This Is Why U-Haul Trailer Lots Are Overwhelmed In Texas -- July 18, 2018

I'm hoping some of the local television networks pick up on the U-Haul story. It would make a great visual. All those U-Haul truck- and trailer-lots overflowing with orange-and-white U-Hauls.

I knew the US was going to become #1 in crude oil production, but I completely missed this story.

A sharp-eyed reader caught it.

Texas is about to overtake both Iran and Iraq in crude oil production. In doing so, Texas will become the world's third-largest crude oil producer. And that's despite the lack of takeaway capacity that is gumming up the works. From The Hill:

Texas's oil industry is set to surpass Iraq and Iran to become the third-largest oil producing region in the world, behind only Russia and Saudi Arabia.

CNN Money reports that HSBC Bank predicted in a recent report that the state's explosive growth in oil production over the last two years could result in Texas passing the two Organization of the Petroleum Exporting Countries (OPEC) members as oil prices rise around the world.

"It's remarkable. The [Permian Basin oil field] is nothing less than a blessing for the global economy," Bob McNally, president of Rapidan Energy Group, told CNN.

The surge in production comes just two years after the oil fields in Texas were seeing much lower production levels at the tail end of the Obama administration, according to CNN.

"In 2014, it was amazing. 2016 was down in the dumps. Two years later, it's back to crazy," Texas railroad commissioner Ryan Sitton told the news network.

Production cutbacks in Russia and OPEC nations have also led to a rise in U.S. oil prices, a boon for the economy as companies in Texas struggle to find qualified workers and the infrastructure required to support the surge.

"To say there's a shortage of bodies is an understatement," Jeff Bush, president of CSI Recruiting president, told CNN. He said lower production under the Obama administration had left companies struggling to adjust to the economic boom in time.

And if it's on CNN, it must be true. LOL.

Much more at the link. 

By the way, I have not posted it, but a very, very credible roughneck with decades of experience comments at another oil blog. He suggests, with some authority, that the Paradox Basin will be even bigger than the Permian. For those who have forgotten, the most productive onshore well drilled in 2012 was in the Paradox Basin. The Paradox Basin is "on hold" for various reasons.

Peak oil? I don't think so. 

The Political Page, T+48; This Deserves A Stand-Alone Post -- Nothing About The Bakken -- July 18, 2018

The US Senate breaks an all-time record:

Senate Republicans broke a record on Wednesday for the number of appeals court judges confirmed during a president's first two years. 

Senators voted 50-49 on Andrew Oldham's nomination to be a judge on the 5th Circuit, making him Trump's 23rd circuit court judge confirmed since he took office last year.

That breaks the previous record set by President George H.W. Bush, who got 22 appeals court judges confirmed during his administration's first two years.

"The Senate continues to confirm impressive nominees whom President Trump has asked to serve our country," Senate Majority Leader Mitch McConnell (R-Ky.) said on Wednesday. "[Oldham] comes highly recommended by colleagues and peers from across the spectrum." 

Republicans have rushed to confirm Trump's nominees for the key bench, letting the party shape the direction of the U.S. court system for decades.  

"I think of the things that we've been able to do with this Republican government the last year and a half, the single most long-lasting, positive impact we'll be able to have on the country is the judiciary," McConnell told reporters in Kentucky late last week.

Democrats and allied outside groups have blasted Republicans' steady pace of confirming Trump's circuit court nominees. 

"Given his lack of judicial experience and blatantly political record, litigants who come before Mr. Oldham in court will understandably question whether they are getting an impartial judge," Sen. Dianne Feinstein (D-Calif.) said in a statement. 

She added that Oldham's record "could not be more extreme and overtly political." 

Jake Faleschini, the director of the Federal Courts Program at the Center for American Progress, added that "Oldham is yet another young right-wing firebrand who has spent his career pushing a damaging, partisan agenda."

But Democrats are essentially powerless to stop Trump's judicial picks unless they can win GOP support.

Much, much more at the link. 

GOP: doing the work of the people, President Bill Clinton would say, no doubt. 

The screenshot above was taken from Twitter, which in turn was taken from The American Spectator at this link.

CLR's Pittsburgh / Uhlman Federal Wells In Banks Oil Field

Updates

March 15, 2020: look at the initial production data for these incredible Uhlman / Pittsburgh wells.
 

