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Tuesday, August 27, 2019

Off The Net For The Night -- August 27, 2019

Wow, talk about a flurry of activity this afternoon going into this evening. I can't keep up. I need to stop blogging; catch my breath; write about it tomorrow perhaps.

But for starters, all posted earlier this evening, this afternoon:
  • a colossal draw of US crude oil from the nation's inventory
  • EOR in the Bakken looks to be successful
  • the wind farm developments off Martha's Vineyard
  • twenty-two (22) permits renewed
  • the National Grid / natural gas pipeline / NYC / Long Island story
  • Enerplus renews ten permits in the Bakken
  • CLR looks to drill 26 wells in an overlapping 2560-acre drilling unit
We'll catch up on these tomorrow, if necessary. But for now, YouTube Fugue.

**************************
A Note For The Granddaughters

Our day starts at 6:00 a.m. when we get up and start to get ready to drive three granddaughters to three different schools. That ends about 8:30 a.m. and then your grandmother and I are free until 4:00 p.m. when the driving begins again. We drive you home from school and to all your after-school activities. We generally don't get finished until about 9:00 p.m.

Between 9:00 a.m. and 4:00 p.m. reading, library, art museums, sushi lunches, Starbucks, blogging. 

From 9:00 p.m. to 1:00 a.m. old movies and music, YouTube, Alexa, whatever. But always at least one old movie or one old television show. Right now, I'm watching one old Perry Mason television show every night.

This weekend, I tried a completely different way of grilling: grilling steak directly on the charcoal. It turned out incredibly well. It's funny. I will never go back to "grate-grilling." Yes, there are some things I have to do on the grate: salmon, hamburgers, hot dogs, but anything I can do directly on the charcoal, I will. I will never go back to the grate except where there is no other choice.

So, what's a potoroo, and/or a quoll?

A potoroo: a mouse-like Australian marsupial.

A quoll: carnivorous marsupials, think Tasmanian devils. And a great word for Scrabble. 

Liberty Resources EOR In The Bakken -- August 27, 2019

Posted earlier:
At least three EOR pilot injection projects in North Dakota, one in the Madison and two in the Bakken are being proposed, from the September, 2019, NDIC hearing dockets (the following are cases, not permits). This is one of them.
  • 27926, NDIC, McGregor-Bakken, to review the pilot injection project order authorizing Liberty Resources Management Co temporary authority to use certain wells located in sections 8/17-158-95 as injection wells for EOR pilot project, Williams County
I'm re-posting this one because a reader sent this shortly after I posted the above:
Brief follow up to the EOR test project that Liberty Resources is doing in conjunction with several other entities, including NETL (National Energy Technology Laboratory).

Following are quotes from NETL's site "netl.doe.gov/node2078' ...

Title: "Bakken Enriched Gas Enhanced EOR."

Project started Nov. 2018 ... ending (field test?) May, 2019.
Max injection rate 2 MM cfd (2 million cfd ... modest amount)
By May 7, 2019, 130 MM cubic feet injected total ... again, modest amount of "rich" gas injected into four (4) wells during six (6) injection periods.
Key Observations:

" ... ability to inject rich gas has been demonstrated ..."

" ... injected gas can be controlled and has been contained within the DSU"

"Modeling predicts incremental oil recovery may exceed 25%."

Project ends 5/31/2020.

It would appear that in the crucial "real world" setting, Liberty has successfully demonstrated that when injecting a propane and ethane enriched gas stream (along with the cheaper, less effective methane), the injections can be monitored, controlled, and contained.

The future ramifications of this are impossible to over state.

There is a short, graphic rich pdf from Liberty describing all this from last year's WBPC.
There's a bit of irony here. If I remember, I will come back to this. The Bakken is full of surprises.

Lost In The Mail Or Inadvertently Mailed To Jeff Epstein? -- August 27, 2019

Re-posting this entire earlier post -- if this doesn't ...

How long did it take Ted Kennedy to notify the Massachusetts authorities?

