Producers:OXY (2), Zenergy (2), Sequel, True, CLR, and EOG.
Fields: Dimond, Heart Butte, Squaw Creek, Rider, Red Wing Creek, St Demetrius, and Parshall.
OXY is wasting no time; four permits since closing the deal on Bakken acreage just weeks ago.
Slawson, with another nice well, reported earlier today.
Wednesday, December 29, 2010
Investopedia: EOG
Link here.
EOG has reached its strategic goal to focus on oil rather than natural gas.
This author, like me, offered no reason why Newfield and EOG terminated plans to buy/sell assets in the Marcellus. I commented on the transaction which provided as good a rationale as any.
EOG has reached its strategic goal to focus on oil rather than natural gas.
This author, like me, offered no reason why Newfield and EOG terminated plans to buy/sell assets in the Marcellus. I commented on the transaction which provided as good a rationale as any.
La Dolce Vita -- Not a Bakken Story
Link here.
The link will take you to a sentimental, personal reminisce. Nothing about oil. Nothing about anything, except idle rambling.
The link will take you to a sentimental, personal reminisce. Nothing about oil. Nothing about anything, except idle rambling.
Fargo's "Snow Bash" Canceled: Too Much Snow -- North Dakota, USA
I can't make this stuff up.
Al Gore had to cancel plans to attend Fargo's annual New Year's Eve "Snow Bash."
Photograph of Fargo:
Maybe the mayor will send Mr Gore a signed photograph.
Al Gore had to cancel plans to attend Fargo's annual New Year's Eve "Snow Bash."
Photograph of Fargo:
Maybe the mayor will send Mr Gore a signed photograph.
Applebee's in the Heart of the Bakken: #2
The Applebee's restaurant in Williston is the second busiest Applebee's restaurant in its region which includes North Dakota, Minnesota, Arizona, and California. Yup, second busiest in a region that includes California.
The busiest Applebee's in the four-state region? Minot. Okay.
The busiest Applebee's in the four-state region? Minot. Okay.
Bloomberg: Oil Poised to Rally to $97
Link here.
Based on technical factors. If I understand the analysis correctly, it is based simply on "reading the charts." It would not matter what the commodity was. Based on the chart and based on futures, the analysts "see" a $97 price.
What makes this particularly interesting is the fact that speculators (including the one billion speculators in China who all want to drive automobiles) see two things: a) the technical analysis; and, b) the fact that the current administration as stopped all off-shore drilling around the US. That's a bit of hyperbole, but not much.
Back in January, 2010 -- that's about a year ago.
A year later, December, 2010 -- still predicting $100/bbl.
$1000 gold. $100 oil. 10% unemployment.
(Yeah, I know: gold is closer to $1500 than a thousand, but the 1000-100-10 grabs my eye.)
Speaking of "grabbing my eye": I saw "True Grit," the new Coen brothers movie last night for the second time. Talk about a great movie.
I came home, and started reading a new book, Women Writing About Men, by Jane Miller, c. 1986. It's a "feminist" book, probably one that was in vogue back then. I don't care for her writing style, but after reading the first chapter (or was it the introduction?) I had an epiphany with regard to the movie "True Grit." As Harold Bloom would say, I think folks, including critics, have been misreading "True Grit." It may be even better than folks realize. And that's why the Coen brothers are geniuses.
Based on technical factors. If I understand the analysis correctly, it is based simply on "reading the charts." It would not matter what the commodity was. Based on the chart and based on futures, the analysts "see" a $97 price.
What makes this particularly interesting is the fact that speculators (including the one billion speculators in China who all want to drive automobiles) see two things: a) the technical analysis; and, b) the fact that the current administration as stopped all off-shore drilling around the US. That's a bit of hyperbole, but not much.
Back in January, 2010 -- that's about a year ago.
A year later, December, 2010 -- still predicting $100/bbl.
$1000 gold. $100 oil. 10% unemployment.
(Yeah, I know: gold is closer to $1500 than a thousand, but the 1000-100-10 grabs my eye.)
Speaking of "grabbing my eye": I saw "True Grit," the new Coen brothers movie last night for the second time. Talk about a great movie.
I came home, and started reading a new book, Women Writing About Men, by Jane Miller, c. 1986. It's a "feminist" book, probably one that was in vogue back then. I don't care for her writing style, but after reading the first chapter (or was it the introduction?) I had an epiphany with regard to the movie "True Grit." As Harold Bloom would say, I think folks, including critics, have been misreading "True Grit." It may be even better than folks realize. And that's why the Coen brothers are geniuses.
Is the Weather Affecting Operations in North Dakota?
