The Million Dollar Way (The Bakken Oil Blog)

Monday, March 21, 2022

Japan Scrambles -- I'm Calling It A Night But Leaving Something On The Table For Tomorrow -- March 21, 2022

Link here.

Enerplus Has Another Nice Well In Eagle Nest -- March 21, 2022

This well is on a 12-well pad.

The well:

22301, SI/NC-->SI/A, Enerplus / Bruin, FB Belford 148-95-22D-15-3B, Eagle Nest, first production, 6/21; t--; cum 193K 1/22;

Production:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	1-2022	28	10905	11099	5871	19350	13815	1704
BAKKEN	12-2021	29	12916	12721	9009	18737	16885	1852
BAKKEN	11-2021	30	14520	14537	11066	21747	19049	2545
BAKKEN	10-2021	31	23999	23939	12831	42918	34129	4804
BAKKEN	9-2021	29	25592	25709	8339	38079	30411	3209
BAKKEN	8-2021	31	31608	31586	16561	38864	33199	3561
BAKKEN	7-2021	27	31950	32004	20584	33191	28921	4270
BAKKEN	6-2021	22	41192	40643	45859	41111	26643	13138
BAKKEN	3-2021	0	0	0	0	0	0	0

On that pad, a couple of older wells on AB list, but the oldest well was offline for almost two years. but is now back on line with a small but significant jump in production. This well plateaued at 1,800 bbls/month, in 3/19, then off line until 11/21 when its production jumped to 4,500 bbls/month where it remains as of 1/22;

The well:

18968, 875, Enerplus, Fort Berthold 148-95-22D-15-1H, Eagle Nest, t9/12; cum 326K 1/22;

WTI Monday Evening -- Trading Over $114 -- March 21, 2022

Oil:

At the close today:

Brent: up 8%; up $8.68; closed at $116.60.
WTI: up 7.63%; up $8.00; closed at $112.70

Later, after hours:

6:26 p.m. CT: WTI up another $1.20; now trading at $113.30.
7:10 p.m. CT: WTI at $113.60.
7:12 p.m. CT: WTI at $113.80
7:21 p.m. CT: WTI up $2.21, now trading at $114.30.

Oil Surges; It Feels "Real" This Time -- March 21, 2022

Buffett:

cash hoard said to be about $147 billion at end of 2022.
Alleghany deal: $12 billion
will it be bought using that cash hoard or will the deal be financed?
first large acquisition since 2015, Precision Castparts

Russian oil:

earlier, some readers thought Russia would be a desirable source for oil

I'm sure that's true; India is said be buying Russian oil at a discount
but now a headline story that Saudi Arabia remains the lead supplier of oil for China

it really is quite amazing; three countries supply the bulk of oil (Russia, Saudi Arabia, US)

most agree that none of the three have significant "spare capacity"
several countries with large demand for oil are releasing oil from their SPRs

literally, overnight one of the "big three" (Russia) is cut off;

everything will probably work out just fine if one's an optimist but one certainly gets the feeling this (the oil supply / demand ratio) could go sideways very easily, very quickly;
it seems it wouldn't take much to really spook the already "tense" markets
I think this is going to be absolutely fascinating

Oil:

Brent: up 8%; up $8.68; closed at $116.60.
WTI: up 7.63%; up $8.00; closed at $112.70
Later, after hours:

6:26 p.m. CT: WTI up another $1.20; now trading at $113.30.
7:10 p.m. CT: WTI at $113.60.
7:12 p.m. CT: WTI at $113.80.

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Back to the Bakken

Active rigs:

$112.70	3/21/2022	03/21/2021	03/21/2020	03/21/2019	03/21/2018
Active Rigs	35	16	51	67	59

No new permits.

Three producing wells (DUCs) reported as completed:

36210, 2,067, XTO Energy, FBIR 34X-25C, Heart Butte, minimal production;
36208, 3,103, XTO Energy, FBIR Baker 34X-25D, Heart Butte, minimal production;
38424, 60, Crescent Point Energy, CPEUSC Reed 6-10-03-100W-MGH-11,

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Older Wells On that XTO Baker Pad

The wells:

19292, t7/11; cum 238K 1/22; was taken off line 9/21; back on line 1/22 for two days;
23393, t1/13; cum 244K 1/22; was taken off line 9/21; back on line 122 for three days;
23394, t1/13, cum 278K 9/21 was taken off line 9/21; remains off line as of 1/22;
19293, t7/11, cum 404K 9/21; was taken off line 9/21; remains off line as of 1/22;
23395, t1/13; cum 260K 9/21; was taken off line 9/21; remains off line as of 1/22;

The WPX Spotted Wolf Wells In Eagle Nest -- Update -- March 21, 2022

These wells are tracked here.