|
The Eagleford Shale in 2011/2012 - The
Eagle Ford Shale was the hottest oil play in the United States in 2011 but is still only getting started. The best oil field
currently is the Bakken Shale located in North Dakota. However, while the acreage land grab for mineral rights is starting to wind down, the Eagle
Ford Shale is set to produce a ton of oil in 2012. The major players in the Eagleford Shale are here to stay but the
natural gas window seems to be getting very quiet. If Natural Gas prices ever rebound, the Eagle Ford Shale will
make a on two punch with high oil and natural gas rates. Expect 2012 to bring huge joint ventures to the Eagle Ford
Shale's oil window. Oil prices should spike north of $95 at some point in 2012.
EOG Resources (EOG) announces
major oil discovery in the Eagle Ford Shale - In
South Texas, EOG has accumulated acreage across six counties in the Eagle Ford Play.
EOG Resources EOG - Starting 2011 with a 12-rig drilling program that ramped up to 26 rigs in December,
EOG drilled and completed 244 net wells during the year with a focus on optimizing completion techniques, in addition to reducing
drilling days and overall well costs. Moving into development mode early in 2011, EOG began shifting its attention to increasing
recovery of the oil-in-place in the field. To test the impact of well spacing on reserve recoveries, EOG drilled eight pilot
programs that included 33 total wells. Based on production analysis from these pilots and reservoir modeling, EOG is now pursuing
development drilling on 65 to 90-acre spacing, significantly tighter than the original density of 130 acres between wells.
After taking into account both the excellent results from the 375 wells it has drilled to date across its 120-mile
acreage position and the results from the down-spaced drilling tests, EOG has increased its estimated potential reserves in
the Eagle Ford from 900 million barrels of oil equivalent (MMboe) to 1,600 MMboe, net after royalty (NAR). The 700 MMBoe,
NAR, or 78 percent increase represents an estimated 6 percent recovery factor. On its 572,000 net acres in the prolific oil
window, EOG has identified approximately 3,200 remaining drilling locations and increased its average per well estimate to
450 thousand barrels of oil equivalent (MBoe), NAR.
EOG's well results in the Eagle Ford continue to lead the
industry. In Gonzales County, the Henkhaus Unit #1H, #2H, #3H, #4H, #6H and #7H wells were drilled on a pattern of 65-acre
spacing. The six wells were completed to sales at individual initial production rates ranging from 2,424 to 3,733 barrels
of oil per day (Bopd) with 442 to 679 barrels per day (Bpd) of natural gas liquids (NGLs) and 2.2 to 3.4 million cubic feet
per day (MMcfd) of natural gas per well. The Mitchell Unit #3H, #4H, #5H, #6H, #7H and #8H wells, which were also drilled
as down-spaced pilots, began initial production at 2,833 to 3,527 Bopd with 275 to 485 Bpd of NGLs and 1.4 to 2.4 MMcfd of
natural gas per well. The Meyer #3H, #4H, #5H, #8H and #9H wells had individual peak oil rates ranging from 1,647 to 2,813
Bopd with 199 to 413 Bpd of NGLs and 1.0 to 2.1 MMcfd of natural gas.
EOG has 100 percent working interest in
these 17 Gonzales County wells. "With tremendous resource potential still remaining on our acreage, we continue to test
and apply techniques that will increase the oil recovery and potential of the Eagle Ford, our crown jewel. This strategy takes
us into the next inning of development. By concentrating our efforts on getting more oil out of the ground early in the development
phase, we are taking a good asset and making it great," Papa said. "Looking across the industry, we believe EOG's
Eagle Ford position represents the largest domestic net oil discovery in 40 years and the highest rate of return play in North
America today."
Petrohawk Energy Employs Breakthrough Schlumberger
Frac Technology Successfully in the Eagle Ford Shale - The EagleFord Shale Formation is seeing a best technology in the
USA right now Petrohawk implemented Schlumberger's MP7 (HiWAY) flow-channel fracturing technique since October
2010 on a select number of wells as a trial to determine the impact of this novel methodology on horizontal multistage
production in the Eagle Ford Shale. The initial tests were located in various areas of Hawkville Field. The HiWAY fracturing
technique combines fit-for-purpose fracture modeling, fracturing fluids and high-frequency proppant pulsations. The HiWAY
method effectively creates flow channels within the fracture network and increases the overall stimulated reservoir volume
and permeability. Initial production results from this limited set of wells reflect average production increases of
approximately 37% in the areas with gas and natural gas liquids and an average of approximately 32% in the high condensate
yield areas. Additionally, EUR increases from the limited trial, based on internal estimates, ranged from 25% to 90% higher
as compared to offsetting wells completed with conventional fracturing techniques. Petrohawk has converted 100% of frac services
provided by Schlumberger in the Eagle Ford to HiWAY. Currently, Petrohawk is utilizing all available capacity of this technology.
