquarter location in Houston, TX.
Nov: Close on acquisition of Moss Creek Field, a 76,000 acre leasehold stretching between northern Howard County and southern Borden County in Texas.

2016
Mar: Surge Energy begins operating Moss Creek, taking on 6,500 BOE/D and running 1 drilling rig.
Apr: First well drilled by Surge Energy in Moss Creek begins producing.
Aug: Surge Energy doubles production in less than one year from close of Moss Creek acquisition.
Dec: Exit the year at a production rate of approximately 16 MBOE/D (annual average of 10 MBOE/D) and running 4 rigs.

2017
Apr: Surge Energy closes term loan of $400MM with four U.S. institutions.
Aug: Surge's Elrod Recycle Facility commences operations, allowing for the use of produced water instead of fresh water for Surge's well completions, reducing costs and environmental impact.
Dec: Surge Energy exits the year at a rate of approximately 32 MBOE/D (annual average of 25 MBOE/D) running 6 rigs.

2018
Jan: Surge Energy issues $700MM of High Yield Bonds and retires $400MM term loan.
July: Surge Energy reaches $1 Billion in sales since inception.
Aug: Surge Energy transitions to utilizing recycled water in 100% of well completions.
Dec: Exit the year at a production rate of approximately 43 MBOE/D (annual average of 40 MBOE/D).

2019
May: Surge Energy issues additional $500MM of High Yield Bonds.
July: Surge Energy completes the longest known lateral in the Permian Basin of 3.4 Miles and is selected as an honoree for the Houston Business Journal's 2019 Inaugural Innovation Awards.
Oct: Surge Energy reaches $2 Billion in sales since inception and closes acquisition on Cordero acreage, adding 6,000 net acres to the Moss Creek development area.
Dec: Finalize 2019 with an annual average production rate of 51 MBOE/D.

2020
April: Surge reaches five year anniversary of closing on first acquisition and surpasses cumulative production of 50MM net MBOE since inception.
Aug: Surge Energy is recognized in Houston Business Journal's Best Places to Work and Middle Market 50 Lists for 2020. Surge is the only upstream oil and gas company to be recognized on both lists.
Oct: Surge receives reaffimation of $850MM borrowing base, resulting in a strong liquid position and reflecting the quality of the asset base and efforts of employees to improve efficiencies.

2021
March: Close on acquisition of Grenadier acreage, adding approximately 18,000 of net leasehold acreage and approximately 9,000 BOED of existing production.
April: Surge begins operating newly acquired Grenadier acreage and wells.