Anyway, here's the entire earlier post re-posted:
Updates

Later, 7:51 p.m. Central Time: a reader sent me this note earlier this afternoon but this was as soon as I was able to get back on line -- the Massachusetts Department of Environmental Protetion (MassDEPA) over-ruled Edgartown. MassDEPA says "lay the cable." Edgartown will appeal the decision. And then look at this sh*t:
Edgartown conservation agent Jane Varkonda told The Times Edgartown didn’t receive the August 5 superseding order of conditions from the commonwealth in a timely manner. Varkonda said she learned by happenstance the decision had been made during a conversation with a state official. Upon learning Edgartown was without the decision, the official sent it.
“He sent it to me on Friday [August 16], and the last day to appeal was Monday the 19th,” she said. 

Varkonda said town counsel was able to pull together the appeal in time. “It was a scramble to say the least,” she said. 
Reynolds, Rappaport, Kaplan and Hackney director Michael Goldsmith, who drafted the appeal, declined to speculate on why the order didn’t initially get to Edgartown. 
Varkonda said it’s plausible it was lost in the mail.
Comment: my hunch -- the MassDEPA letter was accidentally addressed to Jeff Epstein.
Later, 2:48 p.m. Central Time: from a reader who knows and follows this much more closely than I do -- minimally edited --
There are several more "happenings" related to that offshore wind project near Martha's Vineyard. Basically, it's dead, Fred.

Opposition was growing this spring from commercial fishing groups.

Then, the Gloucester office of the NOAA (?) fisheries division released a report saying the important draft EIS (draft Environmental Impact Statement) was inadequate.

Although the BOEM is the lead permitting agency, the Coast Guard, NOAA, and the EPA all refused to sign off on a required evaluation saying they were satisfied with the project's overall impacts.

In early July, BOEM kinda rocked the entire offshore wind industry when it announced that a comprehensive analysis would be undertaken to assess how ALL these several offshore wind farms might effect the East Coast maritime universe.

Vineyard Wind is only a few weeks away from probably announcing that it is aborting/suspending its project as they will lose their needed tax credits if construction does not start prior to this coming December 31, 2019 deadline.

If you google "New York City gas shortage", you may see some amusing/puzzling reports of how local politicians are excoriating the local utility - National Grid - for not providing the much needed natgas to New Yorkers.
Had the reader not add this last line, I would have:
You just can't make this stuff up.
Original Post 

Martha's Vineyard to be underwater in less than ten years due to rising seas / global warming.

President Obama to buy oceanfront property for $15 million on Martha's Vineyard. I assume his daughters are aghast.

That wind farm off Martha's Vineyard?

February 28, 2019:
May 9, 2019:
  • Massachusetts permitting update here. Permit granted.
July 14, 2019:
  • Just kidding, never mind. Key cable permit denied. Why is this not surprising. Edgartown, on Martha's Vineyard (island) says "no" to  the necessary undersea cable. Why does this not surprise me. 
************************************
Connecting Dots

Black Water: July 19, 1969.

Quick: name the major NASA event just one day later, July 20, 1969.

One of the most enjoyable books I ever read was Blonde, by Joyce Carol Oates.  I generally don't care for fiction but this one I enjoyed. Again, of course, it may not have been fiction.

"Colossal" Crude Oil Inventory Draw Carries Prices Higher -- Oilprice -- August 27, 2019

Well, part of that headline is accurate.

This morning: WTI traded at $54.21.

At the close, after that "colossal" draw, WTI traded at $55.52.

Not exactly breathtaking.

The draw, according to API data: wow, it was colossal -- 11.1 million bbls.

Analyst expectations: a draw of 2.112 million bbls (and, again, I love the false precision).

So, tomorrow (Wednesday, August 28, 2019) we'll see what the EIA has to say -- 9:30 CT.

NYC / Long Island -- When It Comes To Natural Gas, A Third World County -- August 27, 2019

A reader suggested I check into see how NYC is doing now that the state has not approved new national gas pipeline projects.

Screenshot:


This appears to be about the most recent news from a major publication, July 24, 2019. From The WSJ:
National Grid hasn’t been providing new gas service to businesses and residents in Brooklyn, Queens and Long Island because of a standoff with the state over a stalled pipeline.

The utility hasn’t been processing requests for new or expanded service since the spring. Three months ago, Magda Perez, owner of Mermaid Prime Meat in Coney Island, Brooklyn, moved her business to a new location on the same block it had been for six years.