Companies Drilling in the Eagle Ford Shale - Eagleford
Shale Stocks
Discuss Stocks - http://stockstobuy.org
- Anadarko Petroleum APC - Anadarko Petroleum (APC) Eagle Ford Shale - Moving to South Texas, we're currently
running 10 rigs in the liquids-rich Eagleford Shale. During the first quarter, we achieved 55% year-over-year growth in our
net liquid sales volumes in this play. Keep in mind this production growth and our returns on capital are even stronger considering
the $1.6 billion joint venture we executed between last year and this year with KNOC.
Chesapeake Energy CHK - Eagle
Ford Shale (South Texas): Chesapeake’s activities in the Eagle Ford Shale continue to generate strong results
as the company further delineates its 475,000 net acre leasehold position. Approximately 30% and 40% of the company’s
2012 and 2013 drilling budgets, respectively, have been allocated to the Eagle Ford Shale. The company’s production
from the play is growing steadily and substantially. Production for the 2012 first quarter averaged approximately 23,000 barrels
of oil equivalent (boe) per day, up 35% sequentially compared to the 2011 fourth quarter. Approximately 55% of total Eagle
Ford production during the 2012 first quarter was oil, 20% was natural gas liquids (NGL) and 25% was natural gas. Year to
date, Chesapeake’s gross operated oil production in the Eagle Ford Shale has more than doubled from 25,000 bbls per
day at the beginning of 2012 to approximately 55,000 bbls per day at the end of April 2012. The growth has been achieved as
a result of increased infrastructure and takeaway capacity as well as improved lateral steering, enhanced stimulation optimization
and increased operational efficiencies. During the 2012 first quarter, the company brought on line more than 60 wells, including
eight wells with peak rates of more than 1,000 bbls per day of oil. The company has secured pipeline transportation capacity
for all of its projected Eagle Ford shale oil production with pipeline projects scheduled to become operational between May
2012 and January 2013 which will enable significant transportation cost savings relative to truck transportation alternatives.
During the 2012 first quarter, approximately $150 million of Chesapeake’s drilling costs in the Eagle Ford were paid
for by its JV partner, CNOOC. Chesapeake is currently operating 35 rigs in the play and plans to average 30 rigs in 2012.
Three notable recent wells completed by Chesapeake in the Eagle Ford during the quarter are as follows: - The
McKenzie D 3H in McMullen County, TX achieved a peak rate of 1,390 bbls of oil, 60 bbls of NGL and 0.6 mmcf of natural gas
per day, or approximately 1,540 boe per day;
- Blakeway Unit B Dim 1H in Dimmit County, TX achieved a peak rate of 1,200
bbls of oil, 90 bbls of NGL and 0.8 mmcf of natural gas per day, or approximately 1,420 boe per day; and
- The Lazy
A Cotulla M 3H in Dimmit County, TX achieved a peak rate of 1,020 bbls of oil, 35 bbls of NGL and 0.3 mmcf of natural gas
per day, or approximately 1,115 boe per day.
Apache Corp ( APA ) - Apache is now the leader in the Eagle Ford Shale. Apache leads two of the hottest natural gas shale plays in
North America. The other would be the Horn River Basin which is located in British Columbia.
Leo Mariani – RBC Capital Markets - from seekingalpha I
was wondering if there was any update on the Eagle
Ford Shale if you guys have done anything there
recently, picked up any acreage or drilled any new wells. G. Steven Farris Well, we have a pretty
good acreage position in there presently we have about 450,000 acres through the oil side and some in the gas side. In fact,
we're re-looking that. We're not drilling a well at the present time. We're re-looking pressures and core analysis to try
to figure out we drilled a horizontal well that was a very marginal well, frankly, on the gas side.
