Sunday, February 27, 2011

How Bad Was January, 2011, In North Dakota?

Just  how bad was the winter in North Dakota in January, 2011?

The winter weather shut in hundreds of wells, most of them in the northwestern area of the basin, but most areas were hit. To get an idea of just how badly the oil industry was hit, here are some data points from some selected areas and selected fields.

In each field, the December, 2010, production is listed first, and the production in January, 2011, when the wells were shut in, is listed second and in bold.

It should be noted that the December weather affected production also, but I did not want to show the November production figures since the page might become too busy / too confusing.

Field; December, 2010 production; January, 2011 production
Numbers rounded

Williston area
  • Hebron: 17,000; 0 (and even worse, because the field produced 27,000 in November)
  • Squires: 79,000; 250 (yes, that's not a typo: 250 barrels produced in this field in January 2011)
  • Painted Woods: 71,000; 0 (this field produced as much as 101,000 in September, 2010)
  • Todd: 18,000; 0 (even worse, because this field produced 33,000 in November)
  • Stockyard Creek: 56,000; 27,000
The Big Ones
  • Sanish:  1.3 million; 110,000
  • Parshall: 1.0 million; 9,000
  • Murphy Creek: 192,000; 65,000
  • Alger: 258,000; 31,000
The Reservation (no problem except for Van Hook, for some reason)
  • Big Bend: 111,000; 114,000
  • Reunion Bay: 111,000; 109,000
  • Van Hook: 317,000; 12,000
  • Mandaree: 7,000; 6,000
  • Spotted Horn: 47,000, 27,000

Data Points for Hess for 2011 -- Bakken, North Dakota, USA

The Minot Daily News provided an update of Hess Corp plans for 2011 and impact on North Dakota, and Minot. I don't think there is anything new here for those following Hess closely but for others, it's nice to see it in one spot.

The data points come from the finance manager for Hess Corp in North  Dakota:
  • One-third of Hess' entire corporate budget will be spent in the state of North Dakota
  • Hess Corp CAPEX for North Dakota for 2011 is $1.8 billion
  • Tioga Gas Plant will be expanded; will be doubled in size and completed in 2012
  • A new large rail terminal at Tioga will be completed by the end of the year
  • An oil stabilization facility, now being built, will allow oil to be conditioned before going on the rail
  • Hess will drill 180 wells this year; half targeting the Bakken, half the Three Forks formation
  • Hess currently controls 730,000 net acres, second to Continental Resources (in North Dakota)
  • Hess currently operates 248 Bakken wells and participates in 226 non-operated wells
  • Hess' Minot's regional headquarters will soon move into the IRET Corporate Plaza
  • The company currently has 90 employees in Minot; the new headquarters has room for 200 -- you do the math
And that's just one of many oil companies in North Dakota, albeit one of the bigger ones.

The most incredible data point for me:
  • One-third of Hess' entire corporate budget will be spent in the state of North Dakota. That's pretty incredible.
The most important data point for the state:
  • The continued emphasis on expanding natural gas gathering and processing in North Dakota; this may be the most important thing Hess could do for the state.
The most important data point for investors (comes from other sources):
  • Among natural gas focused companies, Hess is moving faster than any other oil and gas E&P company to convert from natural gas focused to oil focused.

For Those Who Thought This Would Be Over In A Week -- Libya

Updates

September 11, 2012: US ambassador to Libya killed. The administration has changed the story so many times; not linked. This link is fascinating
When terrorists attacked the U.S. consulate in Benghazi, Libya, on Sept. 11 of this year and killed the U.S. ambassador and three other Americans, there were no U.S. Marines deployed in Libya to defend U.S. diplomats, diplomatic facilities and classified information and equipment. However, says the State Department, a Marine Security Detachment was deployed on that day to carry out those duties at the U.S. Embassy in Bridgetown, Barbados
September 4, 2011: Is it over yet? Kadafi still on the run. 

