Summary:
- the Super Hog narrative is focused around EOG Resources' well design
- it continues to outperform the competition, and complete huge horizontal unconventional well results
- operators continue to follow EOG's lead with several operators increasing production per foot significantly
- EOG's results are not just in the northern Delaware as the core Eagle Ford and Austin Chalk have been exceptional as well
Enhanced completions continue to push the unconventional oil narrative and its effect on world oil prices. OPEC has underestimated how productive newer well designs can be, and more importantly how quickly improvements can be implemented. Lower oil prices have not been good for US E&Ps, but it could be argued that it has increased the speed at which engineering changes have been made. As marginal producers, US E&Ps will help set the price of oil. More importantly it will have longer term effect on WTI.
IHS Markit recently defined a "Super Hog" as wells completed since January of 2016 with a peak month oil production above 1,600 Bopd. This is impressive, as a 30-day month would equate to 48,000 bbls. Although there are a number of operators on the list, EOG Resources stands out. Concho, Devon, Marathon, Newfield, WPX Energy, Conoco, and Occidental top the list of other E&Ps with a number of Super Hogs.
QEP, Parsle, and SM Energy have all had a number of good wells in the Midland Basin. Resolute is notable in the Delaware Wolfcamp. Chesapeake has done well in the Eagle Ford. EOG is the only operator with a large number of excellent results across several plays. With 37% of all Super Hog locations, it is far and away the best operator in the US.
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