What is the Chainman Shale?  The Chainman Shale is a formation potentially rich with Oil & Natural Gas located in Nevada & Utah and is part of the Big Sand Spring Valley.  The Chainman Formation is a new discovery that has companies scrambling for mineral rights leasing.  Land leasing is increasing in the Eastern Central section of Nevada, specifically, Nye County.

The Chainman Shale sits off the Rockies which extends down from Alaska.  The only public company known to be targeting the Chainman Shale at the moment is Cabot Oil & Gas (COG).  The Chainman shale is said to have some of the richest shale rock characteristics of oil in the country ( and maybe even in the world ).  This rock is organically mature and up to 2100 ft thick.  The only problem is the major oil might be located at 10,000 - 25,000 ft under ground which would be expensive to drill.  In the shallower parts of the Chainman shale, its costs about 2-2.5 million per well.  Companies are constantly gaining better technology which helps reduce the risks of dry holes as well cost reductions.  With the price of oil rising, its only a matter of time before companies starting getting serious about tapping Nevada's rich oil potential.

The Railroad Valley Field is located 10-15 miles away and has hit oil which was part of the Chainman Shale.  This field has produced more then 40 million barrels of oil in it's history.  Another field to the east of the chainman shale is the Covenant Oil field which is located in Utah.