August 14, 2011: Timeline for those who thought this would be over in a week

August 6, 2011: I remember getting a comment when the "Libyan thing" first broke out that "this would be over in a week and Kadafi was toast." The war continues, the rebels fight among themselves, and now today it is reported that Kadafi takes a key town back from the rebels and launches a new offensive

July 28, 2011: For those who thought the Libya "war" would be over "in a week," there are now confirmed reports that the rebel leader has been assassinated. There are rumors that there are internal "rifts" among the rebels. 

July 4, 2011: Libyan rebel leader -- ok, ok, ok -- Kadafi can stay in Libya. "As long as he resigns and remains under supervision." Let's see -- this all started in March, 2011 -- haven't heard from those who said this would be over in a week. 

April 16, 2011: The reason the US got involved in Libya, we were told, was to avert a humanitarian crisis. It looks like the results have just been the opposite: Kadafi is now using heavy weapons on civilians. Had the US not intervened when it did, the rebel uprising would have been shut down. One can argue whether there would have been a humanitarian disaster at that point, and at Kadafi's hands, but there is no question that things have turned out much worse than expected. When US air strikes began, "anonymous" wrote to say what many thought: "this would be over in a week and Kadafi was toast."  Kadafi may still be toast, but it certainly is not over in a week, and the humanitarian toll will be much greater than had we just stayed out. And some say the war is costing the US $2 billion/day.

April 7, 2011: NATO now fears a protracted, "never-ending" civil war

April 4, 2011: US pulls back its air force; then extends the air war for two days; then pulls it back again. Now Kadafi says he is staying but open for change. "Free" elections to determine if Libyans want him or someone else. Whoever thought this would be over in a week and Kadafi would be toast -- well, it's been since the end of February, and now it's April. And Kadafi looks to be calling the shots. There is talk his son will take over. 

March 17, 2011: Day 31. Kadafi surrounds last rebel outpost: there will be no mercy. UN scheduled to vote later on military action against Kadafi. President Obama preparing to leave to party in Rio.

March 14, 2011: The fourth week? And Libyan forces now have the upper hand. The US government won't take unilateral action. Europe, NATO, and UN still talking. Philosophically they want Kadafi out of there; practically, they want cheaper and accessible sweet oil. The discussion will be interesting to follow. Ya wanna bet which wins out: philosophy or reality? Mubarak was thrown under the bus in less than 72 hours by America; four weeks into the Libya thing, "we're" still looking for a bus.

March 7, 2011: well, the Libyan thing continues. What is this? The third week? So much for the thought that this would be over in a week (a reader, not me). Oil is up another $2 overnight, about $106 now.

March 3, 2011: so much for a quick end to the Libyan issue. Even analysts expect the loss of oil production from Libya to be lengthy. Who knows, it might be over tomorrow, but the situation suggests otherwise.
As a result of the standoff, the analyst predicted that, “An extended period of conflict—with commensurately lengthy disruption to oil supply—is looking even more likely than before.” 
March 2, 2011, morning: price of oil "surges" another buck; over $100/bbl; conflicting reports regarding who is in control of oil fields

March 1, 2011, evening: Gadhafi forces retake towns near Libyan capital.
U.S. Defense Secretary Robert Gates said he ordered two ships into the Mediterranean, including the amphibious assault ship USS Kearsarge, and he is sending 400 Marines to the vessel to replace some troops that left recently for Afghanistan. [Just the other day, SecDef Gates said, “In my opinion, any future defense secretary who advises the president to again send a big American land army into Asia or into the Middle East or Africa should ‘have his  head examined.'"]
March 1, 2011, evening: WTI oil futures continue to rise, now solidly over $100.  

March 1, 2011, morning: Oil price spikes $2.00, retraces; solidly over $99 as Mideast continues to smolder, and in some cases burn.
Oil prices climbed Tuesday as Iran clamped down on anti-government protesters and unrest in the Middle East threatened to keep energy prices high for months to come.