I opined a week or so ago that production targets will be missed this last calendar quarter due to the December snow storm. (Here's the link.)
But this is all one needs to know. Oil is at a two-year high ($91/bbl) and the number of active rigs in North Dakota has plummeted from a high of 166 a week or so ago to 156 today.
Just saying.
Could be a buying opportunity when earnings reports come out.
But this is all one needs to know. Oil is at a two-year high ($91/bbl) and the number of active rigs in North Dakota has plummeted from a high of 166 a week or so ago to 156 today.
Just saying.
Could be a buying opportunity when earnings reports come out.
Update on Monster Well: the USA 2D-3-1H
A reader sent me the NDIC production history for this well, which I have on my "monster well" page.
This well began production in October, 2006. Now, exactly four years later (October 2010), the cumulative oil production for this well is 1,064,957 barrels. At $50/bbl, that's $50 million at the well head.
The well has shown minimal decline rate and is currently down to 13,000 bbls/month. At $75/bbl, that's $12 million/year. The well has been paid for. If it's on a pump (and I don't know that it is), it costs a few pennies a day to run the pump, and if there's a pipeline to the well now, there's minimal trucking costs. But even if the oil is still trucked out, it's a heck of a well.
And that's why oilmen keep drilling: hoping for the big one.
The nice thing about the Bakken / Three Fork Sanish: there is seldom a dry hole, so even the less productive wells eventually pay for themselves and provide cash flow in the meantime. Can you imagine what it would be like if three out of ten wells were dry?
This well began production in October, 2006. Now, exactly four years later (October 2010), the cumulative oil production for this well is 1,064,957 barrels. At $50/bbl, that's $50 million at the well head.
The well has shown minimal decline rate and is currently down to 13,000 bbls/month. At $75/bbl, that's $12 million/year. The well has been paid for. If it's on a pump (and I don't know that it is), it costs a few pennies a day to run the pump, and if there's a pipeline to the well now, there's minimal trucking costs. But even if the oil is still trucked out, it's a heck of a well.
And that's why oilmen keep drilling: hoping for the big one.
The nice thing about the Bakken / Three Fork Sanish: there is seldom a dry hole, so even the less productive wells eventually pay for themselves and provide cash flow in the meantime. Can you imagine what it would be like if three out of ten wells were dry?
Twelve (12) New Permits Past Two Days -- North Dakota, USA
It looks like "we" will finish out the year with a flourish: twelve new permits the past two days.
Producers: Slawson (2), Samson (2), MRO, SM, Murex, Tracker, Zenergy, Helis, Whiting, and Continental.
Fields: Ambrose, Bailey, Poe, West Bank, Glass Bluff, Lake Trenton, Grail, Sanish, Big Bend, and Jim Creek.
The two Samson Resources wells will be on the same pad in Ambrose field.
The two Slawson wells will be on the same pad in Big Bend (wanna bet NOG will have working interests in these wells?).
NOTE: Much of the following has been previously reported on this blog.
MRO reported out a nice Weninger (19064) well with an IP of 807, and a Benz well with an IP of 786. SM reported three wells: 516, 494, and 273. In addition, yesterday SM reported the Lee well (18957), 1,719, in McKenzie County.
But it was Whiting with a couple of nice wells: Froehlich (18833), 1,832, and Kubas (18837), 1,780, both TFH wells and both in Stark County. Remember, Whiting has announced a flurry of activity in Stark County to include a new industrial park north of Belfield.
Whiting also announced the Dishman (18947), 2,595, in the Sanish.
Producers: Slawson (2), Samson (2), MRO, SM, Murex, Tracker, Zenergy, Helis, Whiting, and Continental.
Fields: Ambrose, Bailey, Poe, West Bank, Glass Bluff, Lake Trenton, Grail, Sanish, Big Bend, and Jim Creek.
The two Samson Resources wells will be on the same pad in Ambrose field.
The two Slawson wells will be on the same pad in Big Bend (wanna bet NOG will have working interests in these wells?).
NOTE: Much of the following has been previously reported on this blog.
MRO reported out a nice Weninger (19064) well with an IP of 807, and a Benz well with an IP of 786. SM reported three wells: 516, 494, and 273. In addition, yesterday SM reported the Lee well (18957), 1,719, in McKenzie County.
But it was Whiting with a couple of nice wells: Froehlich (18833), 1,832, and Kubas (18837), 1,780, both TFH wells and both in Stark County. Remember, Whiting has announced a flurry of activity in Stark County to include a new industrial park north of Belfield.
Whiting also announced the Dishman (18947), 2,595, in the Sanish.
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