Unit Operation of Oil Pool - An Economic Comparison of Developments in the South Field Oil-producing Region of Mexico

The producing formation in the South Field, or "Golden Lane" structure of Mexico, is a buried ridge of reef limestone of Comanchean age overlain unconformably with sediments of Upper Cretaceous, Eocene and Oligocene. The structure extends in a long sweeping arc, with the convex side toward the west, from San Geronimo, Vera Cruz, to San Isidro, south of the Tuxpam River, which it crosses at the town of Alamo. It is 52 miles long and averages 3/4 mile in width. The surface of the producing formation of El Abra limestone consists of a series of minor parallel highs which are separated longitudinally by synclinal troughs and laterally by structural saddles. The presence of these highs has been of utmost importance in the development of the field, especially in recent years when the salt-water level has risen above the synclines and confined the oil to the isolated highs. In many cases, faulty information and interpretation of the subsurface has resulted in drilling costly dry holes and salt-water wells. Development The development of the Golden Lane was started by the Mexican Eagle Oil Co. in 1906. San Diego No. 3, usually known as Dos Bocas, the first producing well on the structure, was completed on July 4, 1908. This well came in unexpectedly for an estimated daily production of 129,000 bbl., and, as the casing was not properly set, the well flowed wild into the Tamiahua Lagoon, causing a loss of several million barrels of oil. In flowing wild the well formed a crater which covers an area of 48 acres, out of which salt water and small quantities of gas still flow. Casiano No. 2, the Huasteca Petroleum Co., which yielded 200 bbl. of oil daily, and which was completed in November, 1909, was the next producing well to be drilled on the structure. In 1910, the same company completed Casiano No. 7, with an initial production of 50,000 bbl. daily, and Casiano No. 1, which produced 200 bbl. daily. In the same year, the Mexican Eagle Oil Co. completed its Potrero del Llano wells 1, 2 and 4, with initial productions of 500, 400 and 100,000 bbl. respectively. From 3910 to the latter part of 1919, development proceeded