Benchmark West Texas Intermediate for April delivery gained $1.80 at $98.76 per barrel at midday on the New York Mercantile Exchange. In London, Brent crude gained $1.92 at $113.72 per barrel on the ICE Futures exchange.
February 28, 2011: "Oil Rises Toward $98 as Traders Eye Libyan Exports." And so it goes, nine days into the Libyan issue.

Original Post

For those who thought this would be over in a week, and for those who thought Saudi could step up to the plate and diffuse fears, the oil futures suggest otherwise.

To the best of my knowledge, futures start posting at 6:00 p.m. CST.

At 7:00 p.m. in Chicago and 8:00 p.m. in New York City, Sunday night, February 27, 2011, oil futures are up $1.90 to $99.78.

It's been my "feeling" that futures seldom correlate with the opening the following day, and seem to correlate even less as the trading goes on.

But at least on Sunday night, about a week after "the Libyan thing" began, there is still a bit of anxiety in the markets.

For Newbies to the Bakken: Take A Look at A String of Wells -- Bakken, North Dakota, USA

These are some very recent permits issued for the Bakken. The permits have just been issued and there is no activity here yet, but it will give "newbies" an idea why I remain excited about the Bakken.

Go to the NDIC home page, and click on the GIS map server (located on the sidebar at the left on the NDI home page). When you get there click on "Find Field/Unit" and type in "Manitou." When Manitou pops up, click on it and note six wells in section 20. You have to zoom in.
  • 20162, Hess, EN-Johnson-155-94-2017H-1, Manitou field; horizontal will go north
  • 20163, Hess, EN-Johnson-155-94-2932H-1, Alkali field; horizontal will go south
  • 20164, Hess, EN-Johnson-155-94-2017H-2, Manitou; horizontal will go north
  • 20165, Hess, EN-Johnson-155-94-2932H-2, Alkali field; horizontal will go south
  • 20166, Hess, EN-Johnson-155-94-2017H-3, Manitou; horizontal will go north
  • 20167, Hess, EN-Johnson-155-94-2932H-2, Alkali field; horizontal will go south
EN: "East Nesson, a very nice prospect for Hess

One mile to the west is another string of Hess wells, but only three in this case:
  • 19850, Hess, EN-Kiesel-155-94-19-18H-1, Manitou, horizontal will no north
  • 19851, Hess, EN-Kiesel-155-94-19-18H-2, Manitou, horizontal will no north
  • 19852, Hess, EN-Kiesel-155-94-19-18H-3, Manitou, horizontal will no north
The reason why Hess is not doing the same thing in section 19 (only three wells) as in section 20 (six wells) is because the section south of the three wells is controlled by XTO.
  • 18501, 993, XTO, Emma 31X-30, 47K in 7 months

Another Example of Multiple Wells in One Section -- Whiting -- Bakken, North Dakota, USA

Here's another example of how "we" are seeing more and more wells in one section / in one spacing unit, and how busy the Bakken is.

Take a look at section 1-T154N-R92W, "owned" by Whiting:
  • 18160, 1,658, Strobeck 11-1H, NWNW 1-54-92, 125K in 22 months
  • 19195, 2,654, Strobeck 12-1H, SWNW 1-54-92, t12/10; cum 175K 6/12;
  • 19745, 2,043, Hoover 14-1XH, SWSW 1-54-92, 46K in 3.5 months
  • 19751, 707, Lindseth 12-1TFH, SWNW 1-154-92, t8/11; cum 61K 6/12;
  • 20039, 332, Lindseth 11-1TFH, Lot 4 1-154-92; t8/11; cum 48K 6/12;
If 20039 (a TF) is drilled in same direction as 18160 (a middle Bakken); those two horizontals will parallel each other and have minimal separation.
Again, one can easily imagine 10 to 12 horizontals in one 1280-acre spacing unit, stacked, and targeting the middle Bakken formation and the TF formation.

