Wednesday, April 10, 2013

Wells Coming Off The Confidential List Thursday; Of 15 Wells Coming Off The List, Nine Are Oasis; OXY With An IP of 23; Oasis With Several Great Wells

Undeserved commentary, I suppose
Note the OXY USA well that reported today (see below). The IP is just about as low as I've seen for a Bakken well, excluding dry holes. That well was tested in September, 2012. Now, almost 6 full months later, that well has produced less than 8,000 bbls of oil. It is my impression, and I could be wrong, that the average Bakken well tested in the last six months will produce more than 8,000 bbls the first full month of production. That's probably an exaggeration, but probably not far off. This well had two things going against it: a) it's in the Dimond oil field which is anything but a diamond among Bakken fields; and, b) it was drilled by OXY USA who seems to have a knack for reporting these results.
Wells coming off the confidential list, Thursday, April 11, 2013:
  • 21011, 1,263, Zenergy, Owan 23-26H, Painted Woods, t2/13; cum 18K 2/13;
  • 22177, 23, OXY USA, Split Ridge 1-2-1H-160-91, Dimond, t9/12; cum 8K 2/13;
  • 22389, 629, Hess, BW-Norgard 149-100-1102H-1, Ellsworth, t3/13; cum 2K 2/13;
  • 22425, 1,677, Whiting, Norgard 41-13H, Ellsworth, t10/12; cum 40K 2/13;
  • 22438, 955, Oasis, M Lee 5793 42-11H, Sorkness, t11/12; cum 18K 2/13;
  • 22676, 1,468, Oasis, Blanchet Federal 5693 41-28H, Alger, t11/12; cum 32K 2/13;
  • 22751, 905, Oasis, Jenna 5604 13-1H, Bull Butte, the Kalil field, t11/12; cum 11K 2/13;
  • 23046, 271, Oasis, Connie 6093 14-5H, Gros Ventre, t11/12; cum 12K 2/13;
  • 23204, 698, Oasis, Aubrey 5304 41-22H, Ft Buford, t11/12; cum 18K 2/13;
  • 23230, 2,734, Oasis, Ash Federal 5300 11-18T, Baker, t11/12; cum 44K 2/13;
  • 23274, 792, Oasis, J Cory 5602 41-10H, Bonetrail, t11/12; cum 25K 2/13;
  • 23392, 447 Oasis, Bull Moose 6093 13-4H, Gros Ventre, t11/12; cum 14K 2/13;
  • 23476, 2,513, Oasis, Whitten 5393 11-3B, Sanish, t12/12; cum 51K 2/13;
  • 23490, 38, Surge, Scandia 1S SENE 34 02 SENW 35H, Souris, a Spearfish/Madison, t12/12; cum 7K 2/13;
  • 23805, drl, CLR, Lystvedt 1-9H, Upland,

Huge Story For North Dakota; Bigger Story For Bismarck -- This Is Really A Great Story -- Bobcat Is Back in Bismarck -- Bigger Than Ever -- In a Sense, I Think It's the Biggest Bakken Story of the Week

KXNET is reporting:
It was a big blow to the city when Bobcat left Bismarck in 2009.
Company heads said it was to regroup, and focus on operations elsewhere.
This time, they say it's different. "Bobcat is here to stay. In particular, for Bismarck, it's great news. We've gone through this extensive renovation, where we've gone through the offices and the factory floor. We've, in addition to that, we've brought new product into this facility to be built here. I'm also looking out and looking forward to what other opportunities exist to further our footprint here in North Dakota and Bismarck, in particular," says Kuhn.
I can't recall, but I think I recall blogging a lot about Bobcat, its trials and tribulations back in 2009. A big "thank you" to Don for updating the status of Bobcat. I was unaware of this. This really is a big deal.

The history of the Bobcat is at wiki

New Pipeline Operator in the Bakken -- At Least The First Time I've Heard This Name In The Bakken

Oil & Gas Journal is reporting:
CenterPoint Energy Bakken Crude Services LLC (CEBCS), an indirect, wholly owned subsidiary of CenterPoint Energy Inc., has entered into a long-term agreement with XTO Energy Inc., a subsidiary of ExxonMobil Corp, to gather XTO’s crude oil production through a new crude oil gathering and transportation pipeline system in North Dakota's Bakken shale. The agreement with XTO is the first entered into from an open season announced by CEBCS Feb. 19.
There are several story lines here. Think about this one. 

Presidential Approval of the Keystone XL Is Not a Slam Dunk

Even the House has deep divisions. Oil & Gas Journal reporting.
A hearing on US Rep. Lee Terry’s (R-Neb.) bill to congressionally authorize construction of the final portion of the proposed Keystone XL crude oil pipeline revealed how wide the gap has grown between the viewpoints of the project’s proponents and opponents.
Proponents reiterated that US failure to authorize construction would force Alberta oil sands producers to pursue other export routes. Opponents maintained that oil sands development economics have grown so expensive that the permit’s denial would significantly slow down—and possibly even halt—further oil sands development there.
A senior US House Energy and Commerce Committee member also warned that congressional approval of HR 3 could result in legal challenges that would delay the project’s construction longer than letting the US Department of State’s review of Keystone XL’s revised application proceed.
“This bill would circumvent the established process and open the projects to a plethora of lawsuits,” warned US Rep. John D. Dingell (D-Mich.). “Instead of legislative approval where it’s not needed, this committee should be focusing on steps to make certain this project moves forward without creating more opportunities for litigation.”
Terry said his bill is definitely necessary. “Not until Congress became involved 2 years ago did the administration even begin to move on this,” he said in his opening remarks at the Apr. 10 hearing by the committee’s Energy and Power Subcommittee. “Here we are, April 2013, still mired in the process. My bill would put an end to that.”
I'm starting to lose the bubble on this. Too many chefs getting into the soup. Some argue that the bill is not even necessary; just let the SecState / Presidential process run its course. 

Six (6) New Permits -- The Williston Basin, North Dakota, USA -- Active Rigs Jump Back to 190

Active rigs: 190 (nice; predicted by a reader some time ago; when we were around 180, a reader said we would get back to 190; had the data)

Six (6) new permits --
  • Operators: XTO (2), G3 Operating, Petro-Hunt, OXY USA, American Eagle
  • Fields: West Capa, Antelope, Stockyard Creek, Colgan
  • Comments: OXY USA has a wildcat in Dunn County.
It appears NDIC did not report IPs for wells coming off confidential list today. I could be wrong but I did not see any reports.

The daily activity report was very short
: six new permits, one permit canceled, two sites resurveyed.