Saturday, July 3, 2010
Finally
This well has been on my watch list for quite some time. The wait was worth it. Another great Slawson well in the Big Bend: #17864, Jughead 1-126H, 1,255. Slawson acquired this lease from someone else. For other great Slawson wells in the same area, click here.
Miscellaneous Notes from Recent Daily Activity Reports
Some miscellaneous notes from recent daily activity reports (DAR).
New nomenclature:
DAR, 25 Jun 10
#17308, BR
New name
From: Meriwether 44-19H
To: Meriwether 44-19MBH
Comment: BR now telling us which pool they are targeting
New nomenclature:
DAR, 29 Jun 10
#19188, Tracker
Scanlan 17-1TH
Comment: Tracker tells us which pool, also
New name:
DAR, 29 Jun 10
#18808, EOG
Was: Wayzetta 142-03H
Now: Wayzetta 142-3019H
Comment: Planned as a short lateral; it's now a long lateral. It's my understanding companies no longer have to meet the commission to drill 1280-acre spaced units
Another 3-well pad:
DAR, 30 Jun 10
#19203 - 19205, EOG
Scandia 7-34H, 8-34H, 9-34H
SWNW 34-164N-78W
Souris oil field in Bottineau County
Another Eco-Pad:
#19190, Myrtle 3-7H
#19191, McCoy 2-18H
#19192, Myrtle 4-7H
#19193, McCoy 3-18H
Sauk-Northwest McGregor Fields
2 section 7; 2 in section 18
Williams County SWSW 7-159N-95W
New nomenclature:
DAR, 25 Jun 10
#17308, BR
New name
From: Meriwether 44-19H
To: Meriwether 44-19MBH
Comment: BR now telling us which pool they are targeting
New nomenclature:
DAR, 29 Jun 10
#19188, Tracker
Scanlan 17-1TH
Comment: Tracker tells us which pool, also
New name:
DAR, 29 Jun 10
#18808, EOG
Was: Wayzetta 142-03H
Now: Wayzetta 142-3019H
Comment: Planned as a short lateral; it's now a long lateral. It's my understanding companies no longer have to meet the commission to drill 1280-acre spaced units
Another 3-well pad:
DAR, 30 Jun 10
#19203 - 19205, EOG
Scandia 7-34H, 8-34H, 9-34H
SWNW 34-164N-78W
Souris oil field in Bottineau County
Another Eco-Pad:
#19190, Myrtle 3-7H
#19191, McCoy 2-18H
#19192, Myrtle 4-7H
#19193, McCoy 3-18H
Sauk-Northwest McGregor Fields
2 section 7; 2 in section 18
Williams County SWSW 7-159N-95W
IPs and Production From Dual Laterals
Follow this thread. I am curious what the answer might be. If only. My understanding is that each dual lateral on an Eco-Pad gets it's own permit number and its own name. When I follow the permit list, one can see four permits on one pad.
Friday, July 2, 2010
The Market Continues To Fall
I sure hope folks are using this opportunity to accumulate shares in the Bakken. I assume the market has not seen its lows quite yet, so there is still time.
131
Even for those who are getting used to "the Bakken," it must be hard for them to contain their enthusiasm when they see the number of active rigs sets yet another record.
Today, another active rig record has been set: 131 active rigs in North Dakota.
(The following has not been updated; it was posted when the record was about 125; I forget the exact number. The gist of the comments remain valid, although I have not completely re-read this.)
I think the number of active rigs will level off at 130 +/- 5.
Interestingly, one of the most visible Bakken players has not participated in this run-up. During the past nine months or so when the number of active rigs has increased significantly, BEXP has remained steady at five (5) rigs. Continental Resources (CLR), by the way, has increased its number of rigs from five (5) to eighteen (18). I count seventeen active CLR rigs today. I may have miscounted "the 18" -- time will tell.
The point is that BEXP has been reporting some monster wells based on 24-hour flowback numbers but it surprises me that the company hasn't followed through with increasing the number of rigs in North Dakota. This will keep their CAPEX costs down, and should result in some great near-term quarterly reports.
There are two basic business models in the Bakken: own/lease your own rigs, or take a working interest and partner with an operator. Some do both.
Of the former, WLL, CLR, and KOG are most exciting for me. I own shares in one of these. [Update, February 12, 2011: At the time I originally posted this, I owned shares in CLR; I now own shares in WLL and KOG] I can make cases for all three: WLL seems best poised for spectacular results based on its concentration in the prolific Sanish. CLR, as noted above, is putting its money where its mouth is by tripling the number of active rigs -- the most of any Bakken operator. KOG is a little company with greater upside. It is concentrated in the reservation and activity there was delayed due to bureaucratic inefficiency at the Federal level. That has been resolved and KOG should do very well this year and next. American Energy (AEZ; 2 active rigs today) cannot be forgotten either; it is in a period of transition, selling all assets in Wyoming and becoming a Bakken pure play company. [Update, February 12, 2011: AEZ was bought out by Hess in 2010.]
Of those whose business model is as a partner (general term, not legal term), NOG and USEG come to mind.
But don't forget: there are other ways to play the Bakken. MDU is a diversified utility in the Bakken; ENB is an important pipeline play in the Bakken; and then there is the Medora Musical (a great play with lots of energy, but not hydrocarbon).
Today, another active rig record has been set: 131 active rigs in North Dakota.
THE REST IS A "CUT AND PASTE" OF A PREVIOUS POST
(The following has not been updated; it was posted when the record was about 125; I forget the exact number. The gist of the comments remain valid, although I have not completely re-read this.)
I think the number of active rigs will level off at 130 +/- 5.
Interestingly, one of the most visible Bakken players has not participated in this run-up. During the past nine months or so when the number of active rigs has increased significantly, BEXP has remained steady at five (5) rigs. Continental Resources (CLR), by the way, has increased its number of rigs from five (5) to eighteen (18). I count seventeen active CLR rigs today. I may have miscounted "the 18" -- time will tell.
The point is that BEXP has been reporting some monster wells based on 24-hour flowback numbers but it surprises me that the company hasn't followed through with increasing the number of rigs in North Dakota. This will keep their CAPEX costs down, and should result in some great near-term quarterly reports.
There are two basic business models in the Bakken: own/lease your own rigs, or take a working interest and partner with an operator. Some do both.
Of the former, WLL, CLR, and KOG are most exciting for me. I own shares in one of these. [Update, February 12, 2011: At the time I originally posted this, I owned shares in CLR; I now own shares in WLL and KOG] I can make cases for all three: WLL seems best poised for spectacular results based on its concentration in the prolific Sanish. CLR, as noted above, is putting its money where its mouth is by tripling the number of active rigs -- the most of any Bakken operator. KOG is a little company with greater upside. It is concentrated in the reservation and activity there was delayed due to bureaucratic inefficiency at the Federal level. That has been resolved and KOG should do very well this year and next. American Energy (AEZ; 2 active rigs today) cannot be forgotten either; it is in a period of transition, selling all assets in Wyoming and becoming a Bakken pure play company. [Update, February 12, 2011: AEZ was bought out by Hess in 2010.]
Of those whose business model is as a partner (general term, not legal term), NOG and USEG come to mind.
But don't forget: there are other ways to play the Bakken. MDU is a diversified utility in the Bakken; ENB is an important pipeline play in the Bakken; and then there is the Medora Musical (a great play with lots of energy, but not hydrocarbon).
Subscribe to:
Posts (Atom)