Friday, June 8, 2012

Jim Creek Field


Permits Issue in 2016

32899, SI/NC, CLR, Dvirnak 9-7H, 7-146-95, part of case #25171, 28 wells on an existing 2560-acre unit;
32811, loc, CLR, Ryden 9-24H, 13-146-96,
32810, drl, CLR, Ryden 8-24H, 13-146-96,
32809, drl, CLR, Oakdale 10-13H1, 13-146-96,
32808, drl, CLR, Oakdale 9-13H, 13-146-96,
32807, drl, CLR, Oakdale 7-24H2, 13-146-96,
32806, loc, CLR, Oakdale 8-13H2, 13-146-96,
32805, loc, CLR, Ryden 6-24H, 13-146-96,
32804, loc, CLR, Ryden 5-24H1, 13-146-96,
32803, loc, CLR, Oakdale 7-13H, 13-146-96,
32802, loc, CLR, Oakdale 6-13H1, 13-146-96,
32749, SI/NC, CLR, Dvirnak 8-7H, 7-146-95, part of case #25171, 28 wells on an existing 2560-acre unit;
32748, SI/NC, CLR, Dvirnak 7-7H1, 7-146-95, part of case #25171, 28 wells on an existing 2560-acre unit;

Permits Issued in 2015
(the list appears to be complet)

32381, conf, BR, Hawktail 11-11MBH-ULW,
31195, 306, CLR, Bonney 6-3H, t10/15; cum 19K 11/15;

Permits Issued in 2014

30212, conf, BR,
30211, conf, BR,
30141, drl, CLR, Dvirnak 6-7H1,
30140, drl, CLR, Dvirnak 5-7H,
30139, drl, CLR, Dvirnak 6-7H2,
30138, drl, CLR, Dvirnak 7-18H2,
30137, drl, CLR, Pletan 6-18H,
30136, drl, CLR, Pletan 5-18H1,

Permits Issued in 2013

26954, 1,307, CLR, Ryden 2-24AH1, 4 sections, t7/15; cum 31K 11/15;
26953, 1,577, CLR, Ryden 3-24H, 4 sections, t7/15; cum 68K 11/15;
26952, 790, CLR, Ryden 4-24H1, 4 sections, t7/15; cum 46K 11/15;
26951, 527, CLR, Oakdale 2-13H1, 4 sections, t7/15; cum 56K 11/15;
26950, 726, CLR, Oakdale 3-13H, 4 sections, t7/15; cum 31K 11/15;
26949, 391, CLR, Oakdale 4-13H1, 4 sections, t7/15; cum 42K 11/15;
26948, 531, CLR, Oakdale 5-13H, 4 sections, t8/15; cum 49K 11/15;
25167, conf, CLR,
25166, conf, CLR,
25165, conf, CLR,
25110, 1,143, CLR, Bonney 3-3H1, t6/14; cum 107K 11/15;
25109, 995, CLR, Bonney 4-3H, t6/14; cum 123K 11/15;
25108, 946, CLR, Bonney 5-3H1, t6/14; cum 78K 11/15;

Permits Issued in 2012

22810, PNC, CLR, Ryden 2-24H, 4/13;
22222, PNC, CLR, Bonney 3-3H, 1/13;

Permits Issued in 2011

21833, 897, CLR, MicahLucas 2-5H/Lorin 2-5H, t2/15; cum 60K 11/15;
21713, 894, CLR, Sloan 2-17H, t2/15; cum 59K 10/15;
21228, 673, CLR, Nadia 2-30H, t3/12; cum 147K 10/15;
21032, 905, CLR, Benner 1-6H, t1/12; cum 172K 10/15;
20809, 1,294, CLR, Pletan 4-18H, t12/11; cum 174K 10/15;
20808, 1,106, CLR, Pletan 3-18H, t12/11; cum257K 10/15;
20807, 831, CLR, Dvirnak 3-7H, t12/11; cum 289K 10/15;
20806, 744, CLR, Dvirnak 2-7H, t12/11; cum 217K 10/15;
20607, 814, CLR, Grande 1-18H, t10/11; cum 146K 10/15;
20625, 1,946, Oasis, Berkner Federal 5602 43-11H, t3/12; cum161K 10/15;