Original Post

For newbies: these are incredible wells and an incredible location. We're starting to see a few more Three Forks upper bench wells, but not many, and Bakken operators haven't even begun to "scratch the surface" when it comes to the lower benches of the Three Forks.

If you "have" one well in any given drilling unit in the Bakken, you will eventually have four; you very likely will have eight; you might have twelve; and in the very good areas of the Bakken you may have upwards of 24 wells or more.

The daily activity report of July 18, 2018, highlighted CLR's Pittsburgh / Uhlman Federal drilling units.

This post is where the CLR's Pittsburgh and Uhlman Federal well will be tracked.

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

The Pittsburgh / Uhlman Federal Wells

The graphic:

The three older wells:

• 28737, 1,423, CLR, Uhlman 1-7H, Banks, t1/15; cum 530K 9/20; no evidence this well has been re-fracked (no sundry form; FracFocus); SWSE 7-152-99. Posted at "Wells of Interest." It's an interesting well. Went IA and off line as of 5/19; remains off line 7/19; back on line 9/19; minimal production over 6 days; huge jump in production, 10/19; cum 544K 4/21;
  

Monthly Production Data:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	5-2018	31	4436	4491	3655	6089	5370	501
BAKKEN	4-2018	30	5626	5938	6020	7335	6836	259
BAKKEN	3-2018	19	2939	2473	4693	3998	3826	38
BAKKEN	2-2018	23	3491	3681	5708	6194	136	5881
BAKKEN	1-2018	22	3552	3173	9364	7376	0	7202
BAKKEN	12-2017	0	0	0	0	0	0	0
BAKKEN	11-2017	2	4	205	0	0	0	0
BAKKEN	10-2017	31	2859	3207	1601	5946	5779	39
BAKKEN	9-2017	29	5515	5402	3730	12322	11670	434
BAKKEN	8-2017	31	6631	6543	3935	14745	14468	31
BAKKEN	7-2017	31	6454	6195	4002	12385	11844	300
BAKKEN	6-2017	30	5715	5794	3760	11133	10570	340

The second:

• 19797, 729, CLR, Pittsburgh1-19H, t6/11; cum 393K 9/20; went IA and off line as of 5/19. One day of production, 9/19. Note recent production profile, below. Now back on line, as of 10/19; cum 397K 4/21;
  

 Monthly Production Data:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	5-2018	31	6504	6628	5575	8864	8864	0
BAKKEN	4-2018	30	7071	7087	5836	8126	8126	0
BAKKEN	3-2018	20	5194	4953	4478	6820	5666	1154
BAKKEN	2-2018	28	6359	6335	5540	8116	8116	0
BAKKEN	1-2018	23	8478	8198	7621	7564	7564	0
BAKKEN	12-2017	0	0	0	0	0	0	0
BAKKEN	11-2017	15	710	1010	492	2178	2178	0
BAKKEN	10-2017	31	1577	1575	934	5257	5257	0
BAKKEN	9-2017	30	1670	1433	790	5501	5501	0

And, now the third:

• 22154, 637, CLR, Pittsburgh 2-19H, Banks, t4/12; cum 244K 9/20; Went IA and off line as of 5/19; back into production 9/19; huge well; huge jump in production, 2/18; back on line as of 9/19; cum 258K 4/21;
  

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	5-2018	24	3780	3949	6897	5338	5338	0
BAKKEN	4-2018	30	6918	6595	8059	8563	7782	781
BAKKEN	3-2018	29	8912	8859	10383	12553	11569	984
BAKKEN	2-2018	28	10702	10864	15444	14589	14589	0
BAKKEN	1-2018	6	2123	1816	2582	2434	464	1970
BAKKEN	12-2017	0	0	0	0	0	0	0
BAKKEN	11-2017	20	267	511	223	314	314	0
BAKKEN	10-2017	31	1050	960	927	1511	1511	0
BAKKEN	9-2017	30	1074	1205	864	1521	1521	0

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

Now the newer wells in this area. First, note the first full month of production for this well:

• 30964, 3,049, CLR, Uhlman Federal 3-7H, Banks, the name and the geology report says "middle Bakken"; the frack form says "Three Forks," probably a typo, big rig, Oct 3, 2015; TD, October 14, 2015; TD = 11,040 feet; 4 sections, flowing, 61 stages; 12.3 million lbs , t4/18; cum 280K 9/20;  cum 310K 4/21;

