Hess -- Crescent Point Energy -- June 21, 2020

Last note for the night. This is bugging me.

A reader wrote me sometime in the last four weeks that there was business activity involving Hess and Crescent Point Energy. I do remember the specifics of the note, but I couldn't find anything to verify what the reader sent me so I did not post it.

Earlier this week, the NDIC daily activity report reported that two Crescent Point Energy wells were transferred to Hess as the new operator.

Maybe others have noticed something or know something.

A fairly superficial google search was not helpful.

The NGI Shale Daily did have a story that looked promising, was dated June 19th, but for the year 2018.

Again, this is from 2018:

• Crescent Point Energy Corp. plans to sell some of its noncore assets in the Williston Basin for a total of C$280 million in a pair of transactions expected to close by the end of the month (June, 2018).
• Crescent Point in early May said it signed a nonbinding letter of intent to sell Williston assets for about C$225 million; a second transaction, valued at about C$55 million, has also been agreed to. Buyers were not named.
• Current operated and nonoperated production from the assets is about 4,800 boe/d.
• As a result of the dispositions, Crescent Point adjusted its 2018 average production guidance to 181,000 boe/d, weighted 90% to oil and natural gas liquids, and exit production guidance to 190,000 boe/d. Capital expenditures guidance for 2018 remains unchanged at C$1.78 billion. Proceeds of the deals are to go toward debt reduction and strengthening the balance sheet.
• Three years ago, Crescent Point scooped up 2,200 drilling locations on 422,000 acres of Williston acreage in North Dakota, Saskatchewan and Alberta, along with a Uinta Basin interest in Utah, in an all-corporate paper deal to take over Legacy Oil & Gas Inc.
• Crescent Point successfully completed its first stacked horizontal development in the Uinta Basin in 1Q2018, targeting the Castle Peak, Wasatch and Uteland Butte zones.

By the way, did anyone do the math?

422,000 acres / 2,200 drilling locations = 190 acres / drilling location.

Working backwards, 1280-acre drilling unit / 190 acres = 6.7 wells which is exactly what one would expect for the number of middle Bakken wells in Tier 1 locations in the Bakken.

Disclaimer: I often make simple arithmetic errors.