Permits Issued in 2010

20230, 293, CLR, Chase 1-19H, t7/11; cum 130K 10/15;
19968, 757, CLR, Pletan 2-18H, t8/12; cum 235K 10/15;
19340, 759, CLR, Nadia 1-30H, t12/10; cum 147K 10/15;
19168, 313, CLR, Rhonda 2-28H, t2/11; cum 231K 10/15;
19023, 726, CLR, Skachenko 2-31H, t6/11; cum 149K 10/15;
19022, 453, CLR, Meadowlark 2-6H, t6/11; cum 252K 10/15;
19021, 879, CLR, Skachenko 3-13; t6/11; cum 185K 10/15;
19020, 744, CLR, Meadowlark 3-6H, t6/11; cum 114K 10/15;
18836, 163, CLR, Kelling 2-4H, t12/10; cum 150K 10/15;
18795, 1,074, CLR, Bonney 2-3M, t8/12; cum 274K 10/15;
18679, 1,371, CLR, Medicine Hole 2-27T; t7/10;  cum 167K 10/15;

Original Post

Located in northwestern Dunn County. It sits between Little Knife and Murphy Creek, and immediately north of Cabernet oil field: potentially a very good field.
It is a very irregularly shaped field. It is about 48 sections, half of one township to the north, and half of one township to the south. 

Long string of wells running west to east in middle of the field (all data after #18679 inclusive updated up above):
  • 21833, conf, CLR, Lorin 2-5H,
  • 17411, 335, CLR, Lorin 1-5H, t3/09; cum 95K 10/15;
  • 18836, 163, CLR, Kelling 2-4H, t12/10; cum 71K 4/12;
  • 16732, 190, short lateral, CLR, Kelling 1-4H/Kostenko 1/4H (probably needs to be re-fracked?); Jim Creek, ; cum 159K 10/15; no production between 8/10 and 2/11; re-fracked? Regardless, back on line with 2,000 bbl/month production; in 2012, about 1,500 bbls/month
  • 18795, 1,074, CLR, Bonney 2-3M (interesting designation), t8/10; cum 136K 4/12;
  • 22222, conf, CLR, Bonney 3-3H,
  • 17135, 143, CLR, Bonney 34-3H, t9/08; cum 204K 10/15;
  • 17374, 83, BR, Fox Tail 31-10H, t11/08; cum 135K 10/15;
  • 16703, 144, CLR, Kelly 44-2H, t1/08; bcum 198K 10/15;
  • 18673, 480, CLR, Kelly 2-2H, t6/10; cum 182K 10/15;
  • 17390, no ip, BR, Hawkeye 41-11H, s8/08; cum 156K 10/15;
  • 17259, 381, BR, Firebird 11-12H, t2/09; cum 155K 10/15;
  • 16858, no ip, CLR, State Dolezal 44-1H, s12/07; cum 194K 10/15;

Ten (10) New Permits -- The Williston Basin, North Dakota, USA

Daily activity report, June 8, 2012 --
  • Operators:  KOG (4), Slawson (3), MRO, North Plains Energy
  • Fields: Midway (Williams), Van Hook (Mountrail), Murphy Creek (Dunn), Elm Tree (McKenzie), Stockyard Creek (Williams), Epping (Williams)
Timing is interesting. I updated Big Bend field today which is "owned" by Slawson, and now, after being relatively quiet, Slawson has three more permits, including two in Elm Creek. It was back in May, 2010, that I said that Elm Tree would eventually see some action. It took longer than I thought.

KOG's permits are for wells in Epping and Stockyard Creek fields. Stockyard Creek is one of my favorite fields because of the my memories associated with it east of Williston. It turns out that it is one of the more active fields.

MRO's permits are in the Murphy Creek oil field. There are several different operators working this field, and many wells are approaching three and four years: allows one to start comparing results of different operators over time.

Four wells released from "tight hole" status:
  • 20266, no data, SM Energy, Wold 15-33H,
  • 20782, 577, Enerplus, Cedar 148-94 12D-01-4H,
  • 21760, no data, Hess, CA-Halverson-154-95-0409H-1,
  • 21785, no data, Enerplus, Jackal 149-93-31A-30-1H,
Interesting: 3 of 4 wells not completed. Fracking backlog resolved?

Tesoro Refinery Expansion Almost Complete

See link.