Monthly Production Data:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	5-2018	31	56400	56531	40405	82797	77371	5426
BAKKEN	4-2018	6	13254	12940	9157	17955	11978	5977
BAKKEN	3-2018	0	0	0	0	0	0	0
BAKKEN	2-2018	0	0	0	0	0	0	0
BAKKEN	1-2018	5	1903	1903	666	3881	0	3881

Now, the rest of the wells:

• 34846, 777, CLR, Patterson Federal 8-13HSL1, Banks, t11/19; cum 189K 9/20; cum 239K 4/21;
  
• 34847, SI/NC-->922, CLR, Pittsburgh 4-18HSL, Banks, t10/19; cum 206K 9/20; 37K month; 49 stages; 11.1 million lbs; cum 248K 4/21;
• 34848, SI/A-->844, CLR, Pittsburgh 5-18H1, Banks, t--; cum 145K 9/20; cum 175
  K 4/21;
• 34849, SI/NC-->SI/A-->F/A, CLR, Pittsburgh 6-18H, Banks, t--; cum 190K 9/20; cum 247K 4/21
• 34850, SI/A, CLR, Pittsburgh 7-18H1, Banks, t--; cum 141K 9/20; cum 187
  K 4/21;
• 34851, SI/A-->1,242, CLR, Pittsburgh 8-18H, Banks, t--; cum 188K 9/20; 230K 4/31;
  

• 34852, SI/NC--> 865, CLR, Kuhn 8-12HSL1, Banks, t10/19; cum 208K 9/20; cum  257K 4/21;
  
• 34853, A-->1,125, CLR, Uhlman Federal 4-7HSL, Banks, t11/19; 215K 9/20; cum 258K 4/21;
• 34854, SI/A-->F/A, CLR, Uhlman Federal 5-7H1, Banks, t--; cum 95K 3/20; 154K 9/20; cum 175K 4/21;
  
• 34855, F/A, CLR, Uhlman Federal 6-7H, Banks, t--; cum 186K 9/20; fracked 7/10/19 - 7/23/19; 8.9 million gallons; 88.6% water by mass; friction reduction, 0.06257; cum 222K 4/21
  
• 34856, F/A, CLR, Uhlman Federal 7-7H1, Banks, t--; cum 155K 9/20; fracked 7/9/19 - 7/22/19; 7.8 million lbs; 89.4% water by mass; 0.059539, friction reduction; cum 172K 4/21;
  
• 34857, F/A, CLR, Uhlman Federal 8-7H, Banks, t--; 227K 9/20; fracked 7/9/19 - 7/22/19; 9 million lbs water; 88.7% water by mass; friction reduction, 0.06142; cum 265K 4/21;
  

• 30965, 2,293, CLR, Uhlman Federal 2-7H1, Banks, t4/18; cum 392K 3/20; huge well; 49K in one month; huge jump in production, 10/19; cum 438K 4/21;
  
• 30964, 3,049, CLR, Uhlman Federal 3-7H, Banks, t4/18; cum 258K 3/20; huge well; 56K in one month; cum 310K 4/21
  
• 30966, 2,466, CLR, Pittsburgh 3-7H, Banks, t4/18; cum 341K 3/20; huge well; 59K in one month; 413K 4/21;
  

The six-well Pittsburgh / Uhlman Federal wells in section 18:

• 35158, A, CLR, Pittsburgh 9-18H1, Banks, some production, 9/19; cum 70K 3/20; cum 168K 4/21;
  
• 35159, 1,050, CLR, Pittsburgh 10-18H, Banks, t11/19; cum 102K 3/20; cum 228K 3/21;
  
• 35160, 1,050, CLR, Pittsburgh 11-18H1, Banks, t11/19; cum 146K 3/20; cum 207K 3/21;
  
• 35161, A, CLR, Uhlman Federal 9-7H1, Banks, some production, 9/19; 74K 3/20; cum 158K 3/21;
  
• 35162, PA, CLR, Uhlman Federal 10-7H, Banks, still on drl status as of 4/21;
• 35163, A, CLR, Uhlman Federal 11-7H1, Banks,  t--; cum 99K 3/20; a 43K month; 237K 3/21;
  

Alcoa To Restart A Third Potline At Its Indiana Smelter -- Bullish On America? -- July 18, 2018; Fitzsimmons On PSXP Midstream; Line 3 Update; And California Dreamin'

American economy? This is pretty bullish, one would think. Link here at SeekingAlpha.

