An Interesting -- Very Interesting Read of the Marcellus

From Rigzone.com.

For a number of these companies seeking to cash in, the big payoff never came. Plummeting natural gas prices made acquiring acreage in a largely dry gas play much less appealing. Speculators caught up in the initial rush to the Marcellus found themselves saddled with overpriced leaseholdings that were not generating income.

In the view of one long-time observer of U.S. oil and gas industry trends, the "bubble" that characterized much of the activity in the Marcellus in recent years has not burst per se. Rather, Raymond Schmaus maintains the bubble has morphed into a more stable and predictable environment that favors the long-term investor. The president of the Pittsburgh-based oil and gas title abstract firm Armstrong Search Associates, Inc. welcomes this change, which he said favors operating companies looking to maintain a lasting presence in the Marcellus and the overlapping, liquids-rich Utica shale formations.

Transferable to the Bakken? It just keeps getting more and more interesting. Go to the link for an interesting read --

Montana Headlines: Coal Plant Shutting Down (?); Boom in Bakken Jobs

Updates

December 6, 2012: update on the Decker mine, layoffs, coal shipments, etc. 

November 21, 2012: see comments and the stand-alone post regarding the Decker coal mine story, as well as BNSF and the Bakken

Original Post

Link here to Montana Headlines.

While this may not be directly related to the war on coal that the Obama administration has waged, it certainly couldn't have helped: the Decker coal mine in southeastern Montana is laying off 75 workers.

The increased regulation laid on coal-burning electricity plants by the EPA have already cost a good number of workers in Billings their jobs at PPL's plant, now scheduled to be mothballed. And now, another set of workers in a major southeastern Montana coal mine. Many of them live in the Sheridan area, but as everyone knows, folks in Sheridan come to Billings all the time for shopping, medical care, and other services that are found here in the nearest "big city" to Sheridan and surrounds.

Don sent me the article on the Decker coal mine earlier but I didn't post it -- I was worried about getting too far afield of the Bakken but then I saw it posted at the link above. Couldn't resist posting it now. I was not aware that I was linked at the link. Ping pong.

But very nice to see. Thank you.

On Tap For Thanksgiving Eve -- Wells Coming Off Confidentail List Wednesday

Wells coming off confidential list, Wednesday, Thanksgiving eve --

• 19604, drl, WPX, Mandaree 24-13HD, Reunion Bay, McKenzie,
• 20390, 169, OXY USA, Bullinger Trust 1-18-19H-142-96, Dunn
• 21698, drl, XTO, Flatland 11X-2F, McKenzie,
• 22041, 1,084, Hess, SC-JW Hamilton-153-99-1314H-1, Williams
• 22262, 352, OXY USA, Little Butte 1-21-28H-16-90, Burke,
• 22595, 580, Hess, GO-Darryl-158-98-0904H-1, Williams

Random photo of the Bakken oil patch, sent by a reader, taken in October, 2012:

According to the photographer: Newfield rig drilling (derrick in middle of photo on horizon) on permit #23570 in the Keene field and the national grasslands, located in NW 1/4 of 26-153-96. The permit is for 23 & 14, 153-96 and the photo was taken +/- 3 miles north from the county road. The Bakken is producing twelve (12) percent of the nation's oil production.

Other links this evening that caught my eye:

San Francisco bans public nudity. I guess even they've had enough. I'm sure the ACLU will get this turned around. Lewd conduct, sure, but nudity?  The bill was precipitated by male nudity in some parts of the city. Mr Weiner introduced the bill. I cannot make this stuff up.

Israel warns journalists to stay away from Hamas. Okay. That sounds like good advice.

Detroit on suicide watch.

Remember that hotel that will go up in Alexander, North Dakota, in 90 days? Well, the Chinese are not going to let that pass without trying to do better: the Chinese to build the world's tallest building in 90 days. I remember the days when the US was setting records. Not so much any more. Except in national debt.

File under "You Have Got To Be Kidding!" -- Church of England votes to ban women from becoming bishops. In England! Next think you know, they will ban fracking. (The French already have.) [As has New York.]

CIA Closing Its Global Warming Office

Set up in 2009, the CIA -- under an Obama appointee (I can't make this stuff up) -- well, was an Obama appointee -- to monitor the interplay between a warming planet and intelligence and security challenges.

But this shouldn't be too surprising. Canada withdrew from the Kyoto protocol almost exactly one year ago.  The EU has given up on trying to lower CO2 emissions, using coal in lieu of natural gas. We won't even talk about China or the Sudan. And the Brits say global warming ended sixteen (16) years ago. Sweet 16.

Sweet 16, Neil Sedaka  

Wow, I hope I get to play this song when my granddaughters turn 16.

Eight (8) New Permits; Active Rigs Dropping; BEXP With Some Nice Wells In Both The Three Forks and the Middle Bakken Near Williston

Bakken Operations

Active rigs: 181 (significant drop; this is a post-high low; the previous low was 182 set back in October, 2012; some time ago it was suggested that "we" would see 175 rigs)

Eight (8) new permits --

• Operators: BEXP (3), MRO (2), XTO, SM Energy, North Plains
• Fields: Smoky Butte (Divide), Wolf Bay (Dunn), Poe (McKenzie), Colgan (Divide), Briar Creek (Williams)
• Comments: --

Wells coming off the confidential list:

• 21210, 1,650, Whiting, Johnson 34-33H, McKenzie,
• 22762, 599, CLR, Jefferson 2-17H, Williams,

Producing wells completed:

• 23398, 673, Liberty Resources, Lassey 152-103-22-15-1H, Glass Bluff, t10/12; cum --
• 23510, A, Whiting, Brueni 11-28PH, Green River, t10/12; said to be flowing; no IP provided; spudded August 25, 2012; total depth of 20,000 feet on September 6, 2012 (12 days); Three Forks; Green River is part of Whiting's Pronghorn Sand prospect;
• 23149, 1,568, Whiting, Fladeland 11-1H, Sanish, 18 days to total depth; 5' flares; no frack data yet; t10/12; cum --
• 23237, 523, Whiting, Britany TTT 13-26TFH,  Sanish, t10/12; cum --
• 23236, 1,662, Whiting,  Matt TTT 13-26H, Sanish, t10/12; cum --
• 22623, 2,766, BEXP, Heen 26-35 3TFH, Todd; t10/12; cum --; 25 days to reach total depth; a long lateral; background gas approached 1,500 units; a Three Forks well;
• 22057, 2,561, BEXP, Wagenman 29-32 1H, Todd, t9/12; cum 5K 9/12;