The Million Dollar Way (The Bakken Oil Blog): 11/21/19

Thursday, November 21, 2019

Closer Look At Slawson Case For Three Wells In A 320-Acre Drilling Unit -- November 21, 2019

I'm posting this note for a couple of reasons. The main reason: I'm just curious what this 320-acre drilling unit looks like right now. Right now, it appears there is only one well (#18870), possibly two wells (if there is a second well, it's still confidential), permitted for 320-acre spacing. The others in the graphic below are 1280-acre spacing or possibly greater if a section line well.

From The December, 2019, NDIC hearing dockets, again, this is a case, not a permit:

28164, Slawson, Big Bend-Bakken, three wells in an existing 320-acre unit, W/2 section 10-151-92, Mountrail County

For newbies: Slawson seeks permission from the North Dakota regulators for three wells in an existing 320-ace (half-section) unit as defined above: the west half of section 10 in T151N-R92W.

This is what that section looks like right now before the additional three wells.

If the commission agrees, there will be three wells (horizontals) spaced at 320 acres, in the drilling unit highlighted above.

The wells.

I don't know for sure, but these two will likely run to the east, under the lake/river:

37161, conf, Slawson, Pike Federal 2 SLH, Big Bend,
37160, conf, Slawson, Motune Federal 1-10-15H, Big Bend,

The Periscope Federal wells will likely run to the east, under the lake/river:

36472, conf, Slawson, Periscope Federal 4-10-7TFH, Big Bend,
36471, conf, Slawson, Periscope Federal 2-10-11-12H, Big Bend,
36469, conf, Slawson, Periscope Federal 5-10-7TFH, Big Bend,
36470, conf, Slawson, Periscope Federal 8-10-11-12H, Big Bend,
36473, conf, Slawson, Periscope Federal 9-10-7TFH, Big Bend,
36468, conf, Slawson, Periscope Federal 3-10-11-12H, Big Bend,

The Moray Federal wells run north-south; most of the wells on the six-well pad will run south and not into this half-section:

18870, 1,042, Slawson, Moray Federal 1-10H, Van Hook, t9/10; cum 322K 9/19;
36329, not identified on the graphic above, but a sister well to #18870, conf, Slawson, Moray Federal 5-10TFH,

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Blondie

I think, at one time, I had every Blondie CD released in the USA. And now they are lost. Too many moves. I've collected three or four album covers. If I had a big enough house, the album covers would be framed and hung. This song -- the tune/rhythm/Blondie sound -- maybe not the lyrics -- I don't know -- brings back a lot of memories.

Angels on a Balcony, Blondie

Is CRC Dead? -- November 21, 2019

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

Is CRC dead?

One year high: $30.

Now: under $7.00.

California on way to banning drilling.

CRC down almost 1% today.

Is CRC dead? Just asking.

If You Can't Give Me Love, Suzi Quatro

CLR To Put Up To 8 Wells On A 1280-Acre Unit, Indian Hill -- November 21, 2019

From The December, 2019, NDIC hearing dockets, again, this is a case, not a permit:

28185, CLR, Indian Hill-Bakken, 8 wells on an existing 1280-acre unit, sections 27/34-153-101; McKenzie;

Comments:

mostly under the river, south side of the river, south of Williston
only one producing well in this unit

16949, 1,704, Oasis, Schmitz Federal 44-34H-2; was a Madison (PA); t9/10; cum 283K 9/19; was off line 3/19; returned to production, 7/19;

unit looks to be in Eightmile, not Indian Hill

CLR To Place Up To 12 Wells On An Existing 1280-Acre Unit, Westberg Oil Field -- November 21, 2019

From The December, 2019, NDIC hearing dockets, this is a case, not a permit:

28183, CLR, Westberg-Bakken, i) 12 wells on an existing 1280-acre unit, sections 26/35-152-97; ii) two wells on an existing overlapping 2560-acre unit; McKenzie County

Comments:

Westberg-Bakken: in the sweet spot of the Bakken, east of Watford City
in this 1280-acre unit, there is only one producing well

17918, 2,166, Newfield, Clear Creek Federal 1-26H, Westberg, t8/10; cum 149 9/19;

NDIC, December, 2019, Hearing Dockets Posted

The NDIC hearing dockets are tracked here.

Link here.

The usual disclaimer applies. As usual this is done very quickly and using shorthand for my benefit. There will be factual and typographical errors on this page. Do not quote me on any of this. It's for my personal use to help me better understand the Bakken. Do not read it. If you do happen to read it, do not make any investment, financial, job, relationship, or travel plans based on anything you read here or think you may have read here. If this stuff is important to you, and I doubt that it is, but if it is, go to the source.

