All acreage is in Montana, which I don't follow. I do not know how long the link will remain intact.
Samson O&G has agreed to acquire up to 90,000 net acres of oil and gas leases in the Fort Peck Indian Reservation in, Roosevelt County, Montana, from Fort Peck Energy Company LLC (FPEC) for an undisclosed price.Roosevelt County, Montana, is immediately west of the prolific area just west and northwest of Williston, North Dakota, the heart of the Bakken, and for which the Williston (Oil) Basin is named.
Samson plans to fund its acquisition costs and the drilling of the initial two appraisal wells from its existing cash resources. While Samson's ultimate ownership interest in the three Tranches will vary, depending on FPEC's future decisions whether to back in to an interest in the acquired acreage, Samson will hold at least a 66.66% working interest (53.34% net revenue interest) in all of the acquired acreage.
The Roosevelt Project is located in a technically attractive, but largely undrilled part of the Williston Basin. After exhaustive study, Samson's technical staff has concluded that the area is part of the Bakken continuous oil accumulation with adequate porosity and oil saturation for commercial production. Samson is not alone in reaching such a conclusion as the acreage block is surrounded by leases held by other well-known energy industry participants.
The initial two well drilling program will be initiated as soon as practicable, with a target spud date of September 1st for the first well. Drilling of the second well would be expected immediately following the completion of the first well. Both wells are planned to be drilled as 4,500 foot laterals in the middle Bakken formation and then fracture stimulated using a multi stage, external casing packer completion technique.
This is the kind of news I've been waiting to hear as I have minerals in Roosevelt just SE of Medicine Lake. My acreage has been spaced for over a year but little drilling activity has occurred in the area. Maybe a good showing by Samson will spur future activity in this area.
ReplyDeleteThank you for taking time to comment. I find it amazing where I have to go to find all this information; it just seems to pop up periodically when one least expects it.
ReplyDeleteI read where Sampson repored their first well near Fort Kipp, MT. showed some positive results and they are set to begin their second expoloration well near Brockton, MT. Good news for area land owners!
ReplyDeleteFort Kipp is north of Brockton; pretty remote eastern Montana. About 1.5 hours west of Williston. That has to be on the edge of the Bakken to the west.
ReplyDeleteI don't follow Montana results like I do North Dakota, so I will have to watch for press releases for updates from readers.
Thank you.
One certainly gets the feeling that Samson Oil and Gas wants to make a big impression in the Bakken. Maybe a stand-alone post.
What's going on at Samson? Looks like there is some activity.
ReplyDeleteI'm eagerly awaiting to see what this part of Montana can do for the Bakken.
DeleteIf you only knew how much the media downplays the potential here. There's more oil here then you think. Cheers!
ReplyDeleteMy hunch is you are correct.
DeleteWhiting Petroleum made some interesting comments on Starbuck. It is currently
Deleteshooting 3-D in the area and believes this area is not only prospective of the
middle Bakken, but also the Red River. Whiting states this pay zone could be
much like it is in Big Island (South of the Bakken), which would produce EURs of roughly 350 MBoe at a
well cost of $3.5 million. This is also important for companies like Triangle,
Samson, Brigham, EOG and Continental to name a few. Missouri Breaks right now
will produce EURs of 300 M to 400 MBoe, with the reservoir improving from west
to east. Whiting has begun adding more acid to the frac, which has and should
continue to improve results
Great comment about Starbuck, thank you.
DeleteStand-alone post at:
http://www.milliondollarwayblog.com/2012/08/random-note-on-whitings-starbuck.html
;)
ReplyDelete