Tuesday, September 25, 2012

Terrific Tuesday -- An Incredible Daily Activity Report; Manufacturing Phase Begins North of Minot?

Wow, I'm in a great mood.

I just posted a very long reply to a comment but "blogger" won't take long comments, so I will copy and paste it as part of stand-alone post, but that will come later.

First, today's daily activity report, and it was an incredible report.

Fifteen (15) new permits.
  • Operators: Surge (4), Slawson (4), BEXP (2), Corinthian (2), Fidelity, Mountain View, Zavanna
  • Fields: Briar Creek (McKenzie), Big Bend (Mountrail), North Fork (McKenzie), North Souris (Bottineau), Souris (Bottineau), Foreman Butte (McKenzie), 
Comments: Fidelity has a permit for a wildcat in Stark County; Mountain View has a permit for a wildcat in Divide County

For newbies: remember, "Souris, North Souris, Bottineau, Surge, Corinthian" are all SPEARFISH wells. This should get the MINOT folks excited. This is all north of Minot. The SPEARFISH is to MINOT what the Bakken is to Williston. Is the manufacturing phase beginning north of Minot?

New wells coming off confidential list were reported earlier and can be found at the sidebar at the right.

In addition, several producing wells were completed:
  • 18446, 118, Petro-Hunt, Fort Berthold 152-93-18B-19-1H, 
  • 20248, drl, Murex, Allison Ann 7-6H, 
  • 20532, 3,088, BEXP, Garmann 19-18 1H, Banks, t8/12; cum 4K 7/12;
  • 20830, 95, Murex, Kimberly Dawn 30-31H, 
  • 21645, 400, Hess, SC-1WX8-1H, 
  • 21904, 1,542, QEP, MHA 4-06-07H-147-92, Heart Butte, t8/20/12; cum --
  • 21905, 2,223, QEP, MHA 2-06-07H-147-92, Heart Butte, t8/17/12; cum --
  • 21906, 2,142, QEP, MHA 4-32-33H-148-92, Heart Butte, t8/15/12; cum -- 
  • 21908, 2,180, QEP, MHA 2-32-33H-148-92, Heart Butte, t8/22/12; cum --
  • 22007, 2,700, BEXP, Panzer 22-23 1H, 
  • 22867, 1,052, Whiting, Pennington 11-3TFH,
The four QEP wells are one one pad, it appears, but two run south under the river; two run east under the river. This is in Heart Butte. This is going to be a huge area. Huge. [I was manic before I started this stand-alone post. After posting these and looking at the GIS map, I need to get back on my med.  Incredible. I posted a link to an Oil Drum article earlier today; today's daily activity report puts the Oil Drum essay in perspective. 

I'll probably write about this again, but note the test dates for the QEP/MHA wells: could these be "zip" or "zipper" fracks, doing one right after the other? Regardless, this is pretty incredible, and this is what the "manufacturing" stage is going to look like. But instead of one pad reported on any given day, we may see several pads -- but that's in the future. For now, enjoy what we are seeing. And now you see why I like the larger-acre spacing units.  Congrats to some well-deserving mineral owners!

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On another note, I only looked at one of the well files of the four QEP MHA wells reporting IPs yesterday (the 2,000-bbl IPs in Heart Butte). The sundry form for that one well regarding completing/fracking the well was not yet scanned in. I didn't check the others; if I remember, I will check them later.

The reason this is important: if I call recall correctly, QEP stated at the time they bought Helis acreage: QEP does not use ceramic proppant; they use all sand whereas Helis uses a lot of ceramic proppant. If I recall correctly, QEP stated that there was no difference in initial production whether one used sand or ceramic. Long-term differences are not yet known, of course.

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In addition to all this, another twenty-two (22) wells were reported as producing or plugged, and one knows that in the Bakken, they are "all" producing.

I have to chuckle. A long, long time ago, Chester sent in a comment wondering why I re-posted/transcribed the daily activity report. I couldn't print the comment because a) it was full of spelling and grammatical errors (I didn't want to embarrass Chester); b) it used unacceptable language; and, c) the comment added nothing to the discussion. But today is a good example of why I transcribe DARs: it forces me to really look at them as I go along. I can't just scan a report and tell myself I will come back to it. I have to actually type it out, and that gives me a good feeling for what's going on in the Bakken and to put Oil Drum essays in perspective.