James Memorial Library -- Heart of the Bakken -- Williston, North Dakota

Wow, this brings back wonderful memories.

This week Willistonites are celebrating a building that is 100 years old.

I always knew it as the James Memorial Library.

I was very, very fortunate. Although we lived too far from the library to walk there, and the family had very little money at that time, somehow my mother found time and money to take me to the Williston library, which has been described as a "jewel on the prairie."

And it truly was.

It's interesting. I have trouble remembering a lot of things, and the things I remember tend to have great emotional impact (which, of course, makes sense).

It's hard to imagine a library triggering memories based on emotion but that's exactly what the James Memorial Library does for me.

From the Williston Herald:
The James Memorial Library was built as a memorial to D. Willis James by his wife and son. James is also the namesake of Williston. The James family provided funds to build the library and furnish it.

James was one of the largest stockholders in the Great Northern Railway, according to a March 2, 1911, article in the Williston Weekly State.

The building was completed in 1911 and opened with Bessie Baldwin as librarian with 5,000 new volumes plus 500 volumes from the Book and Thimble Club. Ms Baldwin stayed for 13 years before taking a job with the state library commission in Bismarck, ND. Ms Baldwin was originally from Sparta, Wisconsin.

The building is in the Greek revival style, which is increasingly rare.
As noted, the library opened in 1911. A dedicated children's library room was added in 1959. I was eight years old at the time and I remember that room very, very well. I remember that we were allowed to use that room as much as we wanted but, as children, we were not allowed to go into the adult section. I assumed, wrongly, of course, that the books in the adult section were inappropriate for children. Ha.

Unless they were afraid we were going to misinterpret Shakespeare or Dickens.

Williston has a new library now. The James Memorial building is now the James Memorial Art Center.

Union Center Oil Field -- 16 Wells on One Unit? -- Bakken, North Dakota, USA

Updates


December 14, 2012: permits added so far in 2012 --
  • 24537, 2,842, BR, Midnight Horse 11-1MBH-ULW, Union Center, this section now has eight (8) wells sites or permits; I think this is a well on an overlapping 2560-acre spacing unit, so it can run right down the section line; watch to see if it's a 4-section spacing well; the name is interesting: Midnight Horse, a combination of "Midnight Run" and "Iron Horse"; 4-section spacing; t5/13; cum 14K 5/13;
  • 24439, conf, Petro-Hunt, Sorenson 152-96-24D-13-6H, Union Center,
  • 24438, conf, Petro-Hunt, Sorenson 152-96-24D-13-5H, Union Center,
  • 22758, 2,485, BR, Iron Horse 11-2TFH, Union Center,  t11/12; cum 6K 1/13; off-line often;
  • 22757, drl, BR, Iron Horse 21-2MBH, Union Center, 
  • 22756, 2,204, BR, Iron Horse 21-2TFH, Union Center,  t11/12; cum 4K 11/12; t11/12; cum 4K 1/13; off-line often;
  • 22755, 2,605, BR, Iron Horse 31-2MBH, Union Center, t10/12; cum 12K 1/13; off-line often;
  • 22754, 2,324, BR, Iron Horse 31-2TFH, Union Center, t11/12; cum 8K 1/13;
  • 22753, 1,964, BR, Iron Horse 41-2TFH, Union Center, producing, t11/12; cum 8K 1/13;
  • 22675, 2,640, BR, Midnight Run 11-1TFH, Union Center, t10/12; cum 40K 1/13;
March 29, 2012: added another Midnight Run well, #22675, see below.  This will be the 7th well in section of T152N-R96W.

