Four Wells Coming Off The Confidential List; Kraken Reports Four Huge Wells In Non-Descript Field -- October 9, 2020

OPEC basket, link here: $41.06. This site lags a big. At the moment, WTI is trading at $41.02; OPEC basket at $40.45.

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Back to the Bakken

Active rigs:

$41.02	10/9/2020	10/09/2019	10/09/2018	10/09/2017	10/09/2016
Active Rigs	13	57	63	57	33

Four wells coming off the confidential list -- Friday, October 9, 2020: 15 for the month; 15 for the quarter, 680 for the year

• 36976, drl/A, Kraken, Hobart 34-27 3H, Oliver, t--; cum 125K 8/20; five consecutive 24K+ months;
  
• 36975, drl/A, Kraken, Hobart 34-27 4H, Oliver, t--; cum 112K 8/20; a 28K month;
  
• 36974, drl/A, Kraken, Hobart 34-27 5H, Oliver, t--; cum 133K 8/20; five consecutive 24K+ months with one month over 30K;
  
• 36973, drl/A, Kraken, Hobart LE 35-26 1H, Oliver, t--; cum 133K 8/20; five consecutive 24K+ months with one month over 30K;
  

Kraken wells in Oliver oil field: track here. 

RBN Energy: more ethane export capacity, and more exports to China (on the way). Part 3. Archived.

The U.S. is by far the world’s largest ethane producer, and exports one-seventh of what it produces, with most of the exported volumes tied to long-term contracts to supply ethane-consuming steam crackers. Canada is the #1 importer of U.S. ethane, receiving its volumes via three pipelines. As for U.S. exports by ship, India is on top, followed by the UK and Norway. But watch out! China, which started importing U.S. ethane a year or so ago, is poised to buy a heck of lot more, with most of the incremental volumes to be shipped out of a new ethane export terminal about to come online in Nederland, TX. Today, we continue our series with a look at the Orbit Ethane Export Terminal, which is being jointly developed by Energy Transfer and Satellite Petrochemical, the U.S. subsidiary of a Chinese petrochemical company.

The Shale Revolution enabled the U.S. to become a leading producer of NGLs, including ethane. Just last week, the Energy Information Administration (EIA) reported that the U.S. produced a record 2.2 MMb/d of ethane in July 2020, and we estimate that around a million additional barrels per day on average this year has been "rejected" into the natural gas stream at processing plants and sold (at the price of gas) for its Btu value. 

About 280 Mb/d, or 14% of total U.S. ethane production, is currently being sent to other countries, with about one-third of the exports being piped to Canadian steam-cracker customers on either the Vantage, Mariner West, or Utopia pipelines. The other two-thirds is being loaded on Very Large Ethane Carriers (VLECs) or smaller ethane carriers and floated to crackers in a number of other countries, with 63 Mb/d, on average, being shipped to India, 36 Mb/d headed for the UK, and 32 Mb/d bound for Norway. China is next — since September 2019, it has been receiving an average of 22 Mb/d of U.S. ethane, with 80% of the volumes being shipped out of Enterprise Products Partner’s Morgan’s Point export terminal on the Houston Ship Channel and the rest coming from Energy Transfer’s Marcus Hook facility near Philadelphia.