Highlights of the July, 2010, Whiting Presentation, Part I

I mentioned earlier that I would eventually get back to the new Whiting presentation. Again, Whiting "knocks it out of the park" with an informative presentation. Fifty-eight slides with great information including several FAQ slides. For long term investors who have never read the Whiting FAQs, I strongly recommend doing so. Of course, newbies will definitely want to read those slides.

Slide 23/58 (24/59):

Here are the results of some selected wells in the Sanish that WLL has working interests in, either as the operator or as a non-operator:

Anderson 11-7TFS: 1,262
Ogden 11-3TFH: 1,479
Maki 11-27H: 4,761
Hansen 12-20H, infill: 4,144
Foreman 11-4TFH: 1,447
Sanish Bay 42-12H: 2,638
Curren 11-14H: 3,311
Olson 11-14TFH: 1,640

Each one of these wells is a long lateral; all of them are in different sections and eventually all sections in the Sanish will have four, five, or even possibly six horizontal legs running through them.

That "infill" well is very, very interesting; it will be just as interesting to watch for results of other "infill" wells. 

And just for fun:

The Behr 11-34H was completed in June, 2008. Cumulative oil production from that one well as of June, 2010, exactly two years, is 578,000 barrles. At $50/bbl, that is $29 million. Wells cost about $5 million in the Sanish, maybe $6 million. This well will produce for many more years, and has probably stabilized at current production for awhile (with gradual depletion). The Behr well had a 24-hour flow back rate of 3,245 barrels.

Not all wells will be this good (some will be better) but it doesn't take many, and the $50/bbl is a conservative wellhead price going forward.