February 10, 2012: from a reader in response to the February, 2012, NDIC hearing dockets:
The BR request for 2560 acre spacing in the Union Center field corresponds with what they are doing with their Midnight Run wells. They already have six Midnight Run wells (4 producing and two on confidential) on 1280 acres, and now they want to double the spacing and drill a total of twelve. That indicates to me that Union Center must be a very productive field for them!
January 14, 2012: some data updated
Original Post

Union Center is another one of those very, very small fields in the Williston Basin. It is all of six sections in T152N-R96W. It is located west of the northwest corner of the reservation. Its northeast corner shares a border with the very nice Charlson field. It is in the bull's eye of the Bakken.

It appears that Burlington Resources "owns" the field.  (Burlington Resources is a wholly owned subsidiary of COP. BR was originally a spin-off of the Burlington Northern railroad.)

*******

From Clear Creek, the oil field directly below Union Center, there are some wells that have horizontals going into Union Center. Note: two wells/permits are permitted for the Union Center oil field, but are actually situated in Clear Creek to the south:
  • 19359, 91, Petro-Hunt, Sorenson 152-96-24C-13-2H, 24-152-96; Union Center, Three Forks, s8/10; t9/11; F; cum 28K 10/12; 6 frac stages; 700K lbs of sand; off-line 11/12;
  • 20476, 840, Petro-Hunt, Sorenson 152-96-24C-13-3H, 24-152-96, Union Center, t3/12; cum 117K 11/12;
A third Petro-Hunt well in the adjoining section, is permitted for the Clear Creek oil field, and shows up in section 23-152-96 in the Clear Creek field.
  • 18308, 1,562, Petro-Hunt, Sorenson 152-96-13B-24-1H, Union Center; F; 27 frac stages, 127K in less than a year! 27 stages; 1.5 million lbs; t1/10; cum 245K 11/12;
A fourth Petro-Hunt well is in section 14-152-96, and will most likely be a long lateral, running south, into Clear Creek.
  • 19511, 793, Petro-Hunt, Brenna 152-96-14B-23-3H; Clear Creek, t4/11; F; cum 235K 11/12; D-TF (Three Forks); 27 stages; 2.1 million lbs;
Added since original post:
  • 21714, 1,626, Petro-Hunt, Sorenson 152-96-24C-13-4H, Union Center, t4/12; cum 132K 11/12;
*******
Now back to those Burlington Resources wells/permits in Union Center (for update on Midnight Run wells, click here):
  • 17421, 544, BR, Midnight Run 41-1H, Union Center, Bakken, s7/08; t11/08; cum 307K 11/12; 9-stage fracture; 1-152-96
  • 17631, 670, BR, Iron Horse 31-2H, t4/09, cum 174K 11/12; taken off line for five of early 22 months; 6-stage frack, I believe (I could be wrong; it may have been more but not many more); 2-152-96; produced only four days in 10/12; and 11/12;
  • 20323, 3,325, BR, Midnight Run 11-1MBH, Union Center, Bakken, 1-152-96; t12/11; cum 137K 11/12;
  • 20324, 1,963, BR, Midnight Run 21-1TFH, Union Center, Bakken, 1-152-96; t12/11; cum 72K 11/12; very erratic production;
  • 20325, 2,846, BR, Midnight Run 21-1MBH, Union Center, Bakken, 1-152-96; t12/11; cum 119K 11/12;
  • 20326, 2,083, BR, Midnight Run 31-1TFH, Union Center; 1-152-96; t12/11; cum 113K 11/12;
  • 20327, 2,443, BR, Midnight Run 41-1TFH, Union Center; 1-152-96; t12/11; cum 89K 11/12; taken off-line often;
  • 22675, 2,640, BR, Midnight run 11-1TFH, Union Center; 1-152-96, t10/12; cum 8K 11/12; only 188 bbls over 30 days in November, 2012;
  • 24537, conf, BR, Midnight Horse 11-1MBH-ULW, Union Center,
  • 22753, 1,964, BR, Iron Horse 41-2TFH, Union Center, t11/12; cum 8K 1/13;
  • 22754, 2,324, BR, Iron Horse 31-2TFH, Union Center,
  • 22755, 2,605, BR, Iron Horse 31-2MBH, Union Center,
  • 22756, 2,204, BR, Iron Horse 21-2TFH, Union Center,
  • 22757, drl, BR, Iron Horse 21-2MBH, Union Center,
  • 22758, conf, BR, Iron Horse 11-2TFH, Union Center,
Miscellaneous:
  • 6168; PNA; 500, Panther Creek Resources, Brenna 13-13; Union Center, Madison; s7/77; t8/77; cum 241K 5/03; 200 bbls/month before it was taken off line in 2000 (kept active through 2003)
  • 7335, 210, Panther Creek Resources, Brenna 42-14, Union Center, Madison; s12/79; 3/80; cum 218K 11/12; still producing 300 bbls/month (at $85 --> $25,000/month; almost no expenses; well paid for)
  • 7774, 465, McRae & Henry, Ltd., Brenna 22-14; Union Center Madison;  s9/80; t11/80; cum 198K 11/12;
  • 8266, 486, Panther Creek Resources, Sorenson 11-13; Union Center, Madison; s2/81; t4/81; cum 253K 11/12;
A few points:
  • Look at those total production figures for two of those BR wells; these wells will pay for themselves in a couple of years, and continue to produce at nice rates
  • These two high producing wells had nice, but not spectacular IPs
  • These two high producing wells were fracked with single-digit number of stages (9, and 6); compared with 30 and 38 stages used by BEXP
  • Five wells are in the same section (17421, 20324 - 20327); two of them are middle Bakken, and three will target the Three Forks
  • Those five wells are linearly spaced suggesting that three more wells could be placed in that same line; that would be a total of eight wells in one section on one line
  • Note that those five wells are a mix of middle Bakken and Three Forks. If it is accurate that the middle Bakken and the Three Forks do not communicate, then one can double the number of horizontals, bringing to a total of ten horizontals in one 1280-acre spacing unit
  • If BR were to max out the spacing in this one section with stacked laterals, one could see 16 wells in this one section (part of a 1280-acre unit); this is not far-fetched if one looks at slide 51 of the most recent BEXP presentation
  • Other formations in this section are also likely to hold viable pay zones
  • Bottom line: 16 horizontals targeting the Bakken and Three Forks, and then other pay zones to consider
Now, it starts to make sense why some acreage in the Bakken went for $10,000/acre.