ConocoPhillips ( COP ) - ConocoPhillips COP Eagle Ford Shale Update - ConocoPhillips continued its focus on the liquids rich Eagle Ford, Bakken and North Barnett shale plays, At Eagle Ford, we expect to maintain a 16-rig average and drill about 180 wells in 2012. First
quarter production averaged 54,000 BOE per day, and current production capacity is around 60,000. It will be our priority
to stay ahead of condensate takeaway capacity to reduce any further curtailments. And system constraints are now primarily
related to gas takeaway capacity in construction and some other infrastructure.
Exxon Mobil XOM - Exxon Mobil is drilling the Eagle Ford Shale 2011 - We also
continue to increase activity in our liquids-rich opportunities in the Eagle Ford and Bakken plays.
During 2010, we drilled 15 wells in the Eagle
Ford, with 5 wells drilled in the fourth quarter.
Occidental Petroleum OXY - Occidental Petroleum has entered the Eagle Ford Shale in South Texas - The South Texas acquisition from Shell were about
$1.8 billion gives us properties, which have over 320 billion cubic feet of gas equivalent, improved and developed reservoirs
and are liquids-rich with a solid inventory of building opportunities. Oxy has already made producing in Texas, and East South
Texas assets further expand our footprint in the state.
Murphy Oil MUR - Murphy Oil (MUR) Eagle Ford Shale in South Texas - Activity in the Eagle Ford
Shale continues to ramp up In the Eagle
Ford Shale, we exited the year near 9,000 barrels of oil per day net as we ramped up our rig count from 3 to 6 over the year.
We now have 7 rigs running, and we'll add 2 more by early March and average 8 for the year. To date, we have drilled 56 wells,
with 9 awaiting fracs. Well results continue to be very encouraging and are trending better than our type curve for wells
in the play. Costs are being worked down with improved service contract terms as well as improved efficiencies in drilling
and completion operations. I expect to see further improvements in cost as gas rigs and equipment stand down across industry
this year.
Cabot Oil & Gas (COG) - Cabot Oil & Gas (COG) is very active in the Eagle Ford Shale - In the Eagle Ford, Cabot recently completed a down-spacing pilot program drilling two wells with the horizontal legs
spaced at 400 feet. "These two wells were zipper fraced and the early stage flowback indicates very positive results,"
commented Dinges. "The wells have 24-hour production rates of 788 and 791 barrels of oil per day, which is greater than
the average initial rates for our entire producing portfolio of Eagle Ford wells."
Pioneer Natural Resources PXD - Pioneer Natural Resources PXD Eagle Ford Shale - In the liquids-rich
Eagle Ford Shale in South Texas, Pioneer and its joint venture partners are currently running 12 rigs. The Company drilled
28 wells in the first quarter and placed 26 wells on production. To improve the execution of its drilling and completions
program and reduce costs, Pioneer is operating two Company-owned fracture stimulation fleets totaling 100,000 horsepower.
The Company is also utilizing a dedicated third-party fracture stimulation fleet, which commenced operating in April 2011
under a two-year contract. Pioneer plans to continue running 12 rigs in 2012 and drill approximately 125 wells. The 2012
drilling program will continue to focus on liquids-rich drilling, with only 15% of the wells designated to hold strategic
dry gas acreage in response to the current low gas price environment. Future plans call for the rig count to increase to 14
rigs in 2013, 16 rigs in 2014 and 19 rigs in 2015. Pioneer increased its Eagle Ford Shale production from 20 MBOEPD
in the fourth quarter of 2011 to 23 MBOEPD in the first quarter. The Company expects production to increase from an average
of 12 MBOEPD in 2011 to 25 MBOEPD to 29 MBOEPD in 2012, 37 MBOEPD to 41 MBOEPD in 2013 and 47 MBOEPD to 53 MBOEPD in 2014.
Pioneer’s gross well cost in the Eagle Ford Shale ranges from $7 million to $8 million per well. Using this well
cost, estimated EURs, assumed flat commodity prices of $100 per barrel for oil and $4 per MCF for gas and excluding the benefit
of the joint-venture drilling carry, the before-tax internal rate of return for the 2012 drilling program is estimated to
be 70%.
