Collingwood Shale - Michigan
Shale - Oil & Natural Gas Field
The Collingwood Shale is located in the following Michigan
counties: Emmet County, Cheboygan County, Presque Isle County, Antrim County, Charlevoix County, Otsego County,
Montmorency County, Alpena County, Benzie County, Grand Traverse County, Kalkaska County, Crawford County, Oscoda County,
Alcona County, Manistee County, Wexford County, Missaukee County, Roscommon County, Ogeman County, Losco County, Lake County,
Clare County, Gladwin County.
What is the Collingwood Shale?
The Collingwood Shale is an Oil & Natural Gas field between 10,000-12,000 feet below Northern Michigan. The
Collingwood Formation is the latest emerging Oil & Natural Gas field in the form of shale that companies are flocking
to. Things started to heat up in 2008 when Encana began buying up mineral rights acreage. The company drilled their first natural gas well in 2010 which was located in Missaukee County, Michigan.
Encana came up with 2.5 mmcfd of natural gas from that well. Please note, the collingwood shale and utica
shale overlap in this forimation. You will hear oil & gas companies refer to this as the Utica Collingwood.
See Below!
The Collingwood Shale is 40-45 feet thick and is about 2 miles below the
surface. Recently, a land auction brought in a lot of money! Some of the highest counties were Kalkaska, Crawford,
Charlevoix, and Cheboygan.
While many companies have been very silent in regards
to the Collingwood Shale, you can bet we will here more on this shale play in 2013. The price of natural gas around
$3.40 and I feel we may test $5.00 sometime in 2013. Since the Collingwood Shale is so deep, drilling costs are
very expensive. Having said that, it would take a gas price of $6-7 before many more companies step up to
the plate and test this shale formation. As far as Collingwood Shale Oil, I expect oil to be discovered here and oil
prices to hit $95 in 2013.
Collingwood Shale Map - Northern Michigan
Utica Collingwood Shale - The Utica Collingwood Shale
refers to the Utica Shale above the Collingwood Shale. There are a lot of oil & gas companies talking about
the Utica Collingwood Formation right now - Here is what Encana (ECA) has to say about it.
In the Utica Collingwood
shale in Michigan, where we hold about 430,000 net acres, we recently completed drilling of 2 horizontal wells. Although we
previously referred to this play as simply the Collingwood, I must note that we are also targeting the Utica and Collingwood
formations jointly, together. Two recent wells are now in production at average first 7-day sales volumes of 6.5 million and
3.1 million cubic feet per day.
Collingwood Shale
Stocks - Companies Drilling in the Collingwood Shale
BreitBurn Energy Partners LP BBEP - BreitBurn Energy Partners has a large position in the Collingwood Shale located in Northern Michigan
Finally, we’ve been closely monitoring the recent activity in the Utica Collingwood shale play in Northern Michigan. As the
largest gas producer in Michigan, and the owner of significant acreage and extensive infrastructure, we’re well positioned
to take advantage of this emerging play,
There has been a lot
of news in the past few weeks about the Utica Collingwood
shale play in Michigan. BreitBurn holds a significant acreage position in Northern Michigan of more than 470,000 net acres.
Additionally, we own and operate more than 150 miles of high pressure gas gathering lines over 1,000 miles of low pressure
line, more than 100,000 horsepower of compression, three gas processing plants and four NGL recovery plants.
With what we know about the play today, we have more than 90,000 net acres in areas
where we believe the Utica Collingwood is prospective.
The vast majority of our acreage position is held by production, which gives us the flexibility to monitor industry activity
and determine the best course of action to capture that volume.
Encana ECA - Encana is drilling in the Collingwood Shale which is located in Michigan. The Collingwood Shale has the potential to be
a new Oil & Natural Gas field in the United States. In Michigan, where Encana is targeting the combined Utica and
Collingwood formations, the company holds about 430,000 net acres. Two horizontal wells drilled in 2011 have now been tied
into sales with encouraging results. One well has a 7,500-foot horizontal lateral length and the second well has a 5,300-foot
horizontal lateral length. Plant NGL recoveries from the two wells are expected to be in excess of 90 barrels (bbls) of NGLs
per million cubic feet (MMcf) of natural gas production.