Comments:

most interesting: no flaring cases

Wednesday, December 18, 2019

Four Pages

All new cases have been posted (continuation cases are not posted)

Cases, not permits:

28145, Lime Rock Resources, risk penalty legalese
28146, Hess, Wheelock-Bakken, establish an overlapping 1280-acre unit; sections 25/36-156-98; 6 wells; Williams County
28147, Hess, Jim Creek-Bakken, an overlapping 2560-acre unit; one well; Dunn County
28148, Kraken, commingling
28149, Hess, pooling,
28150, Hess, pooling,
28151, BR, commingling
28152, SWD

Thursday, December 19, 2019

Ten Pages

Cases, not permits:

28153, NDIC, Stony Creek or Williston-Bakken, establish/alter a number of spacing units involving a numbers of sections, Williams County
28154, CLR, Battleview-Bakken, establish two overlapping 2560-acre units; one well each; Williams, Burke County
28155, CLR, Elidah-Bakken, establish an overlapping 2560-acre unit; one well; McKenzie County
28156, Kraken, Sanish-Bakken, i) establish an overlapping 1280-acre unit, sections 31/32-154-92; 9 wells; ii) establish an overlapping 1280-acre unit, section 4/5-153-92, four wells; iii) establish an overlapping 1920-acre unit, six wells; iv) establish an overlapping 1920-acre unit, one well; v) establish an overlapping 2560-acre unit, one well, Mountrail County
28157, Resource Energy Can-Am LLC, amend order #20381, Ambrose-Bakken, terminate an existing 2080-acre unit; instead, authorize four wells on an existing 800-acre unit; and four wells on an existing 1280-acre unit; Divide County
28158, Enerplus, Mandaree-Bakken, establish an overlapping 2560-acre unit; two wells; Dunn County
28159, Petro Harvester, Leaf Mountain-Bakken; establish two 1920-acre units; 8 wells on each; Burke County
28160, RimRock, Heart Butte-Bakken, establish an overlapping 1280-acre unit, W/2 of sections 15/22 and the E/2 of sections 16/21-149-92; two wells; Dunn County
28161, White Butte Oil Operations, LLC, Clarks Creek, relief for a single well; McKenzie County
28162, PetroShale, revoke an EOG permit
28163, Slawson, pooling
28164, Slawson, Big Bend-Bakken, three wells in an existing 320-acre unit, W/2 section 10-151-92, Mountrail County; see this post;
28165, Resource Energy Can-Am, pooling
28166, XTO, pooling,
28167, XTO, pooling,
28168, XTO, pooling,
28169, XTO, pooling,
28170, XTO, pooling,
28171, XTO, pooling,
28172 XTO, commingling,
28173, WPX, pooling,
28174, WPX, pooling,
28175, Kraken, Sanish-Bakken, four wells on an existing 640-acre unit, section 23-153-92, Mountrail County,
28176, Zavanna, commingling,
28177, Zavanna, commingling,
28178, Newfield, pooling,
28179, Newfield, pooling,
28180, CLR, pooling,
28181, CRL, pooling,
28182, CLR, pooling,
28183, CLR, Westberg-Bakken, i) 12 wells on an existing 1280-acre unit, sections 26/35-152-97; ii) two wells on an existing overlapping 2560-acre unit; McKenzie County
28184, CLR, Oakdale-Bakken, two wells on an existing overlapping 2560-acre unit; Dunn County
28185, CLR, Indian Hill-Bakken, 8 wells on an existing 1280-acre unit, sections 27-34-153-101; McKenzie;
28186, CLR, SWD
28187, URAN SWD
28188, Uran SWD
28189, Cobra Oil & Gas; conversion to enhanced recovery; Flat Top Butte-Madison Unit. McKenzie County

Greta: Say It Ain't So -- November 21, 2019

This story was first published a couple of days ago. I've been too busy to get it posted. Will eventually get it posted. But this headline pretty much says it all:

Apparently St Greta visited the wrong country when she was railing against fossil fuel use.

