Sunday, December 16, 2012

Putting Things Into Perspective -- The Bakken -- Well Density

Compare a story posted earlier today with oil activity elsewhere in the state.

First, remember this story posted earlier today: Turkey hunter with mixed feelings about oil activity in his backyard? Without more specifics, it's hard to say exactly how many rigs and/or wells are in his backyard/hunting grounds, but here are some data points:
  • the Corral Creek field is 60 sections big
  • a section is a mile square, so this field would be the equivalent of 5 x 12 miles, or 6 x 10 miles
  • there are currently two rigs in this 60-square mile area
  • one could drive a lot of miles before seeing a rig in this area (60 square miles, two rigs)
  • the number of existing permits/wells in this field works out to about 1 well for every two-section spacing unit; a few of these wells have not even been drilled yet;
  • seventeen sections on the north side of the field have no wells or even any permits yet; no change in a huge part of this field yet (at least, not due to the oil industry)
  • so, you sort of get the idea of how active the field is at this point in time (not very, compared to let's say, the Brooklyn)
Now, go to section 16-161-79 in the Newburg oil field, an older Spearfish field:
  • there are no less than twelve (12) wells sited on this one section; drilled during an earlier period of activity (in comparison: there are almost no "Bakken" sections with twelve wells yet; some with that many permits, but very few with 12 wells drilled)
  • in addition, there is a thirteenth well -- a horizontal -- running under this section (16-161-79)
  • six (6) wells sited in this section are still active
  • to the best of my knowledge, I am unaware of any concern with all the oil activity in this field
  • to the best of my knowledge, this section is doing fine -- but I have not been there, and I could be wrong, but I haven't seen any media reporting regarding the six wells that are still producing in this section causing any problems
  • so, we have a section with 12 sited wells and a 13th horizontal below the surface....
The point is that despite 12 - 13 wells in this one section, and no media reports that I am aware of in the last couple of years about this section with any problems.

By the way, some of those 12 -13 wells in that section, all Spearfish wells:
  • 1656, 24, Enduro Operating, Newburg-Spearfish-Charles Unit N-710, t4/58; cum 638K 10/12;
  • 1948, 30, Enduro Operating, Newburg-Spearfish-Charles Unit - P710, t8/58; cum 380K 10/12;
  • 2079, 33, Enduro Operating, Newburg-Spearfish-Charles Unit M-711, t11/58, cum 810K 10/12;
  • 7727, 57, Enduro Operating, Newburg-Spearfish-Charles Unit O-712, t12/80; cum 213K 10/12;
  • 7728, 11, Enduro Operating, Newburg-Spearfish-Charles Unit P-713, t11/80; cum 235K 10/12;
  • 7729, 3, Hess, Newburg-Spearfish-Charles Unit N-713, t11/80; cum 47K 11/80;
  • 16712, 17, Enduro Operating, NSCU P-715AH, t10/07; cum 27K 10/12;
  • 16745, 40, Enduro Operating, NSCU M-711AH, t10/07; cum 55K 10/12;
On a positive note, cumulatives of 380,000 bbls to 810,000 bbls is not trivial, especially considering that all of these wells were vertical wells except for #16745.