- Petrohawk Energy HK - Petrohawk Energy ( HK ) is active in the Eagle Ford Shale. The Black Hawk area (DeWitt
County, Texas) continues to produce excellent results. A majority of Petrohawk-operated wells were produced on a constrained
basis due to transportation infrastructure limitations. During the quarter, Petrohawk averaged nine operated rigs in the Black
Hawk area, with 25 operated and one non-operated wells drilled. Net production from Black Hawk averaged 73 Mmcfe/d, comprised
of 22% natural gas, 62% condensate and 16% natural gas liquids. Transportation infrastructure issues for the Company are moderating
in the area with the addition of a dedicated truck fleet. Modifications to facilities at the Company's Point
Comfort barge facility are nearly complete and the facility is expected to begin operating during the third quarter.
In Hawkville Field (LaSalle and McMullen Counties, Texas),
Petrohawk averaged five operated rigs and drilled 15 operated wells and two non-operated wells during the quarter. Net production
in the field averaged 129 Mmcfe/d, comprised of 67% natural gas, 14% condensate and 20% natural gas liquids. Well performance
in Hawkville Field has continued to improve as a result of the expanded implementation of HiWAY frac technology, deployed
by two dedicated Schlumberger hydraulic fracturing fleets. Petrohawk and Schlumberger are experimenting with variations in
the HiWAY design, including higher sand volumes and fiber concentrations, in an attempt to optimize well performance for each
area of the Eagle Ford trend. In addition, the Company is testing new frac designs in both the Hawkville Field and Black Hawk
area with its Halliburton dedicated hydraulic fracturing fleet. Results in the Red Hawk prospect in Zavala
County, Texas, failed to meet minimum expectations during the quarter. As a result, capital spending at Red Hawk will
be terminated and capital budgeted for 2011 will be reallocated to other operating areas.
Hess HES - Hess (HES) has around 110,000 acres in the Eagle Ford Shale - In the Eagle Ford Shale, we plan to continue to delineate our acreage position, operating a 3-rig program and drilling
approximately 25 to 30 wells in 2012. And we're pleased with the results to date. We've got 109,000 net acres
in the Eagle Ford. We've drilled 29 wells. We've got 22 completed and on production now, 18 with
30-day IP rates, and those are ranging between 350 and 650, with an average of about 500. So, so far, so good on the Eagle Ford.
Exxon Mobile XOM - Exxon Mobile is in the Eagle Ford Shale - Turning now to activities in our unconventional resource
portfolio, a significant level of drilling activity continues in the US. During the quarter, we supplied the first well on
our Birchus Ranch [ph] acreage in the Eagle Ford Shale of South Texas. ExxonMobil holds 50,000
acres in its emerging shale gas play.
Forest Oil Corporation FST - Forest Oil (FST) Gonzales,
Wilson, Lee, DeWitt Counties, Texas - Eagle Ford Shale Play Forest holds approximately 112,000 gross acres (103,000 net) and
is currently running one rig in the oil-bearing section of the Eagle Ford Shale play. Since Forest’s last earnings
release, the Company completed three horizontal wells (100% working interest) targeting the upper-most member of the Eagle
Ford Shale interval. The first well reached a 24-hour maximum production rate of 605 Boe/d (96% oil). This well, which utilized
a new stimulation design, had a 30-day average production rate of greater than 500 Boe/d and, in less than 60 days, had cumulative
production of approximately 25,000 barrels of oil. Forest completed its second and third wells in April and they are
currently testing at 24-hour rates of 449 Boe/d (92% oil) and 116 Boe/d (97% oil). The third well was drilled in the most
structurally up-dip acreage position in order to delineate the areal extent of the play. The Eagle Ford Shale development
plan has evolved from targeting the lower section of the interval with larger fracture stages to targeting the uppermost section
of the interval using smaller fracture stages. The results from this transition have led to a 133% increase in the wells’
30-day average production rate to 468 Boe/d from the initial development program average production rate of 201 Boe/d.
- SM Energy SM - SM Energy (SM) Eagle Ford Shale Update - The Company's operated net production
in the Eagle Ford shale averaged 178 MMCFE/d in the first quarter of 2012. This was a slight decrease from the previous quarter
and was in-line with the Company's production forecast for the quarter. The expected decline was due to the combination of
the Company's shift to pad drilling during the quarter as well as higher levels of down-time on base production due to nearby
completion activity. During the first quarter of 2012, SM Energy operated five to six drilling rigs on its operated Eagle
Ford acreage, and exited the quarter with six operated rigs. The Company plans to release one of the rigs during the second
half of the year, exiting 2012 with five operated rigs. In the non-operated portion of the the Company's Eagle Ford program,
net production for the first quarter of 2012 averaged 12.9 MBOE/d. This amount reflects the reduction in its working interest
as a result of the transaction with Mitsui in December of 2011. The operator ran approximately 10 drilling rigs during the
first quarter of 2012.
