The Discussion Begins Regarding Water Flooding in the Bakken

Updates

February 5, 2015: see updates for these wells at this post. 
 

Original Post

Link here.

Bakken wells permitted for water injection (I will only post the first 100):

• 16986, A/PWI/1,347, EOG, Parshall 20-03H, s1/08; t 5/08; AL; cum 258K 9/16; short horizontal. See update here; request to convert from water injection to gas injection.
• 17170, A/PWI/667, EOG, Wayzeta 4-16H, Parshall, Bakken, s4/08; t7/08; cum 461K 9/16; -- pretty impressive -- update here (same link as above) no pump; >300K after 3 years; a short lateral; 6 frack stages (?);

By the way, this should spawn some other discussion. the Parshall 20-03H well was a short horizontal and yet it is 1280-acre spacing.

White House Approves TransCanada's Plan for Keystone Lite -- Literally Praising the Canadian Proposal

The president literally praises TransCanada's proposal to pump $2.3 billion into a shovel-ready job that will put thousands of Americans to work in the southern states going into the 2012 election. Literally praising TransCanada.

President Barack Obama "welcomes" TransCanada's decision to build a pipeline to bring crude oil from Cushing, Oklahoma, to the Gulf of Mexico. "As the President made clear in January, we support the company's interest in proceeding with this project, which will help address the bottleneck of oil in Cushing that has resulted in large part from increased domestic oil production, currently at an eight year high. Moving oil from the Midwest to the world-class, state-of-the-art refineries on the Gulf Coast will modernize our infrastructure, create jobs, and encourage American energy production," the White House said in a statement.

Wow, just think: this pipeline will modernize our infrastructure, create jobs, and encourage American energy production. Wow. Just think what Keystone XL would have done.

Note: this is just the pipeline from Cushing, OK, to the Gulf.

One has to ask why TransCanada didn't do this all along. Once the Canadian-Montana leg is approved after the election, the next fight will be in Texas. My understanding is that the Texas ranches, the Sierra Club and other faux-environmentalists will do what they can to stop the pipeline going through Texas. I believe the proposed pipeline runs perilously close to the Edwards Aquifer underlying the second-largest city in Texas, San Antonio. TransCanada is smart to get this southern route completed.

CNBC Talking Head: Iranian Embargo Does Not Go Into Effect for a Couple of Months

Operation Incredibly Loud and Extremely Close

Updates

May 3, 2012: so where do "we"stand with regard to India and Iran? India says it will cut  back on Iranian oil imports by 15% this financial year. Whoop-de-do. Iran is now exporting at the lowest level since 1990, following the Iran-Iraq war, down 150,000 bbls (in two months) to 3.2 million bbls/day. (At same link.) Is it just me, or does 150,000 bopd out of 3.3 million not seem like such a big deal with Brent oil priced where it is?

May 3, 2012: So much for global sanctions on Iran. India continues to flip-flop. First said it would ignore sanctions; then said it would abide by them; now insuring the Iranian tankers when others won't.

The Indian government has offered to insure as much as $50 million for any "Indian flag carriers" traveling to Iran. This amount falls well short of the actual liability incurred by oil tankers on any given trip, but it comes to more than six times as much as the Japanese government has offered its companies, illustrating India's interest in continuing the flow of Iranian oil.

April 17, 2012: does anyone really think Iran is selling less oil? At PennEnergy:

In the wake of the recent failed missile test in North Korea, cracks are also forming in U.S. and European efforts to contain access to nuclear technology on the other side of the continent.

Reuters reports that Iranian oil tankers have been circumventing sanctions against the country by operating without the normal electronic tracking and identification equipment, allowing them to transport oil to clients secretly.

Of the 39 oil ships that make up Iran's tanker fleet, only nine are currently operating with their black boxes active, allowing the AIS Live tracking system to monitor them.

One hour later after original post: a reader (Don) wrote to tell me that the embargo goes into effect July 1, 2012. I responded:

Three confounding factors July 1:

1) it's always possible, compromises will be worked out that will allow Iran to sell its oil on the open market

2) buyers will have found alternate sources and will have adapted to 3.5 million bbl/day shortfall

3) peak driving season, making it difficult to adapt to the 3.5 million bbl deficit

Oh, yes, one other factor:

4) Operation Incredibly Loud and Extremely Close --- this would be the Israeli attack on Iran. 

Original Post

I missed it, but I think he said the Iranian oil embargo will go into effect in June, 2012.

SeekingAlpha: Six Value Energy Stocks

Link here.

Companies mentioned: Tesoro, EOG, BHI, Nabors, Denbury, Peabody Energy (BTU).

Note disclaimer at sidebar at the right; this is not an investment blog.

Active Rigs Back to 205: Ties Record

Link here. A dynamic link; numbers will change over time.