Puttin' On The Ritz, Taco

Dress up like a million dollar trooper
Trying hard to look like Gary Cooper.

Come let's mix where Rockefellers walk with sticks...
Puttin' on the Ritz.

Have you seen the well-to-do
Up and down Park Avenue?
On that famous thoroughfare,
With their noses in the air;
High hats, and narrow collars
White spats,
And lots of dollars...

How Bad is the Fracking Backlog? -- Bakken, North Dakota, USA

I have mentioned a number of times that the backlog in fracking could really hurt the smaller, under-capitalized drillers in the Bakken.

The Bakken wells are expensive to drill and then to have them sit there waiting to be fracked has to be a huge cash flow problem.

This is what some are saying about the backlog in fracking: in some cases, the fracking can delay completion of the well for several months.

In addition, the backlog was also mentioned by some of the oil companies working in the Bakken in their 4Q10 earnings conference calls.

With the number of rigs expected to increase significantly over the summer, the problem will likely get worse.

What We Can Tell From A Few Wells in Murphy Creek -- Bakken, North Dakota, USA

The Murphy Creek oil field is turning out to be a pretty good field. In addition to Bakken Pool wells, Slawson is now asking for proper spacing for the Lodgepole Pool in Murphy Creek. 

I have said many times that folks are focused on the Bakken in the current boom, but the real story is this: with "dry" holes in the Bakken, the oil companies are holding an immense number of leases by production, allowing them to go back and target the other formations: Lodgepole, Birdbear, Tyler, and the legacy formations. Obviously all formations may not be economical in all areas, but that will be sorted out over time.  It is the "party line" that the Bakken wells will produce for 30 years. I assume one could say, the producers have locked themselves into a 30-year mortgage where the value of their underlying asset will appreciate significantly.

