Friday, January 18, 2019

Five New Permits; Thirteen Permits Renewed; Three DUCs Completed -- January 18, 2019

Active rigs:

Active Rigs68583849157

Five new permits:
  • Operators: Newfield (3); Sinclair (2)
  • Fields: South Tobacco Garden (McKenzie); Sanish (Mountrail)
  • Comments: Newfield has permits for a 3-well Sturgeon pad in Lot 1, section 18-150-99; Sinclair has permits for a two-well Uran pad in 15-153-92;
Thirteen permits renewed:
  • CLR (4): three Alpha permits and one Florida Federal permit, all in McKenzie County
  • XTO (4): four Hartel permits in McKenzie County
  • EOG (2): two Austin permits in Mountrail County
  • Murex: a Barrett Leigh permit in Williams County
  • Whiting: a Roggenbuck permit in Mountrail County
  • Nine Point Energy: a little Muddy permit in Williams County
Six permits canceled:
  • XTO (5): three Maddy Federal permits and two Cherry Creek State permits, all in McKenzie County
  • Nine Point Energy: a little Muddy permit in Williams County
Three producing wells (DUCs) reported as completed:
  • 31269, 1,857, Slawson, Torpedo Federal 1H, Big Bend, t12/18; cum --
  • 31289, 1,778, Slawson, Bandit Federal 1 SLH, Big Bend, t12/18; cum --
  • 31279, 3,794, Slawson, Rebel Federal 1 SLH, Big Bend, t12/18; cum --

State, Tribes Talking -- More Than What Is Happening In DC -- January 18, 2019

Link here.

When I get caught up, I will come back to this one.

The subject line will be seen as many as a jab at Trump-Shelosi. That is only partly accurate. The real story is that the reason the Bakken has been so successful is because all parties involved have worked hard to work together.

I would say the surface owners, perhaps, were the most negatively impacted, and yet, somehow things moved along. There are reasons why "the Bakken" could not have happened in France, New York, California, or British Columbia.

Back to the linked story:
North Dakota Republican legislative leaders unveiled a bill Thursday that aims to stop a longstanding disagreement over shared revenues on an oil-rich American Indian reservation in the state.
The bill sponsored by GOP Sen. Jordan Kannianen and the party's Senate and House majority leaders reworks a tax-sharing agreement that favors the Three Affiliated Tribes on new wells drilled on the Fort Berthold Reservation, which accounts for about a fifth of North Dakota's more than 1.3 million barrel-a-day oil production.
"It's a good, solid step," Tribal Chairman Mark Fox told The Associated Press of the measure. "We are very supportive of this change."
The legislation is the result of nearly two years of negotiations between tribal leaders, Republican Gov. Doug Burgum, legislative leaders, the state tax department and industry officials.
The Kannianen name should be familiar to regular readers of the blog. Who knows? Maybe someday a NoDak will be president of the US? Stranger things have happened.

I know nothing about the proposal, but the comment by Mark Fox was nice to see. Even if the proposal is not perfect, it appears folks are willing to talk.

Best News Canada Could Ever Receive -- Now, If Only They Could Get Their Pipelines Built -- January 18, 2019

Now I know the reason for the jump in the price of oil today. Regular readers know what this is all about. When I get caught up, I will come back to this.

From Reuters:
U.S. refiners are bidding up prices for scarce types of crude oil needed for their most sophisticated plants as the United States reconsiders harsher sanctions on Venezuela that could further reduce imports of the country's oil.
Trump administration officials in recent days met with U.S. oil company executives to lay out potential actions in response to the Jan. 10 inauguration of Venezuelan President Nicolas Maduro in an election it considered illegitimate.
Among other steps, U.S. officials have recognized the opposition-run Venezuelan congress as the only legitimately elected authority. But the proposals that would most affect the energy industry involve banning U.S. exports of refined products or limiting oil imports - a move that, until now, the White House has not taken even after sanctioning individuals and barring access to U.S. banks.
This is very, very good news for Canada. Western Canadian shale oil now trades at its amallest discount to WTI in ten years. The discount: $10/bbl. Link here.

