Devon Energy Corp. sees potential for tighter spacing and increased drilling inventory in the overpressured oil window of Oklahoma’s STACK play, where it is increasing drilling and investment.
The company’s third spacing pilot targeting the Mississippian Meramec formation tested a seven-well pattern across a single-section interval in the upper part of the formation.
Initial 15-day production rates in the Pump House pilot averaged 2,200 boe/d, 55% oil, and cost $6 million/well. Drilled with 4,700-ft laterals, the Pump House wells were completed with 2,200 lb/lateral-ft of proppant across 35 frac stages with perforation clusters 25 ft apart.
Another NASDAQ Record-Setting Day
Completely off my radar scope. I was following other things. But look at that. Did anyone really think we would see 5,000 on the NASDAQ again? Under this anti-growth administration? But there it is: NASDAQ notches another all-time record high closing.
Stocks ended mixed but the Nasdaq notched another record closing high after Wednesday's big Apple event, in which the gadget maker unveiled the latest version of its popular iPhone.
The Nasdaq ended the day at 5283.93, up 0.2% or 8 points from its previous closing high set Tuesday.AAPL may have helped a bit, but not much. AAPL is well below it's all time-high, so I don't attribute the NASDAQ performance recently to anything AAPL has done.
The Alpine High
Reported earlier, this is later; from Bloomberg:
Apache Corp. said it made a “significant” discovery in a Texas shale formation that holds enough crude oil to supply every refinery on the U.S. Gulf Coast for a year.
The Alpine High discovery in West Texas contains an estimated 3 billion barrels of oil and 75 trillion cubic feet of natural gas, Apache said in a statement on Wednesday. The asset is in the Delaware Basin, a subsection of the Permian Basin that has been a hotbed of acquisition activity among oil explorers this year.
Shares rose 7.9 percent to $55.74 at 8:34 a.m. before the start of regular trading in New York.
“This is a world class resource," Chief Executive Officer John Christmann told investors at a Barclays Plc conference in New York on Wednesday. “We are very early in starting to understand how big this is going to be."
Apache amassed drilling rights across 307,000 contiguous acres in the region at an average cost of $1,300 per acre, according to the statement. The Houston-based company already has drilled 19 wells in the area and has identified 2,000 to 3,000 more drilling sites.
Peak oil? What peak oil?To accelerate drilling in the discovery, Apache raised its full-year 2016 capital budget by 11 percent to $2 billion, according to the statement. Alpine High will account for about one-quarter of the company’s drilling budget this year.