Ms. Perez had been a National Grid customer and had gas service at her previous location. But she said at her current location, she was unable to receive a new gas meter. The utility told her there was a gas shortage.

So she found a work around, arranging with her new landlord to use his existing gas line in exchange for an increase in her monthly rent rate.

“I need my stove to be working,” Ms. Perez said.

National Grid has refused a total of more than 2,000 requests for service since May, when the state rejected the proposal for the Williams Pipeline, which would carry gas from Pennsylvania through New Jersey to the Rockaways in Queens, and would have required 23.5 miles of new pipeline to be installed under New York and New Jersey waters.
This sounds like China, Russia, or a third-world country. 

And It Begins -- EOR In The Bakken -- August 27, 2019

Updates

Later, 9:50 p.m. CT: more to the story here.  

Original Post 

At least three EOR pilot injection projects in North Dakota, one in the Madison and two in the Bakken are being proposed, from the September, 2019, NDIC hearing dockets (the following are cases, not permits):
  • 27926, NDIC, McGregor-Bakken, to review the pilot injection project order authorizing Liberty Resources Management Co temporary authority to use certain wells located in sections 8/17-158-95 as injection wells for EOR pilot project, Williams County
  • 27934, Samson Oil and Gas USA, Foreman Butte-Madison, re-work and use Mays 1-20H (file #15646) as a combined production / injection well for an EOR pilot project; McKenzie County
  • 27836, Hess, Big Butte-Bakken, injection into multiple wells, a pilot enhanced EOR project, Mountrail

Twenty-Two Permits Renewed; Enerplus Renews 10 Permits; Seven New Permits; MRO Has Five -- August 27, 2019

Active rigs:


8/27/201908/27/201808/27/201708/27/201608/27/2015
Active Rigs6361553076

Seven new permits, #36911 - #36917, inclusive:
  • Operator: MRO; Whiting
    Field: Antelope-Sanish (McKenzie); Robinson Lake (Mountrail)
  • Comments: 
    • MRO has permits for a five well USA pad in section 34-152-94, Antelope-Sanish field/pool
    • Whiting has permits for two more Satterthwaite wells in section 35-154-93; Robinson Lake oil field
Twenty-two permits renewed:
  • Enerplus (10): three precious metal permits (a silver, a platinum, and a titanium), all in Dunn County; seven permits for the Australian marsupial pad: a joey, a boomer, a koala, a possum, a bandicoot, a potoroo, and a quoll permit, all in McKenzie County
  • Zavanna (7): seven Hunter permits, all in McKenzie County;
  • Equinor (3): two Reiten permits and a Michael Owan permit, all in Williams County
  • Oasis: one McCowan permit in Burke County
  • Resource Energy Can-Am: one Olav permit in Divide County
Five producing wells (DUCs) reported as completed:
  • 32465, 53 (no typo), BR, CCU Golden creek 1-1-26TFH, Corral Creek, t8/10; cum --;
  • 32467, 152, BR, CCU Boxcar 8-8-22MBH, Corral Creek, t7/19; cum --;
  • 32466, 163, BR, CCU Audubon 8-8-22MBH, Corral Creek, t8/19; cum --;
  • 35195, 1,810, Jackman 34-11-4TFH, East Fork, t8/19; cum --;
  • 35194, 1,051, Whiting, Jackman 34-11-5HU, East Fork, t8/19; cum --;

Hearing Dockets, September, 2019, Posted

The NDIC hearing dockets for September, 2019, have been posted. I will be providing an abbreviated summary, as I always do, at this post.

The Bakken boom is over? Not for Harold Hamm.

Case #27937 (again, this is a case, not a permit):
  • 27937, CLR, Elm Tree-Bakken, 2560-acre unit, sections 2, 3, 10 and 11 - 153-94; 26 additional wells on the overlapping 2560-acre drilling unit, McKenzie, Mountrail counties
The graphic:

Or, how about this one?
  • #27945, RimRock, South Fork-Bakken, 14 wells on an existing 1280-acre unit, sections 8/17-148-93, Dunn County 
Or this one?
  • #27947, Newfield, Westberg-Bakken, 14 wells on an existing 1280-acre unit, sections 25/36-152-97; McKenzie County
In addition, one docket has 18 pages of cases; the second docket has 13 pages of cases. This is the largest number of dockets I've seen since the boom. Granted, it appears most of the cases have to do with pooling and commingling, but every case represents work for blue-collar works in the oil patch. 