Some selected wells with their initial production numbers and total production to date (where available) in the Murphy Creek oil field.
  • 19137, Encore, 2,928, Franchuk 44-19NWH, 26K in less than 2 months
  • 19138, Encore, 2,616, Franchuk 44-19SWH, 27K in first two months
  • 18638, Encore, 2,184, Franchuk 44-20NWH, 13K in 1.5 months
  • 18048, Tracker,1,214, Larsen 13-1H, 100K in 13 months
  • 18453, Tracker, 2,121, Murphy 11-1H, 115K in 10 months
  • 18523, Tracker, 1,447, Kudrna 10-1H, 95K in 9 months
  • 18846, Tracker, 971, Dirkach 24-1H, 54K in 6 months
  • 17765, Tracker, 885, Fritz 18-1H, 111K in 24 months
  • 18769, CLR, 761, Roadrunner 1-15H, 70K in 7 months 
  • 19374, Marathon, 653, Darcy Dirach 14-12H, 36K in 4.3 months
  • 18591, Marathon, 463, Joseph Schollmeyer 14-7H, 38K in 8 months
  • 18090, Marathon, 384, Kirkach 34-9H, 61K in 18 months
  • 16987, Marathon, 373, Willard Kovaloff 21-17H, 90K in 33 months or so
  • 16995, Marathon, 253, Koberstine 14-8H, 60K in 34 months (erratic of late)
  • 17160, Marathon, 378, Viola Koberstine 34-7H, 87K in 32 months
  • 17046, Marathon, 306, Irene Kovaloff 31-18H, 74K in 30 months
  • 17140, Marathon, 291, Kudrna 41-16H, Buck 44-21H, 46K in 20 months
The Murphy Creek oil field is a huge field, so it is natural to expect that some areas may be better than others, but it certainly appears obvious that Encore and Tracker have cracked the code. (If this "Tracker" was the Tracker acquired by Hess, Hess acquired some nice wells, and some nice experience.)

Encore and Tracker wells will pay for themselves (at the wellhead) in less than two years.  BEXP prides itself on paying for its wells in 1.3 years, according to a recent corporate presentation. Almost three years out, the Marathon wells are yet to pay for themselves (round numbers, supposition on my part; I don't have any more information than what is shown above).

The IPs were taken from NDIC records; in some cases, the companies reported different IPs in their pressers or their corporate presentations. CLR reported an IP of 1,722 bbls for Roadrunner 1-15H. I assume that was a presser or a corporate presentation; regardless it looks like a good well.

Spacing in the Bakken, North Dakota, USA

Folks are starting to notice an interesting "phenomenon" with regarding to the size of spacing units for oil drilling in North Dakota.

When you go to the NDIC GIS map server, you can go to the drop-down menu on the right and select the "Drilling/Spacing" folder and then click on the "Bakken." From there you can select the size of spacing unit(s) you are interested in.

Right now, one can only select the Bakken on the GIS map server, at least as far as I can tell.

This will now bring us back to an earlier discussion regarding exactly how the "Bakken" is defined.

It is my understanding that the Bakken on the GIS map server refers to the NDIC definition of the "Bakken Pool" which consists of five formations: the upper, middle, and lower Bakken; and, the upper and lower Three Forks/Sanish.

The NDIC hearing dockets always refer to the wells targeting the Bakken formations or the Three Forks formations as part of the Bakken Pool (at least from what I can tell).

In the March, 2011, hearing dockets, Slawson has asked the state to establish spacing for the Lodgepole in the Murphy Creek field in Dunn County.

Hopefully, we will see a drop-down menu on the GIS map server to show spacings for more than just the Bakken in the future.