BP Embraces The Rockies -- January 31, 2017

From Rigzone:

• BP moves its "US Lower 48 headquarters" from Houston to Denver
• BP: "two-thirds of its operated oil and natural gas production and proved reserves in the Rocky Mountain region
• could BP investing in the Rockies revive natural gas interest in that area?
• after a surge in activity from 2005 to 2008, the Rockies natural gas story stagnated due to surge in the Marcellus
• BP: a natural gas company?
• BP: natural gas comprises 80% of BP's "Lower 48" portfolio
• BP: globally, natural gas comprises 50% of its portfolio; wants to reach 60% by end of 2019 
• BP gas projects coming on-line: Trinidad & Tobago; Oman; Egypt; the Shah Deniz 2 project in Azerbaijan
• BP: five "Lower 48" units
• Green River: BP's first horizontal since 2015; 1.4 billion boe estimated
• San Juan Basin: 2.1 billion boe estimated; targeting wet gas in the Mesaverde horizong; gas and oil in the Mancos marine source rock; and, wet gas in the Dakota marine sands; successfully drilled a tri-lateral well "that accessed 14,600 feet of coal"
• some question decision; BP says looking long-term; not short-term
• "Rockies" -- six oil / natural gas basins
• Denver-Julesberg basin -- oil
• Powder River basin -- oil
• Green River Overthrust -- natural gas
• Piceance basin -- natural gas
• San Juan basin -- natural gas
• Uinta basin -- natural gas  

• Rockies:
• Denver-Julesberg (DJ) basin is the only area expected to see robust growth in 2017 -- analyst
• Anadarko and Noble Energy will continue to deploy capital in this basin; highly economic
• Powder River basin: once thought to be "hot" has fallen out of favor
• Uinta: unique properties; requires much higher commodity prices
• Niobrara: should grow in 2017; however, midstream capacity is needed
• Driving all this? US LNG exports

The Bakken: a Rockies basin?