Northern Oil and Gas/Whiting -- Tarpon Federal 21-4H -- Record IP -- 7,009 BOE -- 4,815 BO -- The Bakken, North Dakota, USA

Remember the bull's eye I spoke of earlier this week (I will try to find the link) with regard to the Bakken and east central McKenzie County? The Tarpon Federal 21-4H is in Twin Valley oil field in the far northeast corner of McKenzie County, near that bull's eye. The area is fairly inactive with regard to any wells but there are currently two rigs in this small field. It is about 20 miles NNE of Watford City. Go east of Watford about three miles and turn north on 1806; go straight north for about 15 miles, and just one mile before the road curves to the east, the well will be four miles east of that point.

• 20589, 4,815, Whiting, Tarpon Federal 21-4H, Twin Valley, Bakken

The cost of this record well: $6.35 million. I keep thinking of Newfield's cost for wells. This was a Whiting-operated well. 

This needs to be cleaned up, but for now:

Northern Oil and Gas, Inc. Announces its Participation in the Tarpon Federal 21-4H Bakken Well Located in McKenzie County, North Dakota with Initial 24-Hour Production of 7,009 Barrels of Oil Equivalent

WAYZATA, MN – November 3, 2011 – Northern Oil and Gas, Inc. (AMEX: NOG) today announced its participation in the Tarpon Federal 21-4H Bakken well in McKenzie County, North Dakota.  The Tarpon Federal 21-4H is a Whiting Petroleum operated well and had a 24-hour initial production (IP) rate of 7,009 barrels of oil equivalent (BOE), setting a new Williston Basin record for a Bakken well.  The Tarpon Federal produced 4,815 barrels of oil and 13,163 Mcf of natural gas on October 17, 2011 after being fracture stimulated with 30 stages. It is expected that the completed well cost will approximate $6.35 million.  Northern Oil has approximately 17.4% working interest and a 14% net revenue interest in the Tarpon Federal.

Michael Reger, Chief Executive Officer, commented, “We wish to congratulate Whiting on this discovery.  We continue to be impressed by the innovation of our operating partners in this premier resource play and we remain focused on our strategy of acquiring high quality, non-operated acreage and turning it efficiently to production and cash flow.”

Charley alerted me to this; huge "thank you."

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From my FAQs page:

8. What is the record IP to date in the Williston Basin?

Again, the initial production of any well, self-reported by the producer, is becoming less meaningful over time. Having said that, it looks like the record IP for a Bakken well is now 5,200, a Newfield well (July, 2011): 18691, 5,200, NFX, Wisness Federal 152-96-4-2H, Westberg, Bakken.

Two earlier wells: a Whiting well which had an IP of 4,761 boepd: file #17612, 4,761 boepd IP, Whiting, Maki 11-27H, Mountrail County, Sanish field.  This is still current as of February 20, 2010. Since then, BEXP claims to have set a record with the Sorenson 29-32 1-H, #18654, with a 24-hour flowback of 5,133 bopd. However, the NDIC reported an IP of 2,944. BEXP also reported the Jack Cvancara 19-18 #1H in the Ross project area with a 24-hour flowback of 5,035.

New record in the Bakken, November 3, 2011. The Tarpon Federal 21-4H is a Whiting Petroleum operated well and had a 24-hour initial production (IP) rate of 7,009 barrels of oil equivalent (BOE), setting a new Williston Basin record for a Bakken well. The Tarpon Federal produced 4,815 barrels of oil and 13,163 Mcf of natural gas on October 17, 2011 after being fracture stimulated with 30 stages.

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Anyway, as I've mentioned many, many times, a huge well can move the needle for a small company. NOG has a significant working interest in this well, 17 percent.

I've said many, many times, that NOG has a very unique and interesting business model.