Daily activity report, August 25, 2011 --
Operators: Hess (4), Slawson (3), QEP (2), Newfield, Burlington Resources, EOG, MRO, Denbury.
Fields: Arnegard, Elm Tree, Beaver Lodge, Siverston, Blue Buttes, Heart Butte, Parshall, Strandahl, Alger, and Haystack Butte.
Slawson, Hess, and QEP all have 2-well pad permits.
Two wells were released from confidential status: both of them reported IPs. Perhaps the fracking backlog is starting to be resolved.
Slawson had a nice well:
- 20229, 1,184, Slawson, Jughead Federal 2-26H, Mountrail
Lynn Helms says there are 1,000 permits issued that still have to be drilled and another 250 waiting to be approved.
Hold on to your hard hat Mable it's about to get busy!!
ReplyDeleteVery interesting that a drilling application was listed for the Strandahl Field. Not much activity in this field to date but I think the migration West is finally reaching the Mt border.
ReplyDeleteNormally I see about 3 to 8 new permits a day; it was "big" when I saw 9 or 10 and never that many over several days. This past week has been very, very interesting.
ReplyDeleteAnd, couple that with hitting a new record number of active drilling rigs: 196.
It takes a bit of time, but that's why I post the operators and the fields each day; it gives me a feeling for where the action is and where it is moving.
ReplyDeleteThe big trend, of course, is the multi-well pad.
We have just started what is called the manufacturing stage. The boarders have not even been found. We aint seen nothing yet Good song to go with it!
ReplyDeleteI really like the "manufacturing stage" analogy. I've only heard that comment/remark/analogy in the past few months. Very interesting. The other phrase: the second largest industrial park in North America; the largest in the US.
ReplyDeleteThe only companies that are worried about production now are the ones looking for operating cash. The others are waiting for the production phase to follow.That has the long term. No more covering acerage and digging the sweet spots.Secondary recovery would be the next stage.If that happens ohh woow
ReplyDeleteTexas permits take 7 days, 3 if expedited.
ReplyDelete250 backlog is 14 days at 25/day 5 days a week.
This could become a problem. In AR, LA, and PA, the industry helped the regulators learn how to process large volumes efficiently. Perhaps ND should ask for suggestions.
anon 1
I really don't know enough to comment on permit process.
ReplyDeleteIf I say anything on the subject, it will only show my ignorance.
My perspective on a few things in the Bakken is changing dramatically now that I am back in the area.
I will say this: Texas is different than North Dakota in many respects.
We as a state are proactive and I do not beleive the permit process will get hung up. The industry is moving faster than itself can handle right now.As I said before this is just reving up. The production phase will handle itself as flow permits. We aint seen nothin yet!!!
ReplyDeleteThank you. I'm in the Bakken now, again, the second time in two weeks, and I'm seeing things from a different perspective. Permits seem to be the least of the state's problems. I doubt the oil industry is really all that concerned.
ReplyDeleteI can think of several things the oil industry is concerned about and I don't think it's permits. Number one concern: availability of workers. Maybe more on that later.
Welcome back we need you here. We need everyone in any job.I know you are very optimistic in the Bakken.When you say you are too optomistic.(Well we will take that up another day a long long time from now).Welcome back
ReplyDeleteThank you for your kind words.
ReplyDeleteIt's great to be back; the weather is incredible. I drove around tonight, visiting some of the mobile parks. I was impressed with all the folks out barbecuing, many families (most?) from out of state; young children having a blast. But kids find a way of having fun wherever they are.