Daughter Well With Huge Jump In Production -- This Is What The Bakken Is All About -- January 10, 2022

Two producing wells (DUCs) were reported as completed today. Let's take a look at this one:

• 37857, 2,616, MRO, Morgan USA 21-5TFH, Reunion Bay, first production, 9/21; t--; cum 92K 11/21; more on this one later. 

Before we begin, some observations:

• MRO is probably the most exciting operator in the Bakken right now; they've held that distinction for several years at least by one parameter;
• MRO has an incredible re-frack program in at least two fields, the Bailey and Reunion Bay;
• when MRO fracks daughter wells, one almost expects to see huge jumps in production in their older, neighboring wells;

So, now, back to today. Today, this DUC was reported as completed:

Two producing wells (DUCs) reported as completed:

• 37857, 2,616, MRO, Morgan USA 21-5TFH, Reunion Bay, first production, 9/21; t--; cum 92K 11/21; more on this one later.

This well is on a two-well pad; I assume both are completed; we will look at the second well on that pad later. 

I was more curious about the daughter well  running parallel to the two new wells:

• 18230, 552, MRO, Fisher USA 21-5H, Reunion Bay, t11/09; cum 471K 11/21.

This well was drilled back in 2009.

Note recent production, this past year. Note: 38,379 bbls in 20 days extrapolates to almost 58,000 bbls over 30 days:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	11-2021	30	38482	38563	28639	49590	46586	0
BAKKEN	10-2021	27	27469	27209	26045	31739	29597	0
BAKKEN	9-2021	30	39331	39775	54097	47402	44308	0
BAKKEN	8-2021	20	38379	37758	91402	40602	36590	1676
BAKKEN	7-2021	0	0	0	0	0	0	0
BAKKEN	6-2021	0	0	0	0	0	0	0
BAKKEN	5-2021	0	0	0	0	0	0	0
BAKKEN	4-2021	16	823	1245	224	790	629	19
BAKKEN	3-2021	31	1749	1849	346	1649	1359	0
BAKKEN	2-2021	28	1684	1587	328	1735	1197	270

This was the best this well had ever done previously, shortly after it was first drilled back in 2009:

BAKKEN	2-2010	20	3551	3549	825	3123	0	3012
BAKKEN	1-2010	18	4413	4845	1415	3839	0	3740
BAKKEN	12-2009	31	7449	7313	1738	6332	0	6332
BAKKEN	11-2009	30	10923	10950	4143	9285	0	9285
BAKKEN	10-2009	10	4077	3432	4592	3465	0	3465

Hubbert's theory says this will not happen.

In the last four months, this well produced 143,6621 bbls of crude oil. Total oil produced prior to these last four months: 327,393 bbls.

• 143,662 / 327,393 = 44%. 
• 143,662 / 471,054 = 30%.

So, in the past four months, this well that was drilled almost twelve years ago, produced 30% of its total production to date, and, it produced 44% more of what it has produced in twelve years. That was in four months, and all it cost was the cost of a re-frack. 

The infrastructure was already in place, and the well had already been drilled. 

Well, I think one gets the picture. 

I could say more but I would be accused of gilding the lily. 

Oh, one more thing, this well has long paid for itself, and even if it hadn't, the costs were sunk costs and all has been long forgotten.

Now, back to that other well on the two-well pad:

• 37856, holy mackerel, another nice well, loc/NC, MRO, Evans USA 11-5TFH, first production, 9/21; t--;  cum 113K 11/21; note, 56,135 bbls over 29 days extrapolates to 58,071 bbls of crude oil:

ool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	11-2021	29	29112	29284	25687	36858	34593	0
BAKKEN	10-2021	29	27703	27514	29024	32988	30832	0
BAKKEN	9-2021	29	56135	55883	57490	63573	59219	0
BAKKEN	8-2021	1	0	0	26	0	0	0

There's another MRO four-well pad to the east and so much activity in the area, it would take weeks to get it all posted, and that could only be done if NDIC data was up-to-date but their map is apparently out-of-date since July, 2021, last summer.