Grayson Mill's Refracked Hovland Wells -- October 29, 2024

Locator: 48673B.

The Grayson Mill Hovland wells. I may have this wrong, but I believe this is the story. 

The original Hovland wells were first drilled back in May, 2014. They were still producing a small amount of well, on a pump, as of December, 2023, when they were taken off line by their new operator, Grayson Mill. The wells were placed on confidential list to be re-fracked. Confidential list, 4/24. Released from confidential list 10/24. Refrack results of one such well:

• 26449: prior to refrack cumulative crude oil produced ~ 220,000 bbls since 5/14. Now, cum 282,745 bbls cumulative crude oil produced.
  

Pool	Date	Days	BBLS Oil	Runs	BBLS Water	MCF Prod	MCF Sold	Vent/Flare
BAKKEN	8-2024	28	16953	17108	28610	34465	26320	8033
BAKKEN	7-2024	31	22717	22774	61400	51114	36151	14839
BAKKEN	6-2024	30	22123	21527	124422	35932	27979	7854
BAKKEN	5-2024	2	121	98	4935	96	0	94
BAKKEN	4-2024	0	0	0	0	0	0	0
BAKKEN	3-2024	0	0	0	0	0	0	0
BAKKEN	2-2024	0	0	0	0	0	0	0
BAKKEN	1-2024	0	0	18	0	0	0	0
BAKKEN	12-2023	18	479	513	395	1190	1118	0

The new Hovland well will come off confidential list tomorrow, October 30, 2024.

• 40209, conf, Grayson Mill, Hovland 26-35 6H, South Tobacco Garden, t4/24; initial runs:
  

  Date	Oil Runs	MCF Sold
  8-2024	24724	41893
  7-2024	32984	54086
  6-2024	15267	19398

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

WTI: $67.63.

Wednesday, October 30, 2024: 60 for the month; 60 for the quarter, 574 for the year

• 40217, conf, Enerplus, Olson 146-97-3-10-7H,
• 40209, conf, Grayson Mill, Hovland 26-35 6H,

Tuesday, October 29, 2024: 58 for the month; 58 for the quarter, 572 for the year

• 40592, conf, Oasis, Truax State Federal 5398 43-9 5B,
• 26450, conf, Grayson Mill, Hovland 150-99-26-35-4H,
• 26449, conf, Grayson Mill, Hovland 150-99-26-35-3H,

RBN Energy: how much natural gas storage capacity does Alberta really have?

For natural gas markets to operate as efficiently as possible, a lot of data is needed, including up-to-date estimates of the amount of gas in storage and the physical capacity to hold it. For too long, Canadian natural gas markets have been operating with an obvious blind spot: little to no reliable storage data. With Alberta being home to the largest amount of gas storage capacity in Canada, having accurate information could provide vital data in the pricing of Canadian natural gas. In today’s RBN blog, we begin a multi-part series examining Canadian natural gas storage, starting with Alberta. 

Having an accurate reading on the amount of natural gas held in underground storage is a primary ingredient in the functioning of gas markets and the prompt and future pricing of this important commodity. If natural gas storage levels are deemed by the market to be too high, then prompt and future prices will likely pull back to incentivize more demand, discourage production and slow injections of gas into storage sites. The opposite is true when the amount of gas in storage is considered too low: prompt and future prices will rise to encourage more production, reduce demand and increase injections. The market’s general goal is an iterative process to ensure that an adequate amount of gas — but not too much — is socked away ahead of the high-demand winter months.

Five New Permits; Three Permits Canceled; Three DUCs Reported As Completed -- October 28, 2024

Locator: 48672B.

Hydrogen: from RBN Energy, September 10, 2024: 

RBN Energy: how existing US hydrogen infrastructure forms a base for future expansion. Archived.

The hype around low-carbon-intensity (LCI) hydrogen that captivated many energy transition fans over the past four years has lost some momentum of late as industry players recalibrate their investment plans in the face of spiraling costs. Still, the U.S. government is moving full speed ahead — the Bipartisan Infrastructure Law (2021) and Inflation Reduction Act (2022) promise to flow billions of dollars into LCI hydrogen infrastructure via tax credits and other incentives.

Which raises this question: Will LCI hydrogen make economic sense or not? In November 2021, the Department of Energy (DOE) asked the National Petroleum Council (NPC) to take a deep dive into the topic. In today’s RBN blog, we begin a review of the issues at hand.

Reality sucks, link here.

Remember Plug Power? I was suckered into investing, but got out quickly.

The "hydrogen" headlines this past year

Updates

October 28, 2024: hydrogen stocks crash as hype faces reality check.

September 10, 2024: hydrogen infrastructure update, RBN Energy.

August 19, 2024: hydrogen collapsing.

April 24, 2024: what's holding back hydrogen vehicles.

March 11, 2024: natural gas pipelines and hydrogen hubs.

December 28, 2023: Biden hits the brakes on hydrogen. A flurry of year-end stories.

************************************
Back to the Bakken

WTI: $67.69.

Active rigs: 41.

Five new permits, #41283 - #41287, inclusive:

• Operators: CLR (3); Koda Resources (2)
• Fields: East Fork (Williams); Deaneville (Divide County)
• Comments;
• Koda Resouces has permits for two Bock wells, NWNw 24-161-102, 
• both to be sited 483 FNL with one at 654 FWL and the other 689 FWL;
• CLR has permits for two Peterson wells and one Chloe well, SWSE 20-156-99; 
• all three to be sited to be sited 300 FSL and at 1753 FEL; 1817 FEL: and, 1785 FEL

Three permits canceled:

• MRO: Quincy, Ebeltoft, and Beverly Dunn County; NWNE 18-145-93;

Three producing wells (DUCs) reported as completed:

• 37578, 0, BR, Mathistad 2B MTFH, McKenzie County;
• 37581, 867, BR, Cross 2A MBH, McKenzie County;
• 40601, 526, True Oil; Slash Federal 11-4 4-9 TF1H; McKenzie County;

Ford — $38,250 Loss Per EV Delivered — Warranty Costs With Significant Impact On Earnings — CEO Is Coy On Warranty Costs — Overall Guidance Is Seen As Disappointing By Headline Writers — October 28, 2024

Locator: 48671FORD.

Ford. Link here. Also here. Also here.

CEO does not provide “hard numbers” for either the loss incurred on each EV sold or the warranty costs going forward into the out years.

For most recent quarter: misses on top line; beat on bottom line.

Volkswagen: slashing jobs. Could close three car plants in Europe.

Presidential politics: if Trump loses by a whisker, the post-mortem could easily include the MSG rally this past weekend. 

Hyperscalars: spending will increase by 40% next year. Rest of the market, spending will increase by 1%.

Thanksgiving meal prices this year: lower than last year. My hunch: won’t get a lot of attention by the MAGA cult.

Apple's Big Week -- Apple Intelligence Starting To Roll Out -- M4 Across The Board -- Updated Models -- October 28, 2024

Locator: 48670APPLE.

Perhaps the best source: MacRumors.

Also: The Verge. 

Perhaps even better: twitter.

My hunch: Tim Cook's Apple device of choice while traveling -- the M4 13-inch iPad Pro with detachable keyboard and Apple Pencil. 

In carry-on, Tim Cook probably also carries the Mac Mini. Currently only the M2 is available at the Apple website but announcements suggest the Mac Mini will "soon" be released with the M4 chip.

Supercomputer -- Elon Musk, Jensen Huang -- October 28, 2024

Locator: 48669NVIDIA.

Supercomputer, link here.

TOP500 Project: it would take just that long for government regulators, lawyers, and politicians to come up with a basic outline for a plan for such a project.