Random Note Comparing An Early Eagle Ford Well With the Bakken

From Yahoo!InPlay:
Penn Virginia provides an update on Lavaca County Eagle Ford Shale operations; Schacherl #1H, with 22 frac stages and a lateral length of ~ 5,450 feet, had an average initial production rate of 1,277 boepd of wellhead volume: The third exploratory "earning" well, the Schacherl #1H (75% working interest) on our 13,500 gross acre area of mutual interest in Lavaca County was completed and turned in line at the end of May. The Schacherl #1H, with 22 frac stages and a lateral length of ~ 5,450 feet, had an average initial production rate of 1,277 barrel of oil equivalents per day (BOEPD) of wellhead volume (90% oil and 10% wet gas; 1,011 BOEPD average over the first seven days of production). This well has been significantly choked with a flowing pressure of ~ 3,350 pounds per square inch on a 14/64" choke as the recovery of frac fluid continues. 
Data points
  • significantly choked (14/64ths) 
  • short laterals
  • nice IPs
  • 22 stage fracs
  • if my calculations are correct, PennVirginia has a very small position in this county: 13,500 gross acres in a county that looks to be slightly more than 620,000 acres
Don't worry. I'm not going to start following the Eagle Ford vis a vis the Bakken, but it's interesting to compare the Eagle Ford wells with thte Bakken.

The Demise of the US Coal Industry


December 13, 2012: hundreds attend hearings in Vancouver, WA, regarding new terminals to ship coal to Asia. Economic suicide groups. 

June 25, 2012: the perfect storm. The administration vowed to kill the coal industry; the faux environmentalists put the regulations in place years ago; and, now, natural gas is so inexpensive, it looks like the administration has accomplished its mission. And with the demise of the coal industry, the end of a lot of pollution abatement. We're talking billions of dollars.
An indication of how much new emissions rules and cheaper natural gas have hammered the value of coal-burning generation will come when Exelon announces the results of the first big sale of U.S. coal-fired power plants in four years.

Exelon, the largest U.S. power company, may have to take a 40 percent discount for three Maryland plants it’s seeking to sell by the end of August. Bidders including NRG Energy Inc. have offered $600 million to $700 million for the units, which have a fair value of $1 billion, ...

Original Post
At Yahoo!InPlay:
9:00AM Alpha Natural Resources to reduce coal production from Kentucky Mines: Co plans to curtail coal mining operations in its northern and southern Kentucky business units as continued market pressures and new regulations on coal-fired power plants make production from certain mines in those areas uneconomic. Alpha's Kentucky affiliates will discontinue mining at four mines and idle two coal preparation plants in Pike and Martin counties. Production will be scaled back at several other mines, and four contract mines will close. In aggregate the production cuts will reduce Alpha's shipments of thermal coal by an additional two million tons this year and four million tons in 2013.

Housekeeping: Big Bend Oil Field Has Been Updated

The information is all available at NDIC website, but for folks who have limited time, they may want to go to the link and quickly scroll through. I know "anonymous" prefers to find this data for herself at the NDIC website. Go for it.

Big Bend is an incredible story; "owned" by Slawson.

A Note for the Granddaughters

The granddaughters have the best dad in the world, of course. Their new bikes arrived this past week. He put them together and two days ago we took them out for the first time. The older one had learned to ride a couple years of ago, but had not ridden in a long time, and remains a bit uncomfortable riding, a bit unsure of herself. But in less than 15 minutes she was back up to speed, riding and doing quite well. It is frustrating that children's bikes are so heavy; adults pay a lot for light bikes, and it's worth it. But she seems not to complain. The tires need air; we will buy a pump today.

Meanwhile, the five-year-old is incredible. She was on a borrowed bike for a few times last summer when we were out in California, but mostly just getting the feel of a two-wheeler while I held / pushed it.

So, out to the park with training wheels two days ago. We noticed that the training wheels actually seemed to make the bike more difficult to ride than necessary. She told me to take the training wheels off. She (we) practiced for about 30 minutes.

Yesterday we went back out to the park. Wow, in less than 15 minutes she was on her own.

By the end of 30 minutes she was maneuvering through the obstacle course at the top of the hill. I was quite impressed. In two 30-minute sessions she was riding on her own.

I have never been fond of training wheels.

For the older granddaughter, lots of emotion. For the younger granddaughter, it's all business. Her father thinks she will grow up to be a dictator of a small country.


I honestly don't remember how I learned to ride a bike. I'm pretty sure my parents were not involved; they had too many children and they both worked. I'm not even sure how they afforded bikes for all of us. Looking back, I don't know how they afforded the things they provided for us. But I digress.

A bit of rambling on teaching children to ride a bike. When to start? The younger the better.

Training wheels seem to be a substitute for parents who don't have the time to practice with the child. [As I ramble, I vaguely remember having training wheels and vaguely remember having them for a long time; going down driveways or up driveways where cement meets the asphalt was always very, very difficult. Eventually, the bike became my best friend.]