WTI Spikes; Could Close Over $58 -- Seven New Permits -- November 21, 2019

Land grab re-visited:

Active rigs:

$58.54	11/21/2019	11/21/2018	11/21/2017	11/21/2016	11/21/2015
Active Rigs	57	62	55	38	65

Seven new permits, #37204 - #37210, inclusive:

Operators: Equinor (5); BR; WPX
Fields: Avoca (Williams); Cow Creek (Williams); Hawkeye (McKenzie); Eagle Nest (Dunn County)
Comments:

BR has a permit for a Superbad well in section 15-152-95; Hawkeye oil field;

Equinor has permits for two Larsen wells in section 15-154-100, Avoca oil field;

Equinor has permits for an A Tufto well and two L. Tufto wells in Cow Creek, section 7-155-100;
WPX has a Spotted Wolf permit for section 18-148-04, Eagle Nest oil field

One permit canceled:

XTO: an FBIR Lawrence permit canceled in Dunn County

One producing well (a DUC) reported as completed:

36089, 220, WPX, Ruby 31-30HEL, Antelope-Sanish, t7/19; cum 79K 9/19;

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The Superbad Permit

With regard to BR's Superbad permit, section 15-152-95, already has the following horizontals running through it:

25161, 1,570, BR, Badland (sic) 11-15TFH, Hawkeye, t8/13; cum 246K 9/19;
18020, 2,181, BR, Badlands 21-15H, Hawkeye, t2/10; cum 287K 9/19;
24627, 2,982, BR, Badlands 21-15TFH, Hawkeye, t9/13; cum 202K 9/19;
24628, 2971, BR, Badlands 21-15MBH, Hawkeye, t8/13; cum 190K 9/19;
24629, 2,949, BR, Badlands 31-15TFH, Hawkeye, t8/13; cum 148K 9/19;
24624, 2,919, BR, Badlands 31-15MBH, Hawkeye, t8/13; cum 219K 9/19;
24625, 2,854, BR, Badlands 41-15TFH, Hawkeye, t8/13; cum 219K 9/19; off line, 9/19;
24626, IA/2,924, BR, Badlands 41-15MBH, Hawkeye, t8/13; cum 235K 9/19; off line, 5/19; remains off line, 9/19;
26928 (a section line well on the east), 1,363, BR, Craterlands 11-14TFH-R, Hawkeye, t3/14; cum 198K 9/19; off line, 3/19; back online 6/19; from the file report:

the drilling target zone was approximately a 20-foot thick zone about 23 feet below the base of the lower Bakken shale
spud date: December 1, 2013
cease drilling: January 17, 2014
inside drilling target footage: 9,738 feet (100%)
frack: 30 stages; 3.3 million lbs
no explanation for the "R" designation, but not a reentry as far as I can tell; a revised permit application?

How They Do Things In The Bakken -- EOG -- Parshall Oil Field -- November 21, 2019

This simply tells me there is so much work yet to be done in the Bakken.

This well was off line for two years, from 1/15 to 1/17. It was a good well in a good field, but it was taken off line for two years. Then all of a sudden it was brought back into production:

17934, 718, EOG, Parshall 16-32H, middle Bakken, Parshall, t8/09; cum 362K 9/19;

Production period of interest:

BAKKEN	4-2017	30	2023	2020	875	741	460	37
BAKKEN	3-2017	31	1908	1909	1324	790	163	375
BAKKEN	2-2017	24	1600	1600	1134	583	236	156
BAKKEN	1-2017	23	1183	1116	1402	419	232	0
BAKKEN	12-2016	0	0	0	0	0	0	0
BAKKEN	11-2016	0	0	0	0	0	0	0
BAKKEN	10-2016	0	0	0	0	0	0	0

So, after two years of being off line, why was it brought back into production?

A new well about a mile to the east was fracked just before the well above, #17934, was brought back into production. Horizontals were 1,636 feet apart.

The new well to the east:

29635, 524, EOG, Parshall 164-3332H, middle Bakken, Parshall, t12/16; cum 128K 9/19;

Production at time of frack:

BAKKEN	5-2017	31	10600	10602	6086	6724	5985	239
BAKKEN	4-2017	30	11242	11078	4964	6234	5750	0
BAKKEN	3-2017	27	6542	7033	4637	3211	2796	0
BAKKEN	2-2017	28	9898	9545	7049	7573	7573	0
BAKKEN	1-2017	25	6690	6553	9898	6792	4291	2124
BAKKEN	12-2016	31	2700	2588	2047	1406	906	0

Accidents never happen ....

Accidents Never Happen, Blondie

Production Alert -- Halo Effect -- Jump In Production -- MRO Jacqueline Olson -- #17999 -- Jim Creek -- November 21, 2019

The well:

17999, 373, MRO, Jacqueline Olson 14-16H, Jim Creek, t9/09; cum 138K 9/19;

A neighboring well, #34892, was fracked on/about 10/18.

