Random Look At A Bakken Well -- Delay In Production Following Fracking / Testing -- December 11, 2014

I'm sure there are simple explanations for all these things, but when I come across something like this, it certainly suggests I know less than 1% (or even much less) of everything that is occurring in the Bakken.

Take a look at this well:

• 20815, 325, CLR, Lindell 3-10H, Stoneview, Bakken, 4-section spacing; Stoneview, 30 stages, 3.0 million lbs sand/ceramic; gas maxed at 945 units, t3/12; cum 110K 10/14;

It was tested March 25, 2012.

It was stimulated (fracked) several months earlier, December 18, 2011.

One would assume that it would have some pretty good production in the first month following fracking; and certainly some great production the first month after testing.

But look at the production profile for this well for the first twelve months:

BAKKEN	10-2012	31	7026	6832	6769	20298	20298	0
BAKKEN	9-2012	30	8869	9049	7249	20320	20320	0
BAKKEN	8-2012	31	10741	10893	7343	14464	14464	0
BAKKEN	7-2012	31	11134	11510	6981	11482	11482	0
BAKKEN	6-2012	27	12808	11822	10298	12265	12245	20
BAKKEN	5-2012	0	0	0	0	0	0	0
BAKKEN	4-2012	1	33	0	2	73	0	73
BAKKEN	3-2012	1	0	0	48	0	0	0
BAKKEN	2-2012	0	0	0	0	0	0	0
BAKKEN	1-2012	0	0	0	0	0	0	0
BAKKEN	12-2011	0	0	0	0	0	0	0
BAKKEN	11-2011	0	0	0	0	0	0	0

So, this well was fracked in December, and had no production for the next several months. Nada, zilch, zero.

Even after it was tested in March, there was almost no production; in fact, in May, two months later, there was again absolutely no production, not even one bbl.

But, I guess on June 3, 2012, or thereabouts, they opened the spigot, and lo and behold, almost 13,000 bbls of bubbling crude over the next 27 days.

By the way, this is an "old" well by Bakken standards, spud back in 2011, and yet look at the spacing: 2560-acre spacing. I've always thought 2560-acre spacing was fairly recent. 

Beverly Hillbillies Theme

Billionth Barrel Of Crude Oil -- December 11, 2014

Do folks remember this subject line?

Eagle Ford Produces Its One-Billionth Bbl Of Oil; Most Of It In The Past Two Years -- December 5, 2014 

North Dakota has its own bragging rights. In a much, much smaller geographic area of drilling, North Dakota:

• struck oil in April, 1951
• produced its first billionth bbl of oil in October, 1989 (38 years)
• produced its second billionth bbl of oil in November, 2011 (22 years)
• will produce its third billionth bbl of oil sometime in 2015 (4 years)

For the entire presentation, go to the NDIC website at this link; when you get there, click on / open the fourth presentation, dated 8-6-14 (August 6, 2014), titled, "ND Update."

The "billionth barrel" slide is slide #3.

Having said that: it is quite incredible that the Eagle Ford, a newly discovered field, hit one billion bbls of oil in two years or thereabouts. Besides the technical achievement, it took a lot of cooperation among state and local politicians; state residents; surface owners; oil companies; oil service companies; local, state, and federal environmental agencies, etc., etc., to make this happen.

By the way, just for grins, go back to that linked NDIC August, 2014, presentation and look at slides #28, #29, and #30. Slide #28 is BEFORE, #29 is DURING, and #30 is AFTER -- #28 before the wells went in; #29 where the wells were, and #30, where the wells are now. Imagine those three same slides with thousands of wind turbines that will be there "forever" once they are put in. That's the future of North Dakota in Algore's mind, a wind farm state. He lives in in a McMansion in Tennessee.

Reminder: Some Very Old Links Are Broken -- But Are Recoverable

Remember: this site was hacked a long time ago.

I had to change the URL very slightly to recover all the posts.

If you are going back to old entries, and if you click on a link that says the page is no longer there and it's a milliondollarway post, it's probably there.

Look at the URL. If it's a "http://milliondollarway.blogspot.com" or some variation of that, change that portion to:

http://themilliondollarway.blogspot.com

Sometimes there are other errors in the URL that doesn't work. The "http://themilliondollarway.blogspot.com" should work. I correct them as I find them.