Having said that, it's complicated. Very complicated. Venezuela holding the better poker hand?

A contributor over at SeekingAlpha has another explanation but that article had to have been written some days ago. It's too long and detailed to have popped up after the Reuters link above. I could be wrong. But I doubt it. LOL.

They're Watching

After the recent Gillette hullabaloo I checked out the stories on the net. Now, I'm getting non-stop ads for Harry's:

Harry's keeps looking better and better. My son-in-law switched years ago.

UND Over At Oilprice

Speaking of ads. The University of North Dakota (UND) has ads on the oilprice.come website. 

NDIC Has Posted New Presentations -- January, 2019

NDIC presentations here.

Most recent presentations:

This One Ad Tells Me Things Continue To Boom In The Bakken -- January 18, 2019

422 1st Avenue West is the location of the Williston Job Service Center where the interviews will be held.

To the best of my knowledge, Boot Barn has not yet opened in Williston. Website. Maybe a reader knows the proposed location. If they're hiring; it must be close to opening.

From KUMV-TV -- Good News For Retired Roughnecks With Severe Back Pain -- January 18, 2019

It's been more than two years since North Dakota voted to legalize medical marijuana and now Williston is a couple months away from seeing its implementation. Last week, city commission members voted unanimously to approve the application submitted by the company Harvest to begin setting up shop. The new Harvest of Williston facility will be located in the strip mall on 26th St. E, next to Smiling Moose Deli and Glow.
"Retired" is the operative word here, I suppose.

Tourists will now know why the moose is smiling. 

XWA Update -- January 18, 2019

A reader just alerted me to five new videos of the new Williston international airport and Scandinavian coffee shop now under construction.


The YouTube link is here.

From the Williston Economic Development office:
The City of Williston, Cardon Global and The Creative Treatment have released five new videos featuring progress on the new Williston Basin International Airport. The five videos are accessible on the WED Facebook and YouTube pages. The new airport is expected to open October 10, 2019. A grand opening event will be held earlier for the general public.
I believe this airport is pretty much bought and paid for by the US government. I don't know the details. I'm sure Scott Adams will want a "fact check" on that.

Maybe later. I'm enjoying a duet by Ronnie Milsap and Leon Russell, in Milsap's brand new album Duets, now playing on Amazon Music -- Alexa found me; Alexa found the album. I did not go looking for this. But apparently Alexa was making notes of my music interests.

Clayton Danks -- January 18, 2019 -- Reason #1 Why I Keep Blogging

There is enough trivia in this note to carry any bona fide NoDak through every social engagement for the entire year. If you don't agree, you are not looking hard enough. LOL. 

This might take a moment to load. When I first saw it this morning, I see that it had "27 views."  It was originally posted March 24, 2015. I have no more information on this video than that.

A reader pointed me in the right direction. The YouTube link is here.

I'm glad the video is only 54 seconds long. I've already watched it a dozen times. I wish it were longer. LOL. For newbies, wondering why the videographer did not pan to the roper: the videographer was watching the horse for a reason. What one sees is really quite remarkable; I have no idea how one trains a horse to do that. It doesn't seem like it would be a "natural" movement for a horse.

The wiki entry is worth a read.
Clarence Clayton Danks (July 21, 1879 – June 23, 1970) was a three-time winner of Cheyenne Frontier Days, an outdoor rodeo and western celebration held each July in the Wyoming capital city of Cheyenne. He is believed to be the cowboy of the widely-recognized Wyoming state trademark, the Bucking Horse and Rider. .....

To Danks, the saddle that he won in 1907 was not a trophy, but a necessity of practical use .... Family members finally located the saddle at King's Saddlery and Museum in Sheridan, Wyoming, where it was obtained after much negotiation. In 2013, the saddle was donated to the Cheyenne Frontier Days Old West Museum.