Production period of interest:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	9-2019	30	3432	3404	1456	3026	0	2635
BAKKEN	8-2019	31	4037	4100	1746	3549	730	2396
BAKKEN	7-2019	31	4693	4705	2014	4161	612	3065
BAKKEN	6-2019	30	5690	5742	2404	4941	71	4337
BAKKEN	5-2019	24	7395	7202	4501	5796	0	5188
BAKKEN	4-2019	25	1246	1327	781	1176	13	944
BAKKEN	3-2019	26	2687	2863	1745	2529	0	2213
BAKKEN	2-2019	28	3388	3235	2516	2958	0	2578
BAKKEN	1-2019	23	3287	3123	3265	2835	0	2493
BAKKEN	12-2018	22	4578	4615	7631	3917	0	3500
BAKKEN	11-2018	0	0	0	0	0	0	0
BAKKEN	10-2018	1	30	30	0	25	0	23
BAKKEN	9-2018	0	0	0	0	0	0	0
BAKKEN	8-2018	22	383	421	252	463	219	93
BAKKEN	7-2018	31	639	658	381	725	55	445
BAKKEN	6-2018	15	533	515	531	539	139	280
BAKKEN	5-2018	0	0	0	0	0	0	0

Production Alert! -- The Newly Fracked Mathistad Wells Are Monsters -- November 21, 2019

This post will not be updated. The BR Mathistad wells in Croff oil field are tracked here.

The newly fracked Mathistad wells were completed/tested in late 2017, about two years ago. They are monster wells. A typical example:

33152, 414, BR, Mathistad 6-8-35 MBH, Croff, 29 stages; 10 million lbs large, t11/17; cum 535K 9/19;

Full production:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	9-2019	30	18396	18311	6605	48132	45626	2492
BAKKEN	8-2019	26	18342	18227	6806	40557	35580	4965
BAKKEN	7-2019	31	0	110	0	0	0	0
BAKKEN	6-2019	30	11181	11316	4248	22552	18657	3883
BAKKEN	5-2019	31	25827	25743	8656	50967	35886	14942
BAKKEN	4-2019	30	30343	30335	6983	58345	27789	30418
BAKKEN	3-2019	31	19286	19327	5706	35198	22717	12457
BAKKEN	2-2019	28	16437	16403	6659	18905	18826	0
BAKKEN	1-2019	31	25493	25502	6584	25070	25030	0
BAKKEN	12-2018	22	21525	21531	6361	20102	19981	0
BAKKEN	11-2018	30	27576	27597	7295	26738	26728	0
BAKKEN	10-2018	31	28064	28226	8108	30142	30131	0
BAKKEN	9-2018	30	28244	28051	8487	33798	33786	0
BAKKEN	8-2018	31	30329	30460	9431	43508	43029	467
BAKKEN	7-2018	31	30040	29900	10813	41403	40883	510
BAKKEN	6-2018	30	28216	28256	9035	42867	42856	0
BAKKEN	5-2018	31	25264	25310	5567	36521	36510	0
BAKKEN	4-2018	30	31938	31844	11458	50885	50872	0
BAKKEN	3-2018	31	20587	20563	7980	33552	33542	0
BAKKEN	2-2018	27	29133	29168	9792	34952	34942	0
BAKKEN	1-2018	26	33139	33172	9074	39317	39305	0
BAKKEN	12-2017	25	22804	22763	7035	31347	31338	0
BAKKEN	11-2017	20	13096	12945	3421	13623	12656	958

Natural Gas Fill Rate -- November 21, 2019

Link here.

Meanwhile, up in the great white north:

Notes From All Over, Part 1 -- November 21, 2019

Slow, slow day. Will be off the net until later, after this note is completed. Good luck to all.

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

In trouble? Exxon steps up assets sale -- $25 billion plan -- Reuters:

to divest up to $25 billion of oil and gas fields in Eruope, Asia, and Africa
to focus on a handful of mega projects at home, abroad
Guyana, Mozambique, Papua Guinea, and the US
original plan: to sell $15 billion in assets; huge increase
effectively leaves Europe (France and Poland have been major disappointments
to divest British North Sea, Germany, Romania
for some odd reason, keeps assets in Groningen which is slated to close anyway
too little, too late?

In trouble? TD Ameritrade to be acquired by Schwab -- $26 billion -- Barron's.

Acquisition closes: Bristol-Myers closes $74 billion Celgene takeover.

Meanwhile, Warren Buffett continues to look for deals. Berkshire Hathaway hath found no way to spend part of its $125 billion cash hoard.