If you find one and it matters to you, and can't get it to work, let me know and I will see what I can do.

Links to old sites at other websites are often gone broken for any number of reasons; those I can do nothing about.

Re-Fracking Article Over At Seeking Alpha -- December 11, 2014

The article will get a lot of google hits, but it says almost nothing about re-fracking that is actionable or useful and says nothing about the Bakken. I think I have more about re-fracking in the Bakken than he does -- there is a "re-fracking" tag and a "re-entry" tag at the bottom of this blog.

Here's the link.

A reader provided this link also, but it, too, has very little information. 

7/10 Of New Wells To DRL Status; Twenty-Two (22) Permits Canceled; Fourteen (14) New Permits -- North Dakota, USA -- December 11, 2014; Buffett Finally Sells More Of His COP

Twenty-two (22) permits canceled -- these are relatively recent permits; suggests that cancellations are due to slump in oil prices:

Legacy (1), EOG (1, Burke), Ballantye (1), Whiting (2, Mountrail, Billings), WPX (1, Mountrail),  Petro Harvester (3, Burke), Fram Operating (Renville), PetroHunt (1, Billings), Statoil (1, McKenzie), OXY USA (1, Dunn), Thunderbird (1, McKenzie), Samson Resources (1, Divide), True Oil (5, McKenzie), Corinthian (1, Bottineau), QEP (1, Dunn - Heart Butte)

Three (3) producing wells completed:

• 24916, 819, Petro-Hunt, State of North Dakota154-99-16B-3H, Stockyard Creek, t11/14; cum 7K 10/14;
• 26937, 768, Hess, SC-Norma-154-98-0706H-4, Truax, t11/14; cum --
• 28067, 669, Hess, EN-State C-156-93-1615H-9, Alger, t11/14; cum -- 

Two temporarily abandoned:

• 09749, TA, OXY Little Knife, LLC, Loh "A", Little Knife, a Madison well, hasn't produced since 8/13; t11/82; cum 254K 10/14;
• 25372, TA, OXY USA, George Palmer 1-11-141-94, wildcat, Stonewall/Siluirian/Precambian; it's an exploratory well; in the future will test Upper Interlake, Red River, and "possibly other zones"; located in southwest North Dakota, near Murphy Creek, 14 miles northeast of Dickinson; application permit suggest Red River as the target; s6/13;

Wells coming off confidential list Friday:

• 23271, 673, CLR, Yvette1-4H, St Demetrius, t9/14; cum 19K 10/14;
• 25588, drl, Whiting, Moccasin Creek 14-33-28-4H3, Moccasin Creek, no production data,
• 26066, drl, XTO, Arley 21X-18F, Grinnell, no production data,
• 26273, drl, CLR, Rehak Federal 6-25H1, Alkali Creek, no production data,
• 27282, drl, Petro-Hunt, Brenna 152-96-22D-14-1HS, Clear Creek, no production data,
• 27565, 738, Triangle, McCabe 150-101-24-13-3H, Rawson, t6/14; cum 47K 10/14;
• 27566, 909, Triangle, McCabe 150-101-24-13-4H, Rawson, t6/14; cum 53K 10/14;
• 27700, drl, BR, Haymaker 31-15TFH-A, Elidah, no production data,
• 27973, drl, EN-Trinity-154-93-2833H-9, Robinson Lake, no production data,
• 28201, drl, SM Energy, Dallas 2X-13H, Poe, producing, 7K in 2nd full month;

Active rigs:

	12/11/2014	12/11/2013	12/11/2012	12/11/2011	12/11/2010
Active Rigs	186	192	183	200	166

Wells coming off the confidential list today were posted earlier, see sidebar at the right.

Fourteen (14) new permits --

• Operators: EOG (5), Oasis (5), XTO (4), Petro-Hunt
• Fields: Parshall (Mountrail), Baker (McKenzie), Lindahl (Williams), Charlson (McKenzie)
• Comments:

*******************************

Buffett Finally Sells More of His COP 

Link here. Still has some. Not much.