Some children have a longer attention span than others. Tailor the length of the training sessions to the attention span of the child. Set no long term goals in terms of when the child will be successful. In some cases, no goals at all need to be set. The child that has significant difficulty, set short term goals.

The older granddaughter had great difficulty learning to ride; she is very emotional, easy to become frustrated, very unsure of herself.

So, when I started working with her, it became clear she needed very short term goals.  For the first week, we limited each day's training session to less than 5 minutes. Five minutes. She did not have time to get frustrated. Our goal: from one crack in the sidewalk to the next crack in the sidewalk. I can't remember how long it took to reach that goal. I think it was a week. But eventually, she was able to get from one crack to the next. That's about three feet. Every day we went out: we used the watch to time the five minutes and that was it. Generally she was ready to quit at the end of five minutes, but even if she wanted to go longer, I didn't stretch the time much.

Once we had the first three feet, it got easier, of course, but even then, the training sessions couldn't last longer than 10 minutes or so.

The younger granddaughter needed no short term goals; she learned way too fast. In less than two 30-minute sessions as noted above.  

Oh, one thing about falling over, tipping to the side and falling. With the younger child I "discovered" this trick. I held her, while she was on the bike, upright, and then asked her which way she wanted to fall (which foot to hit the ground first). Then I had her put that foot out and I leaned her over. There she was, at about 30 degrees, leaning to the side, both hands on the handlebar. I told her to hold that pose and take a deep breath. Then I got in front of her as if I was going to take a picture. I was "training" her muscles and her "memory" to go to the position if she felt herself starting to fall. That paid huge dividends. She felt in control. She was no longer afraid of falling, because she knew she wasn't going to fall. If she started to tip: a) right foot out; b) stop, rest on that right foot; both hands on handlebars; and, then, most important, c) take a deep breath, and act as if the maneuver was planned. No need to let others know that you were out of control. Smile. 

  • earlier the better
  • five to 30 minutes every day, depending on the temperament of the child
  • no long term goals in terms of "when" to be successful; they will eventually learn
  • short term goals/milestones, if necessary
  • no training wheels if at all possible
  • teach them how to prepare to fall; and then to hold that pose for a photo op

Friday Morning Ramblings -- For the Bakken, Skip and Scroll

1. Holder: "Fast and Furious" does not refer to "Fast and Furious." I cannot make this stuff up.

2. CNBC Santelli and Mr Sam Zell, following one another yesterday, both agree that president is anti-business. Zell cannot answer why the president is anti-business.  CNBC's Maria Bartiromo agrees that the Wisconsin recall vote was a "runaway, not even close."

3. Peggy Noonan has another great essay in the WSJ -- Obama's administration is looking like a house of cards.  Whether you agree or disagree with Ms Noonan, she is a very gifted writer, and very, very perceptive. I particularly enjoyed her comments regarding Bill Clinton -- right on.

4. Speaking of that Noonan essay: she clearly states the union number statistics. I assume that number is widely and easily available, but I haven't seen it in mainstream media.

5. I'm going to have to have a page devoted solely to Bill Clinton.  I think he may just be the most honest politician right now -- at least in his spontaneous interviews; he is clearly one of the most prescient.

Any More Proof Needed -- How Severe This Jobless Recovery Is

Folks who think the true unemployment rate is 8.2% are not readers. At least they are not reading the news.

22,000 folks applied for 877 jobs at the Hyundai plant in Montgomery, Alabama.  I believe last week the entire nation added about 70,000 jobs (I doubt many of them were "new").  22,000 applications for one manufacturing plant. That one data point (about 22,000 apps for 877 jobs) tells me the real unemployment rate is much greater than 8.2%.

"The private sector is doing just fine." Please.  Tell that to 21,123 Hyundai applicants in Montgomery.

We were living in Montgomery, AL, when this Hyundai plant was going up. I believe we left just as the plant was being finished. It was a big deal then; it looks like it's become a much bigger deal.

By the way, there is a reason why the automobile industry seems to be a bright spot in this economy. I don't think I've heard anyone talk about it on CNBC, and I don't think I've read about it anywhere. I know if someone wrote what I'm thinking regarding the automobile industry and its bound back, I would have linked it. I alluded to it in a link to a WSJ story yesterday.

RBN Energy: The Hows and Whys of Bakken Pricing

Links to RBN Energy.

Part I here.  (same link)

My hunch this will be the number one visited site that I link to today. Enjoy.

Part II

Energy Links at Independent Stock Analysis

Link here to ISA.

The only reason I don't comment on some of those excellent links is that I am too busy first thing in a.m. getting to all the stories being reported.