Random Updating of Some Nice Wells From Last Year

In the process of going back and correcting a few typographical errors (in this case, misspelling "Williston"), I updated the July 2, 2012, daily activity report, and note some huge wells, including:

A nice example of minimal decline rate (for whatever reason; could be choked back; still flaring some gas); but note, significantly over 100K in less than 12 months and many of those months off-line much of the time:

• 20812, 1,884, BR, Hammerhead 31-26MBH, Sand Creek, t4/12; cum 413K 8/18;

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	12-2012	31	17332	17327	2476	40960	39762	1193
BAKKEN	11-2012	30	18492	18452	5225	39742	39125	613
BAKKEN	10-2012	13	10032	9939	2002	20971	20238	733
BAKKEN	9-2012	14	7876	7611	2535	12130	3178	8952
BAKKEN	8-2012	31	20759	20845	6922	33485	26646	6839
BAKKEN	7-2012	31	22680	22605	7002	37838	30951	6887
BAKKEN	6-2012	30	21819	21694	6716	40520	28347	12099
BAKKEN	5-2012	29	9538	9382	3777	16215	0	16143
BAKKEN	4-2012	21	4041	3941	12795	11149	0	11096

These wells with a decline rate but look at the production. This Halverson well with 48K bbls in one month!

• 21760, 1,776, Hess, CA-Halverson-154-95-0409H-1, t5/12; cum 430K 8/18; not hooked up to a natural gas line:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	12-2012	31	12421	12044	2141	24882	0	24882
BAKKEN	11-2012	30	12718	12769	1893	20330	0	20330
BAKKEN	10-2012	31	11373	11386	1356	15438	0	15438
BAKKEN	9-2012	30	16055	16114	1927	29498	0	29498
BAKKEN	8-2012	31	22975	22963	1775	42226	0	42226
BAKKEN	7-2012	31	27168	27183	2673	40209	0	40209
BAKKEN	6-2012	24	19881	20446	1376	28290	0	28290
BAKKEN	5-2012	31	48171	47410	4840	32577	0	32577
BAKKEN	4-2012	1	3374	3029	3850	1694	0	1694

The neighboring Halverson well with 148K in less than 8 months; in Hofflund field; not hooked up to a gas line yet:

• 21761, 1,058, Hess, CA-Halverson-154-95-0409H-2, Hofflund, t6/12; cum 380K 8/18;

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	12-2012	31	13017	12685	2407	29007	0	29007
BAKKEN	11-2012	30	15265	15341	3006	32495	0	32495
BAKKEN	10-2012	31	14031	14002	1819	18710	0	18710
BAKKEN	9-2012	30	18277	18276	2051	26928	0	26928
BAKKEN	8-2012	31	23251	23163	1976	36591	0	36591
BAKKEN	7-2012	31	23548	23668	2443	34427	0	34427
BAKKEN	6-2012	25	21188	21059	2060	28189	0	28189
BAKKEN	5-2012	15	19472	19025	1384	8537	0	8537

This Oasis well with 112K but with a very erratic production profile:

• 18855, 792, Oasis, Oasis Meiers 5692 11-19H, Alger, t2/12; cum 334K 8/18;

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	12-2012	31	7223	6847	2996	5570	5570	0
BAKKEN	11-2012	30	7277	6986	2921	5583	5583	0
BAKKEN	10-2012	31	7546	7683	3210	4173	4173	0
BAKKEN	9-2012	24	5530	5473	2528	4953	4953	0
BAKKEN	8-2012	31	8843	8797	3772	7592	7592	0
BAKKEN	7-2012	31	9776	10119	3432	6650	6650	0
BAKKEN	6-2012	30	10716	10744	4790	6236	6236	0
BAKKEN	5-2012	31	4861	5137	5527	10947	10947	0
BAKKEN	4-2012	30	14468	13933	7099	13050	13050	0
BAKKEN	3-2012	31	18045	18045	11438	17540	17540	0
BAKKEN	2-2012	21	16361	16350	24968	7540	7540	0
BAKKEN	1-2012	12	159	249	82	14	14	0
BAKKEN	12-2011	31	472	482	403	39	39	0
BAKKEN	11-2011	30	522	615	227	103	103	0
BAKKEN	10-2011	31	674	926	350	119	119	0
BAKKEN	9-2011	30	1367	1314	769	248	248	0
BAKKEN	8-2011	27	2174	1408	3480	3955	68	3887

And, last, but not least, this Hess well with 113K in less than a year; on a gas line, but flared a very tiny bit in the most recent month:

• 21730, 992, Hess, GO-Stangeland-155-95-2128H-1, Capa; t5/12; cum 318K 8/18;

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	12-2012	29	8196	7867	1911	17660	17630	30
BAKKEN	11-2012	30	8717	8756	2000	17438	17438	0
BAKKEN	10-2012	31	9423	9489	2458	22011	22011	0
BAKKEN	9-2012	30	12763	12725	3094	47352	28588	18764
BAKKEN	8-2012	31	20160	20134	4238	48175	0	48175
BAKKEN	7-2012	31	18358	18194	3261	28600	0	28600
BAKKEN	6-2012	22	11957	12528	3481	16423	0	16423
BAKKEN	5-2012	19	23049	22269	6281	23892	0	23892

The July 2, 2012, report, was particularly long for some reason, and includes a lot of great wells These four caught my eye for various reasons.

Looking at the flaring issue, my hunch is that if the state makes new rules on flaring too onerous, the oil companies will simply quit drilling in those fields with inadequate infrastructure as long as they have leases held by production. A good example is the Hofflund field above. It appears that entire field is held by production, but the infrastructure is lacking for natural gas gathering. If onerous flaring rules go into effect, expect to see a) monthly production across the board decline; and, b) drilling to stop completely in some fields. Companies might or might not stack rigs; they could move rigs where infrastructure is in-place and adequate.