Update on Federal Fracking Rules on Federal Land

Link to Rigzone.com here.

Republican government officials again asked President Obama to withdraw rules proposed by the Bureau of Land Management (BLM) that would regulate hydraulic fracturing on federal U.S. and Indian lands.

Last week, the U.S. Department of the Interior said it would delay finalizing hydraulic fracturing rules on public lands to allow for more time to address public comments on the proposed rule.

Finalization of the rule has now been pushed back to 2013, the spokesperson said.

Turn out the lights. Cue up Willie's "The Party's Over."

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I don't think I've seen a worse game played by a team -- at least not recently. The New York Jets tonight -- five turnovers; numerous opportunities to come back and win. Interceptions and then a fumble in the last minute just 25 yards from a winning score. Knocked out of the playoffs; two years in a row not going to the playoffs. 

No Wells Coming Off Confidential List Tomorrow

Maybe I'm missing something, but I don't see any wells coming off the confidential list tomorrow.

The Niobrara: Does This Sound Familiar?

To get up to speed if you are unfamiliar with the Niobrara, it is linked at the sidebar at the right. From one of the linked stories back in 2010:

The Niobrara formation in the Denver basin contains a mean estimated volume of 40 million barrels of oil, 330 Bcf of gas and 32 million barrels of gas liquids; Power River is estimated at 227 million barrels and 227 Bcf of gas; and the Green River Basin is estimated to hold 104 million barrels of oil, 62 Bcf of gas and 3.7 million barrels of gas liquids.

That was from the USGS, 2010, Rigzone.com. 

The estimates have soared to 3.6 billion barrels.

Houston-based Noble Energy Inc. now believes it can pump the equivalent of 2.1 billion barrels of oil out of the thousands of acres of mineral rights it holds in the basin.

From another source:

The vast Niobrara shale formation, which covers much of northeastern Colorado, Wyoming and Nebraska, is now estimated to be a third bigger than first thought. Two of the largest companies drilling the field, Noble Energy and Anadarko, say the area may be capable of producing as much as 3.6 billion barrels of oil over the next several years. 

Five (5) New Permits; Zenergy Reports A Nice Well, Second Bench of the Three Forks? Denbury With A Dry Wildcat East Side of the Basin

Bakken Operations

See comment: when did one bopd match North Dakota's per capita? August 14.  Which, by the way, is my birthday: August 14. Here's the data:

With regard to one bbl of oil/day per capita:

Let's say the daily oil production of oil was 684,000 bbls of oil on August 14, 2012 (see Director's cut dated October 19, 2012).

See wiki population for North Dakota: 683,932.

So, the one bbl of oil/day per capita: August 14, 2012. Another bit of cocktail party trivia.

Active rigs: 184 (steady, but up nicely)

Five (5) new permits -

• Operators: MRO (3), Oasis, Whiting
• Fields: Lonesome (McKenzie), Reunion Bay (McKenzie), Camp (McKenzie)
• Comments: None

Wells coming off confidential list were reported earlier; see sidebar at the right.

Producing wells completed: 

• 22215, 504, WPX Energy Williston, George Evans 11-2HZ, Van Hook, t10/12; cum 13K 10/12;
• 20689, 1,202, Zenergy, Patsy 5-8H, Siverston, t11/12; cum --

Dry hole:

• 17466, dry at 12, 305 feet, Denbury Onshore, Shipton 44-21HSES 21-158N-87W, Wildcat, Ward County, Bakken; this was a wildcat seen mostly as exploratory; spud back in February, 2009; no sundry forms showing fracking; most likely not fracked; gas units maxed out at 250; geologist happy to see what they saw, but not particularly promising to begin with; northwest corner of Ward County (northwest of Minot); far outside the Bakken

New Production Record -- Director's Cut: December 17, 2012 -- Less Drilling; Even Less Fracking; More Production; Majority of Bakken Oil Nows Ships by Rail to East Coast, Gulf Coast, West Coast

Transcribed quickly; there could be errors. More to follow.

Original Post

Link here to the NDIC site.

Also, a stunning graph of this production can be found at CarpeDiem.com.

Oil

• Oct: 747,239 bopd (preliminary, all-time high)(~ 2.5% increase)
• Sept: 729,248 bopd
• Aug: 701,409 bopd

Producing wells

• Oct: 8,025 (preliminary, all-time high) (93 bbls/day/well)
• Sept: 7,899

Permitting

• Nov: 211 (all-time high was 370 in Oct 2012)
• Oct: 370 (all-time high)
• Sept: 273
• Aug: 261

Pricing

• Nov: $81/bbl
• Oct: $87/bbl
• Sept: $85/bbl
• Aug: $81/bbl

Rig count

• Nov: 186
• Oct: 188
• Sept: 190
• Aug: 198

In October: a decline in drilling, an even greater decline in hydraulic fracturing --> but, an increase in oil production.

Majority of Bakken oil is shipped by rail to east coast, gulf coast, and west coast destinations.

Daily natural gas production did NOT increase from September to October, because: dry gas wells and high gas:oil ratio wells are being shut in.

Construction of natural gas processing plants and gathering systems is now affected by the weatehr.

US natural gas storage is 8% above historic (5-year) average;

Additions to natural gas gathering and processing systems still lags production: gas flared did not change: 30%. Compare with historical high of 36% about one year ago.

Draft BLM regulations for hydraulic fracturing on federal lands have been published; a final rule will not be published until early 2013.

Draft EPA guidance for permitting hydraulic fracturing using diesel fuel has been published; final guidance promised in spring, 2013. Guidance?