Random Update Of NDIC Oil & Gas Permits Issued In 2019 To Date -- August 27, 2019

Through August 26, 2019.

Disclaimer: this is dynamic data. The status of the wells can change daily. There will be factual and typographical errors, but not many. I make simple arithmetic errors.

Calendar days in 2019 so far: 238 days.

Number of permits issued (as of yesterday, August 26, 2019): 1,012

Projected number of permits for calendar year 2019: 1,552 permits

Permit numbers: #35899 - #36910, inclusive

Status of wells:
  • SI/NC (DUCs): 60
  • PNC: 7
  • PA (dry): 1
  • LOC: 346
  • DRL: 150
  • CONF/PRODUCING: 4
  • CONF: 439
  • IPs reported: 5
As a percent of total permits:
  • Drilled to depth, reported: 65 / 1,012 = 6%: 
  • CONF: 43%
  • LOC: 34%
  • SI/NC (DUCs): 6%
  • DRL: 15%
Confidential but producing:
January 22, 2019
35985
C-P
Nine Point Energy
Little Muddy 6H
WMS
Williston
January 22, 2019
35986
C-P
Nine Point Energy
Little Muddy 7H
WMS
Williston
January 22, 2019
35987
C-P
Nine Point Energy
Little Muddy 8H
WMS
Williston
February 14, 2019
36089
C-P
WPX
Ruby 31-30HEL
MCK
Antelope


IPs reported (third column is the IP; second column is the file number):
February 26, 2019
36127
3537
Bruin
Borrud 156-101-1B-12-3H
WIL
Tyrone
January 9, 2019
35939
2239
Whiting
Nelsen 11-2HU
MCK
Elk
January 16, 2019
35960
1796
Newfield
Goliath 150-98-5-8-8HLWR
MCK
Siverston
February 5, 2019
36044
1683
Kraken
Ruffing 27-34 5H
WMS
Lone Tree Lake
February 5, 2019
36045
1302
Kraken
Ruffing 27-34 4H
WMS
Lone Tree Lake


Selected operators with number of permits:
  • XTO: 110
  • WPX: 46
  • Whiting: 118
  • Slawson: 41
  • Rimrock: 61
  • Oasis: 15
  • Newfield: 25
  • MRO: 54
  • Lime Rock: 15
  • Kraken: 36
  • Hess: 119
  • Equinor: 27
  • EOG: 11
  • Enerplus: 45
  • CLR: 109
  • Bruin: 29
  • BR: 79
By county:
  • Dunn: 252
  • McKenzie: 302
  • Mountrail: 206
  • Williams: 231



That Martha Vineyard Off-Shore Wind Farm? It's Dead, Fred; Any More Proof Needed That Global Warming Is A Scam? -- August 27, 2019

Updates

Later, 7:51 p.m. Central Time: a reader sent me this note earlier this afternoon but this was as soon as I was able to get back on line -- the Massachusetts Department of Environmental Protetion (MassDEPA) over-ruled Edgartown. MassDEPA says "lay the cable." Edgartown will appeal the decision. And then look at this sh*t:
Edgartown conservation agent Jane Varkonda told The Times Edgartown didn’t receive the August 5 superseding order of conditions from the commonwealth in a timely manner. Varkonda said she learned by happenstance the decision had been made during a conversation with a state official. Upon learning Edgartown was without the decision, the official sent it.
“He sent it to me on Friday [August 16], and the last day to appeal was Monday the 19th,” she said. 


Varkonda said town counsel was able to pull together the appeal in time. “It was a scramble to say the least,” she said. 
Reynolds, Rappaport, Kaplan and Hackney director Michael Goldsmith, who drafted the appeal, declined to speculate on why the order didn’t initially get to Edgartown. 
Varkonda said it’s plausible it was lost in the mail. Comment: my hunch. The MassDEPA letter was accidentally addressed to Jeff Epstein.
Later, 2:48 p.m. Central Time: from a reader who knows and follows this much more closely than I do -- minimally edited --
There are several more "happenings" related to that offshore wind project near Martha's Vineyard. Basically, it's dead, Fred.