The soon-to-be-famous Steamboat of the Wyoming State logo was first ridden by Danks at Frontier Days in 1909. Danks was then working as a ranch hand on the 2-Bar Ranch in the Chugwater area, where Steamboat had been foaled in 1896.

As of 2013, Ed Danks of Dunn Center in Dunn County in western North Dakota is the only living family member who ever met Clayton Danks. "We know [he was] a law enforcement officer, and that he was a fair and honest competitor. It's nice to have a hero," said Ed Danks, in an interview with the Wyoming Tribune-Eagle.

Meanwhile, Danks family members have begun searching for another saddle which Clayton won when he rode Steamboat at the CFD in 1909. Foaled at Chugwater, where Danks had lived early in the 20th century, the black gelding named Steamboat sustained a nose injury, which required removing a bone fragment from a nostril. As a result, the horse developed a sound which resembled the whistling of a steamboat whenever he bucked. The riders who could remain on Steamboat were certain to finish in the money.
After Steamboat's death in 1914, Danks rued, "I think a part of the rodeo ended for me, too."
Steamboat was inducted in 1975 into the National Cowboy Hall of Fame in Oklahoma City, and in 1979 into the Pro Rodeo Hall of Fame in Colorado Springs.

Danks died in 1970 shortly before his 91st birthday in Thermopolis in Hot Springs County in north central Wyoming.
Clayton and Marie Danks are interred at Mount Hope Cemetery in Lander in Fremont County in central Wyoming.
It gets even better, for me, personally. This past summer I drove through Thermopolis, Wyoming. I have video of some of the most beautiful country in the world of that area.

One hopes the video above is never removed.

It goes without saying. A huge shout-out to the following:
  • the reader who pointed me in the right direction on this one
  • YouTube
  • the person who uploaded the video on YouTube
  • the journalist who was able to find Ed Danks and interview him
  • the Wyoming Tribune-Eagle
  • the reader who first replied to me regarding one of the drilling units in the Bakken that started this
  • the Dunn County Platt book
Did I forget anybody? Good luck to all. 

Wow -- What Happened! WTI Jumped -- January 18, 2019

WTI: up 3%; up $1.68; now trading just above $54.

NOG: jumped 10% in early trading. Top energy plays.

Disclaimer: this is not an investment site. Do not make any investment, financial, job, travel, or relationship decisions based on anything you read here or think you may have read here.

Headline: Washington may keep Iranian sanctions in place. Meanwhile, OPEC continues to say they will cut production. Russia says they will not cut production immediately, citing "operational" concerns.

Alexa: phenomenal. Will play entire albums. I figured that out last night -- of course, everyone else knew that three years ago. But now, on top of that, Alexa actually suggests "new" albums for me to listen to. I was not aware of Ronnie Milsap's Duets album until now. It's incredible. From nashcountrydaily:
Country Music Hall of Fame member Ronnie Milsap will release a new album on January 18 that features duets with an A-list cast, including Billy Gibbons, Luke Bryan, Dolly Parton, Jason Aldean, Willie Nelson, Lucy Angel, Kacey Musgraves, Little Big Town, George Strait, Jessie Key, Leon Russell, Steven Curtis Chapman and Montgomery Gentry.
The 13-track collection, dubbed Ronnie Milsap: The Duets, includes one of Troy Gentry’s final recordings on the Montgomery Gentry/Ronnie duet, “Shakey Ground.” In addition, Leon Russell, who passed away in 2016, is featured on “Misery Loves Company.”
Bob's Burgers. Sophia's favorite television show. I kid you not. She watches occasional episodes when she visits our house; her family does not have cable so she is unable to see it at home. I have just ordered Season 1. Can't wait to watch it with her.

