In reply to the post on the Ovintiv Rolfsrud well, a reader and regular correspondent sent me this note:
Just as a reminder, at current market prices, these Bakken wells are producing some serious revenue.
100,000 barrels of oil at $100 per gives gross revenue of ten million bucks.
Likewise, natgas at $5 per 1,000 cubic feet gives half a million bucks for each hundred million cubic feet.
That Ovintov Rolfsrud well today produced ~220,000 barrels of oil and ~730,000,000 cubic feet of gas in its first 8 months.
This would have produced over $25 million at $100/$5 WTI/HH.
If one uses an $8 million dollar cost to D&C a Bakken well, one can see just how financially worthwhile these wells have become.
Amongst other ramifications, the productive footprint for North Dakota wells - indeed, ALL the 'shale' plays - has been vastly expanded.
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