Alcoa expects to complete the restart of the third potline at its Warrick aluminum smelter in Indiana by the end of the year; related costs will be incurred in Q3 and Q4, estimated at $5M after-tax.

A potline is a row of electrolytic cells used in the production of aluminum. By the way, the same thing -- re-starting a potline --was reported in New Zealand a few weeks ago. No mention of President Trump or the trade war mentioned in the SeekingAlpha note.

**********************************
Odds and Ends

Fitzsimmons on Phillips 66 Partners from SeekingAlpha:

• on Wednesday, PSXP raised its quarterly distribution 5.3%, continuing the torrid 30% CAGR since the IPO
• but if the MLP model is "broken" as so many (including myself) believe, is even a high-quality MLP like PSXP worth holding?
• considering the yield, its high-quality GP, and the number of very attractive demand-pull growth projects, the answer is "yes."

Disclaimer: this is not an investment site. 

Line 3 update from businessinsider dated today:

Aecon Group Inc. announced today that SA Energy Group, a 50/50 joint venture between Aecon and Robert B. Somerville Co. Ltd., has been awarded a $282 million contract by Enbridge Pipelines Inc. for Spreads 8 and 9 of the Line 3 Replacement Phase 2 project in Manitoba.  

The scope of work includes constructing 92.2 km of pipeline in the area of Brandon, Manitoba for Spread 8, and constructing 96.5 km of pipeline near Morden, Manitoba for Spread 9 extending to the Canada-U.S. border.

Construction is expected to commence in August 2018, with anticipated substantial completion by the end of 2018. Recently, under Phase 1 of the Line 3 Replacement project, SA Energy Group successfully completed Spreads 3 and 4 (261 km), in Saskatchewan.

California dreamin': well, that ends that. The California Supreme Court said the initiative to divide the state into a triad cannot be on the November, 2018, ballot. But, the Court said it will re-visit the issue later.

And, of course, you know what's coming. LOL:

California Dreamin', The Mamas and Papas

CLR With Permits For Another 6-Well Pittsburgh / Uhlman Federal Pad In Banks Oil Field -- July 18, 2018

I'm still in the process of completing this page.

Note: in a long note like this, there will be factual and typographical errors. If this is important to you, go to the source.

Active rigs:

$67.82↑	7/18/2018	07/18/2017	07/18/2016	07/18/2015	07/18/2014
Active Rigs	67	59	30	73	196

Seven new permits:

• Operator: CLR (6); Hunt
• Field: Banks (McKenzie); Werner (Dunn)
• Comments: CLR has permits for another 6-well Pittsburgh / Uhlman Federal pad in NENW 18-152-99; from a post on May 1, 2018 -- CLR has permits for a 12-well Patterson/Pittsburgh/Kuhn/Uhlman pad in lot 4 section 7-152-99; at about 1,200 feet FSL and 100 - 1,000 FWL; lot 4 looks like it is in the southwest quarter of the section.

Wow!  Eleven producing wells (DUCs) reported as completed, but just barely. No data posted at the NDIC site for any of the wells; range of water/sand: about 87% to 90% water in the following wells --

• 33225, n/d, CLR, Kennedy 7-31H, API - 33-053-07878; 2/14/18 - 3/8/18; 12.245 million gallons water;
• 33226, n/d, CLR, Kennedy 6-31H2, API - 33-053-07879; 1/21/18/ - 2/11/18; 8.919 million gallons water;
• 33227, n/d, CLR, Kennedy 5-31H, API - 33-053-07880; 1/21/18 - 2/11/18; 11.269 million gallons water;
• 32360, n/d, CLR, Antelope Federal 7-23H API - 33-053-07436; 3/28/18 - 3/28/18 (no typo); 11.908 million gallons water;
• 32358, n/d, CLR, Antelope Federal 5-23H, API - 33-053-07434; 3/14//18 - 3/14/18 (no typo); 8.335 million gallons water
• 33108, n/d, CLR, Wiley 12-25H, API - 33-053-07833; 3/25/18 - 4/9/18; 9.494 million gallons water;
• 33109, n/d, CLR, Wiley 11-25H2, API - 33-053-07834; 3/25/18 - 4/9/18; 9.348 million gallons water;
• 33110, n/d, CLR, Wiley 10-25H, API - 33-053-07835; 4/12/18 - 5/5/18; 9.737 million gallons water;
• 33111, n/d, CLR, Wiley 9-25H2, API - 33-053-07836; 4/12/18 - 5/3/18; 9.838 million gallons water;
• 33112, n/d, CLR, Wiley 8-25H, API - 33-053-07837; 4/12/18 - 5/5/18; 9.366 million gallons water,
• 33224, n/d, CLR, Kennedy 8-31H, API - 33-053-07877; 2/14/18 - 3/8/18; 12.735 million gallons water, 