- Rosetta Resources ROSE - Rosetta Resources (ROSE) Eagle Ford Shale Program - Rosetta
successfully completed 13 Eagle Ford wells during the fourth quarter of 2011 and 42 horizontal wells for full year 2011. As
of December 31, 2011, the Company has completed a total of 64 horizontal Eagle Ford wells. During the fourth quarter, Rosetta
operated four rigs in the area. Eagle Ford shale well performance
continued to surpass expectations during 2011. At mid-year based on actual Gates Ranch well performance, the Company again
revised its gross estimated ultimate recovery rates to 1.7 MMBoe per well based on 100-acre spacing. Later in the year, Rosetta
increased well density at its Gates Ranch development program to 65-acre spacing based on reservoir analysis of two infill
pilot programs which may result in higher recoveries from the field. Currently, less than 16 percent of the Gates Ranch identified
inventory is drilled and on production. During the year,
Rosetta successfully delineated three new areas outside of Gates Ranch, drilling discovery wells on Briscoe Ranch and Vivion
acreage in Dimmit County and Klotzman acreage in the Karnes Trough area of DeWitt County. More than 200 potential drilling
locations have been identified. In recent Karnes Trough area development, the Company completed another successful well located
approximately three miles northwest of the Klotzman well. The Adele Dubose #1 is located on the 992-acre Reilly lease in Gonzales
County in the oil-window of the play. The well was completed with a 5,626-foot lateral and 15 frac stages and brought on-line
on February 11, 2012. The well tested at a gross stabilized rate of 1,109 Bbls/d of oil, 1.2 MMcf/d of residue gas, and 153
Bbls/d of NGLs for a total of 1,460 Boe/d. An additional
10,000 acres remain to be evaluated in 2012. Rosetta plans to complete 60 Eagle Ford wells during 2012 and continue to operate
four rigs in the area. Total project inventory in the Eagle
Ford grew 63 percent to 508 MMBoe. Rosetta has identified approximately 800 Eagle Ford drilling locations based on well spacing
plans between 60 and 80 acres. At a targeted pace of approximately 60 completions per year, Rosetta expects to develop its
current Eagle Ford inventory over the next 10 to 15 years.
Swift Energy SFY - Swift Energy SFY Eagle Ford Shale
- South Texas - Eagle Ford Operations - In the Company’s South Texas core
area, twelve operated wells and one non-operated well were completed during the first quarter. In McMullen County, five operated
Eagle Ford wells, three operated Olmos wells and one non-operated Eagle Ford well were completed. In Webb County, three operated
Eagle Ford wells were completed and in LaSalle County, one operated Eagle Ford well was completed.
EV Energy Partners EVEP - I want to update you on the Austin Chalk, specifically Apache in its quarterly announcement talked about their effort in
the Eagle Ford Shale. Of the 450,000 net acres that I talked about, the 400,000 of those are
acres that we form down to them. As you may recall, they had an obligation to spend $30 million over a four-year period.
In the first year and this is just what I anticipated, they’ve spent $30 million, there is currently
three rigs drilling horizontally. We are letting Apache, take a lead on making announcements on the Eagle Ford,
which we think is appropriate. They did announce one well on their acreage is producing shift of 500 barrels a day
Marathon Oil MRO - Marathon Oil (MRO) Eagle Ford Shale - "Our activity ramp-up in the Eagle Ford is now delivering 16 to 20 well completions
a month; and, at the end of April production exceeded 20,000 net boed compared to an average of approximately 15,000 boed
over the previous several months. Additionally, we continue to actively manage our portfolio, announcing the sale of our Alaska
assets while we build upon our strong position in the profitable liquids-rich core of the Eagle Ford resource play, adding
20,000 net acres through recent and pending acquisitions with current net production of 7,000 boed, nearly all of which is
operated. We expect these transactions to be closed by the end of the third quarter and to add two rigs to our 18 rigs currently
operating in the play. Our capital, investment and exploration expenditures budget, excluding acquisition costs, will move
up slightly from $4.8 billion to $5 billion as a result of this additional activity and other adjustments.