Opposition was growing this spring from commercial fishing groups.

Then, the Gloucester office of the NOAA (?) fisheries division released a report saying the important draft EIS (draft Environmental Impact Statement) was inadequate.

Although the BOEM is the lead permitting agency, the Coast Guard, NOAA, and the EPA all refused to sign off on a required evaluation saying they were satisfied with the project's overall impacts.

In early July, BOEM kinda rocked the entire offshore wind industry when it announced that a comprehensive analysis would be undertaken to assess how ALL these several offshore wind farms might effect the East Coast maritime universe.

Vineyard Wind is only a few weeks away from probably announcing that it is aborting/suspending its project as they will lose their needed tax credits if construction does not start prior to this coming December 31, 2019 deadline.

If you google "New York City gas shortage", you may see some amusing/puzzling reports of how local politicians are excoriating the local utility - National Grid - for not providing the much needed natgas to New Yorkers.
Had the reader not add this last line, I would have:
You just can't make this stuff up.
Original Post 

Martha's Vineyard to be underwater in less than ten years due to rising seas / global warming.

President Obama to buy oceanfront property for $15 million on Martha's Vineyard. I assume his daughters are aghast.

That wind farm off Martha's Vineyard?

February 28, 2019:
May 9, 2019:
  • Massachusetts permitting update here. Permit granted.
July 14, 2019:
  • Just kidding, never mind. Key cable permit denied. Why is this not surprising. Edgartown, on Martha's Vineyard (island) says "no" to  the necessary undersea cable. Why does this not surprise me. 
************************************
Connecting Dots

Black Water: July 19, 1969.

Quick: name the major NASA event just one day later, July 20, 1969.

One of the most enjoyable books I ever read was Blonde, by Joyce Carol Oates.  I generally don't care for fiction but this one I enjoyed. Again, of course, it may not have been fiction.

Slawson's River Rat Federal Wells In Big Bend -- August 27, 2019

The wells:
  • 30733, full production profile here; 978, Slawson, River Rat Federal 5-23-14MLH, Big Bend, t12/16; cum 379K 3/20; remains off line 5/20; returned to production, 12/20, with 7K bbls in one month;
  • 30732, 1,238, Slawson, River Rat Federal 1-23-14H, Big Bend, t12/16; cum 329K 11/20; remains off line 5/20; huge jump in production, 12/20;
  • 30731, 173, Slawson, River Rat Federal 6-23-14MLH, Big Bend, produced for a couple of months early on; then nothing, t12/16; cum 37K 12/20; remains off line 5/20; 42 stages; 7.8 million lbs; file report doesn't explain production profile; returned to production 12/20;
  • 30730, 188, Slawson, River Rat Federal 2-23-14H, Big Bend, t12/16; cum 314K 12/20; remains off line 5/20; returned to production 12/20;

  • 25183, 2,764, Slawson, River Rat Federal 3-23-14H, Four Bears, t9/15; cum 312K 12/20; remains off line 5/20; big production jump, 12/20;
  • 25184, 2,317, Slawson, River Rat Federal 7-23-14TFH, Big Bend, t9/15; cum 306K 12/20; remains off line 5/20; back on line12/20;
  • 25185, 1,169, Slawson, River Rat Federal 4-23-14TFH, Big Bend, t9/15; cum 332K 12/20; remains off line 5/20; back on line 12/20;
  • 29959, 1,590, Slawson, Skybold Federal 1SLH, Big Bend, t9/15; cum 349K 12/20; remains off line 5/20; back on line 12/20; nice production;

  • 25811, IA/928, Slawson, Jugard Federal 2-26-35H, Big Bend, t1/14; cum 188K 4/20; off line 5/20; remains off line 12/20;
  • 25812, 165, Slawson, Jugard Federal 6-26-35TFH, Big Bend, t1/14; cum 229K 12/20; off line 5/20; back on line 8/20;
  • 29859, 15 (no typo), Slawson, Howitzer Federal 5 SLTFH, Big Bend, t1/14; cum 199K 12/20; remains off line 5/20; back on line 12/20;

