Reminder: CLR's Corporate Presentation, June, 2014 Is Available

PDF at the CLR website.

In the June, 2014, NDIC dockets:

• 22545, CLR, Cedar Coulee-Bakken, 16 wells on each existing 1280-acre unit in Zones IV, Vi, and VI; 32 wells on each 2560-acre unit in Zones VII, VIII, and IX, Dunn
• 22546, CLR, Corral Creek-Bakken, 16 wells on each existing 1280-acre unit within Zones II, III, and IV, Dunn
• 22547, CLR, Jim Creek-Bakken, 16 wells each existing 1280-acre unit within Zones I, II, III, IV, V, and VI; 16 wells on each existing 1920-acre unit within Zone VII; 32 wells on each 2560-acre unit in Zones VIII and IX; Dunn
• 22548, CLR, Haystack Butte-Bakken, 16 wells on each existing 1280-acre unit within Zones II, III, IV, V, and VI; 32 wells on each 2560-acre unit in Zone VII; Dunn, McKenzie
• 22549, CLR, Rattlesnake Point-Bakken, 16 wells on each existing 1280-acre unit withink Zones I, II, and III; 16 wells on each existing 1920-acre unit within Zone IV; 32 wells on each 2560-acre unit in Zones V and VI; Dunn
• 22550, CLR, Oakdale-Bakken, 16 wells on each existing 1280-acre unit within Zone I; 32 wells on each 2560-acre unit in Zones III and IV; Dunn
• 22551, CLR, Chimney Butte-Bakken, 16 wells on each existing 1280-acre unit within Zones I, II, III, IV and V; 32 wells on each 2560-acre unit in Zones VI, VII, VIII, IX, and X; Dunn

If you are wondering how 32 wells in one drilling spacing unit (DSU) are spaced in each formation, go to slide #9 of the 34-slide presentation.

While you are at the presentation, look at slide #10. For quite some time, CLR has estimated the "average" EUR across the Bakken to be 603,000 boe. In slide #10, note the comments about the "robust Hawkinson pad:

• 13 of the 14 wells on the Hawkinson pad are trending 50% above 603,000 boe model EUR
• the Hawkinson wells were completed using "standard design," 100,000 lbs proppant/stage, and 30 stages

Comment: a long, long time ago, I opined that placing new wells near existing wells would improve EURs. A lot of folks suggest otherwise. [1.5 x 603,000 = 900,000 boe, something Filloon predicted for quite some time for the better Bakken]

Then go to the next slide, the "promising preliminary results of the Rollefstad pad:

• existing well IPs averaged 1,330 boe
• new well IPs averaged almost 3,000 boe
• 7 wells completed with 200,000 lbs of proppant, 30 stages (30 x 2 = 6 million lbs)
• 1 well was completed with 300,000 lbs, 30 stages (30 x 3 = 9 million lbs)

Nine million lbs is similar to the amount EOG is using but EOG is using significantly more stages, and thus less proppant per stage (if I remember correctly) 

The entire presentation is worth viewing. Slide #25 is a "sleeper." There are two graphics on that slide. Look at the one on the right: the "603,000 BOE EUR Model." Note the x-axis. Three generations of roughnecks, roustabouts, and maintainers will be drilling and maintaining CLR wells.

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Another Inconvenient Truth

The chart-of-the-day, Carpe Diem. 

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 Whistling Past The Graveyard

I still get a kick out of mainstream media spin. After another horrendous job report today, Reuters is still able to post this headline: "Economy On Solid Ground Despite Cooler Hiring." For months, maybe years, Reuters has been telling us that the data suggests employers are laying off fewer folks, hiring more.