Friday, August 17, 2012

Just a Reminder --

I really appreciate "straight talk":
EOG: near term, horizontal oil production in US (2 million bopd by 2015) will NOT affect 90 million bopd global production; only three consequential horizontal plays in North America: Eagle Ford, Bakken, and Permian (all others are either inconsequential or really NGL plays) -- Mark Papa, EOG/CEO
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11 comments:

  1. AnonymousAugust 17, 2012 at 11:05 AM

    Note that it is self serving.

    anon 1

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    1. Bruce OksolAugust 17, 2012 at 11:17 AM

      It is (self-serving).

      I am most interested in checking back on this in five years. I re-posted it in several places to find it more easily five years from now.

      Delete
  2. AnonymousAugust 17, 2012 at 11:35 AM

    Papa's comments may be self serving, but they are also true. All three will have more than 1 million bbd from horizontal within 3 years. Others like Niobrara will be fortunate to get to 25% of that rate.

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    1. Bruce OksolAugust 17, 2012 at 11:56 AM

      I think if one has followed this blog for the past two years, one would see that I agree -- it's all about the Bakken and the Eagle Ford (right now). The Niobrara has turned out to be much less than expected. The Mississippi Lime may be more interesting.

      Delete
  3. AnonymousAugust 17, 2012 at 11:53 AM

    What mr papa, who is retiring and thus has no reason to make outlandish statements, is saying is that the us is not on a path to energy independence based on horiz-frac stimulated shale oil. Deal with it.

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  4. Bruce OksolAugust 17, 2012 at 11:59 AM

    I did not interpret his comments that way. I interpreted that US horizontal oil will not affect overall global supply/demand issues -- folks were worried if supply of oil would pattern natural gas; result in plummeting oil price; Mr Papa told folks not to worry.

    With regard to US independence....regardless of how that turns out, the tea leaves suggest western hemisphere will be playing a bigger role going forward; OPEC less of a role.

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  5. AnonymousAugust 17, 2012 at 12:12 PM

    At least he said 'near term'. I'll take that as; there is still hope. Nevertheless, increased production will still go long way in making us OPEC independent.

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  6. AnonymousAugust 17, 2012 at 12:30 PM

    Hope springs eternal. (someone said :) )

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    1. Bruce OksolAugust 17, 2012 at 12:54 PM

      If you want to see "hope springs eternal," look at the most recent APA (Apache presentation).

      300,000 net acres in the Bakken; Daniels County, Montana.
      1,900 drilling locations; 1 billion bbls of recoverable oil.
      Pad drilling with 16 wells on a pad; 8 horizontals/1280-acre spacing.
      Middle Bakken: > 650K EUR
      Three Forks: > 350K EUR
      Daniels County is on far northwest edge of the Williston Basin.

      Delete
  7. AnonymousAugust 17, 2012 at 12:51 PM

    birds

    http://www.platts.com/weblog/oilblog/2012/08/17/heres_a_twist_p.html

    anon 1

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