Six permits renewed:

• Crescent Point Energy (4): two CPEUSC Elena and two CPEUSC Lloyd permits in Williams County;
• Whiting (2): two P Thomas permits in Williams County

One well re-completed:

• 15167, North Range Resources, Beta Race Federal 22-6; Billings County

Operator transfer: 57 wells transferred from Vanguard Operating to White Rock Oil & Gas. These are very old permits, throughout the state, from Williams County in the north to Bowman County in the far southwest. The oldest permit is #6642; the most recent permit is #12699. 

• #6642, still producing; multiple payzones over the years (Birdbear, Madison, Red River, Stonewall, but is now a Madison well; first drilled in 1979 with no full months off since then; cum 108K from the Stonewall; 38K from the Birdbear; and 239K from the Madison and still producing about 300 bbls/month from the Madison
• #12699, a Red River well, drilled/test in 1/190; cum 30K 5/18; and still active/producing about 500 bbls/month

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

The Pittsburgh / Uhlman Federal Wells

Note: I'm going to leave this here for now, but it will be completed at a stand-alone post later. Nothing below will be updated. All updates will be at this post.

Of interest in that area:

• 28737, 1,423, CLR, Uhlman 1-7H, Banks, t1/15; cum 411K 5/18; no evidence this well has been re-fracked (no sundry form; FracFocus); SWSE 7-152-99. If I remember, I will post the entire production profile at "Wells of Interest." It's an interesting well. 

Monthly Production Data:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	5-2018	31	4436	4491	3655	6089	5370	501
BAKKEN	4-2018	30	5626	5938	6020	7335	6836	259
BAKKEN	3-2018	19	2939	2473	4693	3998	3826	38
BAKKEN	2-2018	23	3491	3681	5708	6194	136	5881
BAKKEN	1-2018	22	3552	3173	9364	7376	0	7202
BAKKEN	12-2017	0	0	0	0	0	0	0
BAKKEN	11-2017	2	4	205	0	0	0	0
BAKKEN	10-2017	31	2859	3207	1601	5946	5779	39
BAKKEN	9-2017	29	5515	5402	3730	12322	11670	434
BAKKEN	8-2017	31	6631	6543	3935	14745	14468	31
BAKKEN	7-2017	31	6454	6195	4002	12385	11844	300
BAKKEN	6-2017	30	5715	5794	3760	11133	10570	340

Of interest in that area:

• 19797, 729, CLR, Pittsburgh1-19H, t6/11; cum 331K 5/18; note recent production profile:

 Monthly Production Data:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	5-2018	31	6504	6628	5575	8864	8864	0
BAKKEN	4-2018	30	7071	7087	5836	8126	8126	0
BAKKEN	3-2018	20	5194	4953	4478	6820	5666	1154
BAKKEN	2-2018	28	6359	6335	5540	8116	8116	0
BAKKEN	1-2018	23	8478	8198	7621	7564	7564	0
BAKKEN	12-2017	0	0	0	0	0	0	0
BAKKEN	11-2017	15	710	1010	492	2178	2178	0
BAKKEN	10-2017	31	1577	1575	934	5257	5257	0
BAKKEN	9-2017	30	1670	1433	790	5501	5501	0

I have to run -- pick up Sophia, so I will sort this out later, but note this well in this drilling unit :

• 30964, 3,049, LR, Uhlman Federal 3-7H, Banks, the name and the geology report says "middle Bakken"; the frack form says "Three Forks," probably a typo, big rig, Oct 3, 2015; TD, October 14, 2015; TD = 11,040 feet; 4 sections, flowing, 61 stages; 12.3 million lbs , t4/18; cum 72K 5/18; 

Monthly Production Data:

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	5-2018	31	56400	56531	40405	82797	77371	5426
BAKKEN	4-2018	6	13254	12940	9157	17955	11978	5977
BAKKEN	3-2018	0	0	0	0	0	0	0
BAKKEN	2-2018	0	0	0	0	0	0	0
BAKKEN	1-2018	5	1903	1903	666	3881	0	3881