Wednesday, April 5, 2017

Active Rigs In North Dakota By Operator -- April 5, 2017

Updates

April 10, 2017: the number of active rigs jumped from 48 to 52. Since the previous report, this was the increase in active rigs (CLR, Enerplus, Kraken Operating, and Hess each increased by one):

  • CLR: went from 4 up to 5
  • Enerplus: went from 2 up to 3
  • Kraken Operating: went from 1 up to 2
  • Hess: went from 3 up to 4 
Original Post
From the NDIC, April 5, 2017.

Operator
Number of Rigs
MRO
11
Whiting
5
BR
4
CLR
4
Hess
3
Enerplus
2
Oasis
2
Petro Hunt
2
Statoil
2
WPX
2
XTO
2
Abraxas
1
Crescent Point
1
Halcon
1
Kraken
1
Liberty Resources
1
Lime Rock
1
McKenzie Energy (SWD)
1
Newfield
1
QEP
1
Slawson
1

After some recent posts, I was surprised to see that Statoil had two active rigs in North Dakota. But what really surprised me was that considering how active Slawson seems to be, Slawson has only one active rig in North Dakota.

The recent count has been as high as 51, so there may be two more rigs out there that will show up over the next few days.

Note: McKenzie Energy has one rig drilling a salt water disposal well

7 comments:

  1. The McKenzie Energy rig should be done by now. The NDIC seems to be a little slow getting the rigs drilling SWD's and surface rigs off the list after they have moved off of a well.

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    Replies
    1. Thank you. That's not surprising -- paperwork is always delayed. The important thing for me is the "trend" over time. I'm still amazed to see that Slawson has one rig considering all the activity. It suggests to me a very "lean, mean, drilling machine."

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  2. Companies that don't have a rig, like Sinclair, are they just done in the Bakken? Going to let all permits expire?

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    Replies
    1. I would doubt it. Operators come and go; the number of active rigs fluctuates. With regard to Sinclair, I've never seen Sinclair with more than one active rig in North Dakota (although I don't check every day) but even when there were 185 active rigs in ND, Sinclair only had one active rig. I have a tag at the bottom of the blog that gives random updates of the number of rigs at various times over the past few years ("RigsActiveList"). I have not kept track of expiring permits, but it seems I see as many "renewed permits" as expiring permits. So, from operator to operator, it all depends. Sorry I don't have more information. $100 to renew an annual permit. Once spud the operators are now given two years to complete; and, with a waiver that period can be extended.

      It's hard to find information on a privately held company like Sinclair but as recently as 2016, this from an interview with the CEO:

      "Sinclair was a very early entrant into the world of horizontal drilling and fracking in the Barnett shale down around Fort Worth, Texas.

      "We exited that arena in 2006, and went through a divestiture to Chesapeake, but…we have a sizable position in the Bakken and in the Anadarko Basin in Oklahoma. In today’s price environment we are not actively developing anything, but we have a large leasehold position with many years of drill site inventory available to us."

      http://trib.com/business/energy/q-a-sinclair-oil-chairman-and-ceo-ross-matthews-talks/article_df64bd38-c149-5005-991d-c71cec6e3eb8.html

      That was in 2016, so it sounds like Sinclair is going to try to stick it out in the Bakken.

      Also, my hunch is there are not all that many permits outstanding in the big scheme of things. At this point, any company getting a new permit probably has plans to drill.

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    2. I forgot to mention, one can find the status of a permit at this site:

      https://www.dmr.nd.gov/oilgas/findwellsvw.asp

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  3. I wouldn't be surprised if some of the companies that do not currently have rigs running, Start one up. I've seen two rigs being moved just today that I believe are new rigs or starting back up.

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    Replies
    1. Agree completely; things are incredibly fluid.

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