Week 17: April 22 -- April 28, 2012

GeoReources to be bought out by Halcon Resources

Update on the awesome Alger field

Belfield to get new drilling fluids services company 

Feds give US Army Corps of Engineers $12 million to upgrade the Williston levee

Another revenue stream for mineral owners: liquid natural gas pipeline, Tioga to Sherwood


Posted on YouTube back in February, 2012; as recently as week of April 23, 2012, the administration said it couldn't say that gasoline won't reach $9/gallon -- the price some Europeans are paying according to CNBC

Article on Liberty Resources

Liberty Resources: eye on fracking; prior connection with CARBO Ceramics

For investors only: CARBO Ceramics

Whiting reports a record TFS well in the Sanish 

Largest refinery in US: joint venture with Saudi Aramco 

Sionix Mobile Water Treatment technology coming to the Bakken

A  17-mile pipeline; Stanley to oil rail loading station: $14 million project

Average wages in Williston: $71,000/year

EPA gives green light to frackers; until 2015

More Great News for the North Dakota to Texas Renaissance Zone

Back on March 25, 2011, I opined that we were starting to see the end of the love affair with Brazil's off-shore oil prospect.

Now, another data point:

Exxon Mobil Corp. said Friday it is abandoning its only exploration effort in the Santos Basin, epicenter of Brazil's offshore oil boom, an area where it has obtained mixed results amid tough drilling conditions.

The block is the Texas behemoth's sole exploration lease in Brazil, which forecasters say is destined to be one of the world's top petroleum producers by the end of the decade thanks to its vast trove of offshore oil and gas.

Not a good sign. 

But great news for Bakken investors.

Wow! One Township With Nine (9) Rigs -- Huge Wells -- Alger Field -- The Williston Basin, North Dakota, USA -- April 27, 2012

Locator: 10010ALGER.

Updates

January 29, 2025: production data updated.

Original Post

 

T155N-R92W

One of the nine is right across the south line in the Sanish field, but it's still quite a sight on GIS map server. I can only imagine what it looks like on the ground there.

• 21955, 2,972, Grayson Mill/Statoil/BEXP, Cvancara 20-17 3H, t9/12; cum 237K 10/16; cum 345K 11/24;
  
• 22007, 2,700, Grayson Mill/Statoil/BEXP, Panzer 22-23 1H, t6/12; cum 209K 10/16; cum 338K 11/24;
• 22037, 2,026, Grayson Mill/Statoil/BEXP, Strobeck 27-34 5TFH, t7/12; cum 176K 10/16; cum 260K 11/24;
•  22063, 1,842, Grayson Mill/Statoil/BEXP, Anderson 28-33 4TFH, t6/12; cum 174K 10/16; cum 298K 11/24;
• 22122, 632, Lime Rock Resources/Fidelity, Emil 14-13H-24, t6/12; cum 154K 10/16; cum 262K 11/24;
• 22170, 551, Slawson, Athena 4-36TFH, t5/12; cum 114K 10/16; cum 169K 11/24;
• 22317, 1,818, Grayson Mill/Statoil/BEXP, Arvid Anderson 14-11 4TFH, t6/12; cum 167K 10/16; cum 223K 11/24;
• 22599, 289, Sinclair, Martens 3-4TFH, Sanish, t6/12; cum 57K 10/16; cum 97K 11/24;
  

Examples of other wells in the immediate area (these are huge wells):

• 18654, 4,335, Grayson Mill/Statoil/BEXP, Sorenson 29-32 1-H, s2/10; t4/10; cum 458K 10/16; cum 565K 11/24;
• 17355, 3,909, Grayson Mill/Statoil/BEXP, Cvancara 20-17 1-H, s10/10; t3/11; cum 303K 10/16; cum 428K 11/24;
• 19513, 4,661, Grayson Mill/Statoil/BEXP, Sorenson 29-32-2-H, s10/10; t3/11; cum 394K 10/16; cum 533K 11/24;
• 18628, 4,357, Grayson Mill/Statoil/BEXP, Jack Cvancara 19-18 1-H, s3/10; t5/10; cum427K 10/16; cum 569K 11/24;
  
• 19057, 4,106, Grayson Mill/Statoil/BEXP, Domaskin 30-31 1-H, s7/10; t10/10; cum 416K 10/16; cum 501K 11/24;
  

Back in February, 2010, Irish Oil and Gas Company acquired 120 acres in the Alger Field for $7,300/acre which works out to $4.7 million/section. The 120 acres are in sections 11, 12 and 13, T155N-92W.

Follow-Up: Only One Number I Was Interested In This Week

Updates

April 28, 2012: I posted the original post Friday evening. It was a bit more interesting than I realized as noted by Bloomberg:

Oil rose to the highest level in more than three weeks in New York as the biggest gain in U.S. consumer spending in more than a year and better-than-projected earnings overshadowed lower-than-forecast economic growth.

Futures climbed 0.4 percent after the Commerce Department said household purchases increased 2.9 percent, exceeding the most optimistic projection by economists surveyed by Bloomberg. Gross domestic product grew at a 2.2 percent annual rate, missing the 2.5 percent projection.

Oil rose to the highest level in more than three weeks. It rose to the highest level and a talking head on CNBC earlier in the week predicted that oil was likely to go below $100 by the end of the week.

Who are these clowns? Whoever they are, they weren't invited back on CNBC at the end of the week -- if they were, we weren't told.

Original Post

Earlier this week, Tuesday, I had a post with the subject: "The Only Number I'm Interested In This Week."

On Tuesday, all day long, on CNBC, the talking heads kept talking about some analyst who said oil would be under $100 by the end of the week. He offered no supporting data to bolster his argument, simply "it is what it will be."

I don't forecast oil prices any more; it's a fool's game. But oil below $100 this week did not fit my world view; I truly doubted we would see oil below $100 at the end of the week. So, where did oil finish, COB today? A tad above $104. Oil even gained about 25 cents today.

There was no mention on CNBC today the comments by Tuesday's prognosticator.

BEXP Has Another Nice Well in the Alger -- The Bakken, North Dakota, USA

21358, 3,863, BEXP, Clifford Bakke 26-35 2H, Mountrail, Alger; for those interested, I just posted the 38 permits issued for the Alger field so far into 2012;