Nineteen (19) New Permits -- North Dakota -- August 5, 2014; North Dakota On Track To Issue Record Number Of Oil & Gas Permits This Calendar Year; Huge Increase Projected

Reporting tomorrow:

• CNP, forecast 23 cents, before market opens
• CHK, forecast 44 cents, before market opens
• DNR, forecast 27 cents; before market opens
• DVN, forecast $1.40; before market opens 
• ETP, forecast 64 cents; before market opens 
• QEP, forecast 33 cents; before market opens 
• SD, forecast 4 cents; before market opens 
• RIG, forecast $1.12; before market opens    

North Dakota on track to issue record number of permits: I didn't double-check the numbers but it appears North Dakota is on track to issue a record number of permits this calendar year.

• In calendar year 2013, on this date, August 5, 1,405 permits had been issued; that put the state on track to issue 2,363 permits for the calendar year, 2013.
• This year, calendar year 2014, on this date, August 5, 1,709 permits have been issued, which tracks out to 2,875 new permits this calendar year if issued at the same pace.

A projection of 2,875 permits would represent a 22% increase, year over year, over last year's projection at this point in time.

The commission issues permits based to some extent on the perceived ability of the operators to actually get around to drilling these wells. In other words, despite fewer active rigs this year compared to last year, NDIC feels the operators will be able to drill more wells (significantly more, apparently) with fewer rigs due to faster times to total depth; and pad drilling.

Wells coming off confidential list Wednesday:

• 26606, 1,013, Newfield, Hoffmann 149-98-11-2-10H, Pembroke, t5/14; cum 19K 6/14;
• 27237, drl, Slawson, Waterbond 4-27-34TFH, Van Hook, no production data,
• 27272, 789, WPX, Glenn Fox 13-24HX, Van Hook, t6/14; cum 8K 6/14;
• 27290, 454, CLR, Volesky 1-23H1, Ukraina, t6/14; cum 7K 6/14;

Active rigs:

	8/5/2014	08/05/2013	08/05/2012	08/05/2011	08/05/2010
Active Rigs	193	183	206	183	140

Nineteen (19) new permits --

• Operators: BR (4), XTO (4), EOG (3), Whiting (3), Hess (3), CLR, Stephens Production Company,
• Fields: Camel Butte (McKenzie), Johnson Corner (McKenzie), Siverston (McKenzie), Parshall (Mountrail), Sanish (Mountrail), Juniper (McKenzie), Stony Creek (Williams)
• Comments: Stephens has a permit for a wildcat in Ward County; this is only the second permit for this company in North Dakota; their first permit/well, a Madison well (#25603) was dry, located about 12 miles north of Minot. This newest permit is for a well about six miles northeast of Minot. [There is also a Stephens Energy Company, LLC, last active in 2010.]

Wells coming off the confidential list today were posted earlier; see sidebar at right.

KOG changed the name of three wells:

• from P Thomas 154-98-14-33-XHX to P Thomas 154-98-14-33-28-XHX

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Other Energy News This Very, Very Busy Reporting Day

The Marcellus hits new record in natural gas production, Obama administration still not capitalizing on it:

• Natural gas production in the Marcellus region exceeded 15B cf/day in July, the most productive period ever recorded there, according to a new report from the U.S. Energy Information Administration.
• Marcellus, located mostly in West Virginia and Pennsylvania, now accounts for nearly 40% of total U.S. shale gas production, and its rapid growth isn’t expected to ebb soon, the report says.
• New wells in the region are expected to deliver another 600M cf/day, more than offsetting decline rates, for a net production increase of 247M cf/day.