Whiting Operations Update

This was previously reported but reached me today via the Oil and Gas Journal.

October 28, 2010: The estimates of the recoverable oil reserves in the North Dakota Middle Bakken (MB) and Three Forks (TFS) formations continue to pleasantly surprise Whiting Petroleum Corp., Denver, which said that it also appears that further infill drilling is warranted in Sanish field. 

Sanish oil field, "owned" by Whiting

• Whiting operates 152 wells in the Sanish
• Additional frac stages have contributed to higher initial production rates
• Currently: 27,385 boepd from MB and TFS
• 3Q10: 22,275 boepd from the Sanish, up 113% from 3Q09

Sanish field operations

• Whiting says it now expects to drill 534 gross operated wells in the Sanish (an additional 152 operated wells)
• 83 will be "wing wells," medium length laterals (7,500 feet); will be drilled in the northeast and southwest portions of the 1,280-acre spacing units
• Will now drill three TFS wells per 1,280-acre units rather than previous plan of two TFS wells per unit
• Will add 80 gross well locations in the Sanish
• Estimates that 323 gross wells remain to be drilled

Production

• 57 wells through mid-October for calendar year 2010
• 51 Bakken wells: average boepd = 2,541 (21% more than average before 2010)
• 7 TFS wells: average boepd = 1,433  (42% more than average before 2010)

Fracture stimulation

• 15 - 30 fracs/well in 2010; average = 20/well
• Before 2010, most wells were fracked with 10 stages
• Using more proppant and fluid now: 50K bbl fluids and 4 million lbs

Rigs and Fracking Crews, Cost and Time, Transportation

Whiting plans to maintain nine operated rigs in the Sanish through 2012 
Whiting has one dedicated frac crew at Sanish; 100 wells/year
Cost: <$5 million/well
Average 20,000 feet measured depth; 10,000 ft lateral
Average length of time: 19 days
19 fewer days on location saves $900,000 in drilling costs
Whiting expects to have all Sanish oil connected to pipeline by end of 2010

Parshall field

• Some participation in 129 wells
• Lewis and Clark Prospect: Stark County
• Golden Valley, Billings and Stark counties
• Froehlich well: averaged 1,109 boepd in first 30 days
• Discovery well: Federal 32-4TFH: flowed 1,970 boepd from the TFS, Nov 2009
• One year later, Federal 32-4TFH continues at 259 boepd (pumping), 32 boepd higher than the well's production rate at the end of July, 2010
• Four operated rigs; will increase to five by end of November; plans to have nine by mid-2011. 
• Goal: 13 TFS wells in 2011
• Plan: 30 frac stages
• Estimates at least 500 potential wells targeting the TFS