Politics: headline story today -- someone may have lied to "congress." I'm shocked, Shocked. One word: Kavanaugh. Oh, another word: Hillary.

Politics: "They" keep telling us how disorganized the White House is. It's hard to believe that the White House is all that disorganized when the White House was able to put together a letter and get it to Pelosi before she flew to Brussels. LOL.

Politics: things are pretty bad for US politics when the Speaker of the House refuses to meet with POTUS and yet POTUS is willing to meet with North Korea's Kim. The latter will meet at the end of February, 2019. There is no date for POTUS to meet with SpOTH.

US Crude Oil Production Could Surge To 14 Million BOPD In Two Years -- US DOI -- January 18, 2019

Updates will be delayed this morning: family commitments later this morning.

Global warming hits northern California: massive blizzard; 100 inches of snow possible -- note to self -- memo to Patrick Kennedy ...

ISO New England, link here: spiked to $100/MW; 4% coal; 49% natural gas.

Global warming: Scott Adams re-tweets an interesting link. Finally, someone talks about water vapor as a greenhouse gas.

Connecting the dots: the RBN Energy post today is particularly timely (see below). The US DOI is now predicting that US crude oil production will surge to 14 million bopd -- wasn't the EIA forecast for 12.9 million bopd in 2020? Regardless, from Rigzone today:
With flat demand freeing up even more for export, the U.S. DOI now reports that domestic crude production could surge to 14 MMbpd by 2020.
The U.S. Gulf Coast ports, however, need to be expanded and deepened to fully load the Very Large Crude Carriers (VLCC), some of which can hold over 3 MMbpd.
Currently, there is just one port in the region that can carry a VLCC holding 2 MMbpd.
Overall, U.S. crude exports could reach 5 MMbpd over the next five years.
U.S. policy wise, American consumers should realize that the capacity to export is a good thing. Exports encourage more production in times of flat demand to keep our own prices low. Without the export option, many in the U.S. oil industry could be forced out, and imports would play a larger role. And if more electric cars could eventually lower U.S. oil demand in a significant way, even more crude would be allowed to leave the country.
New season. By the way, who is the Secretary of the US Department of the Interior?

Keeping America great: from Rigzone --  Zheijiang Petrochemical Co. Ltd. (ZPC) will use Honeywell UOP process technology at the world’s largest crude-to-chemicals complex.

Back to the Bakken

Wells coming off the confidential list today -- Friday, January 18, 2019
  • 34196, 1,729, CLR, Radermecher 14-22H2, Three Forks second bench, 62 stages; 10 million lbs; Camel Butte, t10/18; cum 61K 11/18;
  • 34010, 1,661, CLR, Radermecher 10-22HSL1, Camel Butte, Three Forks first bench, 62 stages; 15.2 million lbs, t10/18; um 61K 11/18;
  • 33778, 878, Oasis, Crane Federal 5300 14-27 2TX, Three Forks, 40 stages; 4 million lbs; mesh, medium, ceramic, Willow Creek, t7/18; cum 78K 11/18;
  • 33468, 2,456, CLR, Ransom 2-30H, Elidah, t12/18; cum --
Active rigs:

Active Rigs68583849157

RBN Energy: the renewed significance of the St James crude hub. The Louisiana story --
Throughout the middle and latter parts of the 2010s, crude oil production growth in major U.S. basins and in Western Canada — not to mention the end to the ban on most U.S. crude exports in December 2015 — has caused noteworthy shifts in crude flow patterns, stressed existing pipeline infrastructure, and highlighted the importance of crude storage and distribution hubs. A common theme through all this has been that more and more crude needs to find its way to the Gulf Coast, with its bounty of refineries and export docks. To that end, lately, there’s been a slew of new pipeline and export-terminal projects announced that are tied to the St. James crude trading hub, which is located in Louisiana, about 60 miles up the Mississippi River from New Orleans. Today, we begin a series on St. James and why it’s becoming an even bigger player in crude markets.