  • 25183, 2,764, Slawson, River Rat Federal 3-23-14H,  Four Bears, t9/15; cum 312K 12/20; remains off line 5/20; interesting production profile; back on line 12/20;
The graphic:

XTO Sorkness Wells

The wells:
  • 24945, off line, 1,359, XTO, Sorkness State 24X-36A, Sorkness, t11/13; cum 247K 9/20;
  • 24944, off line, 1,595, XTO, Sorkness State 24X-36B, Sorkness, t11/13; cum 215K 9/20;
  • 18959, off line, IAW/378, XTO, Sorkness State 34X-36. Sorkness, t10/10; cum 251K 9/20;
  • 36135, conf-->SI/IAW, API: 33-061-04428, no FracFocus data; XTO, Sorkness State Federal 34X-36G, API: 33-061-04429, no FracFocus data;
  • 36135, conf-->SI/IAW, API: 33-061-04429, no FracFocus data; XTO, Sorkness State Federal 34X-36C, Sorkness, t--; cum --;
  • 36137, conf-->SI/IAW, API: 33-061-04430, no FracFocus data; XTO, Sorkness State Federal 34X-36H, Sorkness, t--; cum --;
  • 36138, conf-->SI/IAW, API: 33-061-04431, no FracFocus data; XTO, Sorkness State Federal 34X-36D, Sorkness, t--; cum --;
The graphic:


A CLR Jerry Well Shows Nice Jump In Production -- August 27, 2019

Full production profile here.

The well:

  • 26525, 994, CLR, Jerry 2-8H, Poe, t10/14; cum 302K 6/19; look at jump in production 11/7:
Months of interest below; EUR increased; well life extended:

BAKKEN4-2018307964804012142805780570
BAKKEN3-20183158525769147306727663691
BAKKEN2-201820324031057970298129810
BAKKEN1-201831906590061757511243112430
BAKKEN12-201731985099412011013017130170
BAKKEN11-2017301075910966248581303012630400
BAKKEN10-201727859082842345899779309668
BAKKEN9-20177215618424672149914990
BAKKEN8-20170000000
BAKKEN7-201717117914151729198319830
BAKKEN6-20173020602056263129562293663
BAKKEN5-201731198120602531292329230

The other Jerry wells are also "older" wells; steady Eddy wells but nothing remarkable. 

Three Wells Coming Off Confidential List Today -- August 27, 2019

Shortest summer in a long time: long spring, lots of rain, fewest summer days over 100 degrees in a long time; and, now, today, cold, rainy, and looks like autumn.

Nordeng: the Oasis Nordeng wells are tracked here

Wells coming off confidential list today -- Tuesday, August 27, 2019:
  • 35227, SI/NC, Hess, BB-Federal !-LS-151-95-0915H-1, Blue Buttes, no production data,
  • 34712, 548, Oasis, Nordeng 5298 12-25W 4T, Banks, t3/19; cum 110K 6/19;

DateOil RunsMCF Sold
6-20192456248554
5-20193167274935
4-20192819764383
3-20191453536660
2-201910950
  • 34302,SI/NC, XTO, Rough Federal 44X-23D, North Fork, no production data,
Active rigs:

$54.218/27/201908/27/201808/27/201708/27/201608/27/2015
Active Rigs6361553076

RBN Energy: what's ahead for Energy Transfer's Mariner East pipes and Marcus Hook terminal? 
Archived.
Energy markets are constantly changing, but pipelines can take years to complete, and once they’re in the ground, that’s where they stay. Therefore, it’s critical for midstream companies to build as much flexibility as possible into their plans for new pipelines and other infrastructure, because you never know what the markets for crude oil, natural gas, NGLs and refined products might have in store. Energy Transfer apparently has that flexibility in mind as it’s been building out its Mariner East pipeline system across Pennsylvania to the Marcus Hook Industrial Complex (MHIC) near Philadelphia. Today, we consider recent developments regarding these key midstream assets in the Northeast and their still-evolving uses.