Funny Money -- Nothing To Do With The Bakken -- US Cities on the Verge of Bankruptcy

Link here.

This is why bankruptcy in US cities is all about "funny money."

Los Angeles: talking bankruptcy, with "only" $200 million in debt.

Compared to Detroit, LA looks downright "peachy."

Detroit: long-term debt -- $12 billion.

Detroit's population in free fall; now at 1910's level -- 700,000.

Los Angeles: 10 million.

UPDATE: I Stand Corrected On This: Another Well Put Back On Confidential List -- And Another Good Whiting Well in Their Pronghorn Prospect -- The Bakken, North Dakota, USA

Update

I am wrong with these examples regarding wells being placed back on the confidential list. Teegue provides a good explanation. The Pronghorn State Federal 21-16TFH is on the confidential list. Again, the Bakken Shale Discussion Group is the authority on Bakken issues. I am only an amateur, trying to figure out the Bakken. I'm learning as I go along. Please go to the link: lots of great information regarding the Bakken.

Original Note

20839, CONF-->DRL-->CONF, Whiting, Pronghorn State Federal 21-16TFH, Park, s6/11;

I could be wrong, but my database is usually pretty accurate. This well was confidential at one time; one could access the drilling report. Then it went on DRL status. Tonight, while updating Whiting wells in the Pronghorn prospect, I noted that this well is back on confidential status.

This appears to be accurate. It is listed as confidential but yet one can access the 141-page file report which would normally not be there if this well had been on confidential list all the time. 

The reason for noting this can be found at this post.

If I am wrong regarding this well I apologize, but this is the way it seems to me.

On another note, it looks like Whiting might have another good well in their Pronghorn prospect:

• 20504, conf, Whiting, Pronghorn Federal 21-13TFH, Park, 60,000 bbls < 3 months; 2/12

Reader Comments on Whiting's Plans for Their Pronghorn Prospect in Southwestern North Dakota -- The Bakken, North Dakota, USA

This information was sent to me via a comment regarding Whiting's Pronghorn prospect in southwest North Dakota, specifically in Park oil field:

Over the next 3+ yrs, it's going to be 3 in almost every 640 space in that area! Amazing! Soon there will be more wells than trees. The 3 wells per 640-acre spacing holds true to Whiting's 01/2012 report for this area, their Pronghorn prospect.

In the recent NDIC hearing dockets, I have noticed varying strategies for developing the Bakken. In some cases operators are asking for 14 wells in larger units; others are asking for multiple-well pads in smaller units, as small as 320-acre spacing.

But, yes, before it's all over, there will be more wells than trees in western North Dakota.

For more on the Park oil field, click here.

Update on the OXY USA Wells in the Cabernet -- The Bakken, North Dakota, USA

Updates

Later: see first comment. There are two Slawson and two Continental Resources wells in the Cabernet; three are active; one is confidential:

• 20147, 378, Slawson, Dagger 1-10H, t10/11; F; cum 9K 9/12;
• 22246, 458, Slawson, Dagger 2-10H, t3/12; cum 24K 9/12; 
• 20537, 630, CLR, Carl 1-11H, s6/11; t10/11; F; cum 60K 9/12;
• 20797, 1,208, CLR, Entzel 1-26H, s8/11; t12/11; F; cum 120K 9/12;

Original Post

A reader asked about OXY USA and the Cabernet field.  The comment was "attached" to a post that no longer so I've gone with a stand-alone post. The comment:

Can you find anything on OXY USA in the Cabernet field? We have not heard about OXY or the Cabernet field which supposedly is the "field of sweet oil."  OXY seems to be having problems on their wells, so if you find anything can you post it? Thank you.

I started noticing a difference in the IPs between Anschutz and OXY some time ago and have posted data regarding the same on two separate occasions:

March 13, 2012: OXY USA/Anschutz updated.

January 4, 2012: review of OXY USA since it entered the Bakken in 2011 

I think those two posts will provide a significant amount of background (at least superficially) and some of my thoughts.

Unfortunately, asking to look at the Cabernet field with regard to OXY USA may not be all that valuable. Since OXY USA bought Anschutz' assets, there hasn't been much activity in the Cabernet.

Here is a short  summary of activity in the Cabernet (these are now ALL the OXY USA wells/permits in the Cabernet). Note anything completed before 2011 was Anschutz.

• 18359, 1,138, Kary 1-24-13H-144-97, t4/10; cum 135K 9/12;
• 18644, 1,148, State 1-25-36H-144-97X, t4/10; cum 278K 9/12;
•  18427, 876, Matthew Schmidt 1-35-2H-143-97, t5/10; cum 124K 9/12;
• 17899, 1,191, Stroh 11-1H, t9/09; cum 157K 9/12; -- off-line since 5/12;
• 18193, 1,666, Martin 34-31H, t10/09; cum 261K 9/12;
• 18424, 2,409, Kenneth Stroh 1-12-1H-143-97, t9/10; cum 313K 9/12;
• 18343, 48; Jaeger State 1-34-27H-144-97, t12/10; cum 180K 1/13;
• 18892, 340, Evelyn Kary 1-15-22H-144-97; t3/11; cum 43K 9/12;
• 21334, 755, Kenneth Stroh 2-12-1H-143-97, t5/12; cum 61K 9/12;
• 22278, 593, Martin 2-30-31H-144-96; s2/12; t6/12; cum 104K 1/13;
• 22543, DRL, State 2-25-36H-144-97; (interesting -- note #18644 above); first well on a dual pad with #22544
• 22544, DRL, Kary 2-24-13H-144-97; 

Because there has been so little activity in the Cabernet since OXY USA acquired Anschutz assets there, it's hard to say how this will all play out. But we have four wells to watch (and, of course, #18644, also).

That, alone, must be disappointing to mineral owners in the Cabernet. My hunch is that a lot of folks would have expected Anschutz to have a fairly aggressive drilling program in the Cabernet based on their earlier work in the Bakken. 

Again, IPs are only one data point. I find more value in the 6-month, 12-month, and 2-year production numbers. We are so new in the Bakken that even the oldest OXY USA Cabernet well (previous Anschutz) is not even 2 years old yet.

Evelyn Kary, based on cumulative, seems to be disappointing. Jaeger State so-so.

Sorry I can't be more helpful answering this question about OXY USA and the Cabernet, but that's all I have. I've tagged this for follow-up in July, 2012.

You may want to click on the "Stroh" tag at the bottom of the bottom of the blog to see how Anschutz wells did in the general area of this field.

Delta Air May Buy an Idled Refinery -- WSJ -- Nothing To Do With The Bakken, Directly

A huge thank you to a reader for sending this story; linked here.