Qualcomm could test all-time high -- Investopedia --

-- finally nearing a historic test of the 2000 bubble high following an 18-year "bounce" that started in the low teens at the end of the bear market in 2002. The vast majority of big tech stocks have already mounted this ancient signpost, generating much stronger long-term returns than the San Diego-based digital communications giant. A breakout could finally lift this perennial cloud, allowing Qualcomm stock to roam freely in the triple digits.

Target sales soar; Forever 21, Sears shutter stores -- USA Today

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The History of Religion Page

Titles.

From wiki: Gratian, or Flavius Gratianus Augustus; May 359 – August 383) was Roman emperor from 367 to 383. He favoured Christianity over traditional Roman religion, refusing the office of Pontifex maximus and removing the Altar of Victory from the Roman Senate.

From Lost to the West: The Forgotten Byzantine Empire That Rescued Western Civilization, Lars Brownworth, c. 2009, continuing the Christianity vs paganism fight at this time (4th century AD, as Roman Empire imploded):

This wasn't the first time the [Roman] bishop had attempted to enlist imperial support in stamping out the last traces of the ancient [pagan] religion.

A few years before, the bishop had convinced the emperor Gratian that it was embarrassing for a Christian emperor to be carrying around the title Pontifex Maximus -- chief priest of the state religion -- prompting Gratian to go striding into the Senate House of Rome and publicly declare that he was renouncing the title.

Although Gratian was the last emperor to use the title Pontifex Maximus, it didn't disappear into the mists of history.

In 590, Pope Gregory I adopted it in his role as "chief priest of Christianity" and from it we get the title "pontiff."

Literally, "pontiff" is translated as "bridge builder" (think pontoon), because the Pontifex Maximus bridged the gap between the world of the gods and the world of man.
Constantine had kept the title because he saw himself as the "Bishop Bishops" -- a title that the pope also assumed.

Words matter.

Monthly Legacy Fund Deposits Report Delayed; Jobless Claims -- Unchanged Week-Over-Week; Jobless Claims Unchanged -- November 21, 2019

Legacy Fund: monthly deposits data apparently delayed, link here. My hunch: the deposits have been made but the data has been delayed due to a new website.

Link here.

prior: 225K
revised prior: 227K
forecast: 217K
actual: 227K

Gasoline demand, link here:

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The Death of Attila The Hun

By nosebleed.

Leader of the Huns from 434 AD until his death in 453.

453 A. D. Attila crosses into Gaul and unleashes his horde. The Roman army scatters. The citizens of the little townof Aquileia fled at Attila's approach to the safety of the nearby lagoon. Recognizing the superb defensive otision it offered, they elected to say put, laying the foundations of what would become the mighty Republic of Venice. Its oldest island, Torcello, still has a crude stone chair dubbed by the locals "Attila's throne."

Attila entered Rome unopposed. No government or military Roman stayed. Only the lonely figure of Pope Leo trudged out on foot to meet Attila.

It is unknown at Pope Leo said to Attila, but unexpected Attila turned and left Rome, leaving the city unexpectedly intact.

Within days, after a night of night of drinking and partying, he was found the next morning, dead from a "burst artery -- and the Scourge of God had died from a glorified nosebleed.

Paraphrased from From Lost to the West: The Forgotten Byzantine Empire That Rescued Western Civilization, Lars Brownworth, c. 2009, pages 54 - 55.

Five Wells Coming Off The Confidential List Today -- November 21, 2019

First things first: Schwab to buy TD Ameritrade.

deal: $26 billion
assets, retail: $5 trillion

Natural gas storage: last week’s EIA figure for gas in storage at the end of injection season, normalized to supply, represents the second lowest on record even as gas demand is poised for a last major surge. Link here.

Natural gas, US: production, consumption, and exports set new records in 2018.

The U.S. Energy Information Administration’s Natural Gas Annual 2018 shows that the United States set new records in natural gas production, consumption, and exports in 2018.

In 2018, dry natural gas production increased by 12%, reaching a record-high average of 83.8 billion cubic feet per day. This increase was the largest percentage increase since 1951 and the largest volumetric increase in the history of the series, which dates back to 1930.

U.S. natural gas consumption increased by 11% in 2018, driven by increased natural gas consumption in the electric power sector. Natural gas gross exports totaled 10.0 Bcf/d in 2018, 14% more than the 2017 total of 8.6 Bcf/d. Several new liquefied natural gas export facilities came online in 2018, allowing for more exports.