CLR Says It May Have Set World Record Drilling Longest Horizontal Well With One Bit In The World; Drilled In The Bakken -- August 5, 2016

Over at Twitter:

Shale oil producer Continental Resources says it drilled world's longest lateral well in the Bakken at 15,400 ft., or nearly 3 miles.

Comes from the earnings call:

Now before I turn over to John, I would be remiss if I did not point out that our Bakken drilling team continues to achieve new milestones with technology and improved processes. For example, it appears they recently set a new world record for the longest lateral drilled with one bit. The lateral portion of the well was almost 15,400 feet long and was drilled in five days.

The team also set a new company record for drilling a Bakken 2-mile lateral going from spud to TD in just 9.4 days. The 2-mile lateral portion of the well was drilled in an astounding 2.6 days.

These continued improvements in the Bakken team – with these continued improvements, the Bakken team is targeting a completed well cost of $6 million or an enhanced completed 2 mile lateral well down from $6.8 million at year-end 2015. Current cost is estimated at $6.2 million, and I bet they get there by year-end.

******************************

CLR Announces Sale Of Assets

From press release:

Continental announced today it has signed a definitive purchase and sale agreement with an undisclosed buyer to sell approximately 29,500 net acres of non-strategic leasehold in the SCOOP play in Oklahoma for $281 million. The agreement provides for customary closing conditions and adjustments. Located primarily on the eastern side of SCOOP, the leasehold represents approximately 550 Boe per day of net production. After this transaction, the Company will retain approximately 384,000 net acres of leasehold in SCOOP.

In May 2016, the Company announced the sale of approximately 132,000 net acres of leasehold in the Washakie Basin in Wyoming for $110 million.

The SCOOP assets: $281 million / 29,500 acres = $9,500 / mineral acre. That puts the value of the Bakken into perspective.