COP's Ten-Year Plan Subsequent To The Concho Acquisition -- July 3, 2021

Updates

July 4, 2021: now that folks  have had a chance to look at the presentation, my thoughts regarding COP's plans for the Bakken. Not ready for prime-time (this has updated/corrected based on information from a reader):

From the presentation: COP says it has 620,000 net acres in the Bakken.

The standard drilling unit in the Bakken is 1280 acres. Dividing 620,000 net acres by 1280 acres (the standard Bakken drilling unit) one gets about 500 drilling units.

If we are interpreting the slides correctly, COP says it has an inventory of 500 "new" operated wells in the Bakken. That means COP has an average of one well one each of its drilling units. Much (most) of COP's Bakken acreage is Tier 1. 

Tier 1 Bakken acreage will easily support eight wells / 1280-acre unit and very likely could support as many as twenty-four wells.

Later, 4:03 p.m.: for regular readers of the blog and/or for those who feel they have a good understanding of the Bakken. Look at the "inventory" numbers COP provides for the Bakken. Any thoughts? I'll provide mine later but this is quite fascinating -- as everything about the Bakken is fascinating.

Original Post

ConocoPhillips (COP) special call -- slideshow. Link here.

I assume this slide deck was put together after COP acquired Concho, probably prepared to provide analysts and investors COP's ten-year plan with the acquisition of Concho.

• 59 slides
• a huge amount of information
• much I do not understand
• only a few highlights below
  
• ten-year plan and outlook
  
• free cash flow / breakeven price: ~ $30/bbl average
• > $70 billion free cash flow over the decade at $50/bbl WTI
• remember: COP + Concho
• lower 48:
• Delaware: 440,000 net acres
• Midland: 260,000 net acres
• Eagle Ford: 200,000 net acres
• Bakken: 620,000 net acres
• inventory over ten years with breakeven price
• 6,800 wells
• Permian (10-year stats): 4,700 operated new wells; $23 billion FCF
• Eagle Ford (10-year stats): 1,600 operated new wells; $8 billion FCF
• Bakken (10-year stats): 500 operated new wells; $4 billion FCF
• well production performance -- COP
  
• Delaware: #1
• Midland: #1
• Eagle Ford: #1
• Bakken: #3
• slide 35 mentions "twin fracks" increasing number of frack stages per day
• slide 36: Delaware single-well capital
• 2019: $1,150 / ft
• current: $700 / ft
• slide 37: "slim hole drilling" 
• slide 38: "zippering zippers"
• slide 39: re-fracks
• 75% average EUR uplift (100% would be a doubling of the EUR)
  
• refrack inventory: 350+
• the Bakken specifically noted