EAGLE
FORD: Since closing the Hilcorp and related acquisitions in the fourth quarter of 2011, Marathon Oil has entered into multiple
agreements to expand its holdings in the core of the Eagle Ford shale formation in Texas in transactions valued at $767 million,
subject to closing adjustments. The transactions are expected to be closed by the end of the third quarter. Highlights of
these combined deals include: - 20,000 net acres primarily in Karnes and Atascosa counties inTexas
- 13 gross
wells currently producing approximately 7,000 net boed, of which 70 percent is liquids
- Nine additional wells drilled
and awaiting completion
- Approximately 90 percent operated with more than 90 percent average working interest
- Approximately
45 percent of the acreage is held by production
- Projected average price paid for undeveloped acreage of under $27,000
per acre.
Meanwhile, the Company has increased its rig count ahead of schedule and currently has 18 operated rigs
drilling in the play and four hydraulic fracturing crews working, with nine gross operated wells awaiting completion (excluding
those in the acquisitions outlined above). As of the end of April, the Company was producing over 20,000 net boed, of which
85 percent were liquids. Marathon Oil is achieving 24-hour initial production (IP) rates of approximately 1,100 boed on restricted
chokes with approximately 1,000 average gas-to-oil ratios (GOR) and expects these rates to be significantly higher as drilling
moves to the core condensate window of the play. Drilling and completion cycle times have continued to improve each month,
resulting in more new wells brought to sales in April than in the previous two months combined. The Company's "spud-to-spud"
drilling time in the Eagle Ford is now averaging approximately 25 days. To complement drilling and completions activity, the
Company continues to build infrastructure to support production growth across the operating area. Approximately 90 miles of
gathering lines were installed in the first quarter, as well as two new central gathering and treating facilities, with six
additional facilities under construction.
Whiting Petroleum (WLL) - Prospective Eagle Ford Acreage Sold for $66.4 Million, $12,542 per Net Acre
During the third quarter, Whiting sold approximately 3,532 net leasehold acres prospective for oil and gas production from
the Eagle Ford formation in Karnes, Live Oak and Dewitt Counties, Texas for a total cash consideration of $66.4 million before
closing adjustments. The transaction, which was effective July 1, 2011, closed on September 29, 2011. Whiting used the net
proceeds from the property sale to reduce the amount drawn under its Credit Agreement. The non-core acreage sold is
located in Kawitt, Nordheim and Three Rivers Fields, which produce from the Speary, Edwards, Wilcox and Eagle Ford formations.
Recent net daily production was approximately 4.0 MMcfe from 33 producing wells. The property sale also included 16 shut-in
and temporarily abandoned wells. The estimated proved net reserves associated with the producing properties were 1.1 MMBOE.
Whiting valued the existing production in the transaction at $22.1 million net of plugging liabilities and the acreage at
$44.3 million net of the production value, or approximately $12,542 per net acre.
Plains Exploration & Production - PXP - Plains Exploration PXP Eagle Ford Shale Update - In
the Eagle Ford Shale, first-quarter daily sales volumes averaged 13,908 BOE per day net to PXP compared to fourth-quarter
2011 average daily sales volumes of 9,123 BOE per day net to PXP. In March daily sales volumes averaged 15,154 BOE per day
net to PXP. In April average daily sales volumes were in excess of 19,000 BOE per day net to PXP. The Company expects to exit
the year above 26,000 BOE per day. Initial production rates on recently completed wells are as follows: The Jendrusch 1H
achieved a peak rate of 3,168 gross BOE per day (100% working interest).
The Love 1H achieved a peak rate of 2,222 gross
BOE per day (100% working interest).
The Love 2H achieved a peak rate of 2,122 gross BOE per day (100% working interest).
At the end of April, PXP had 8.1 net drilling rigs operating on its acreage compared to 6.9 net rigs at the end of
January 2012. Along with a higher number of rigs operating, drill times are improving with fewer
average days spent on drilling. With more rigs operating and improved drill times, the number of wells drilled but waiting
on completion or connection to pipelines was 31 wells. By year-end 2011, PXP built and completed 7 production facilities.
During 2012 there are 12 additional production facilities and related infrastructure planned for completion, including modification
of 2 existing facilities to bring on additional wells. Each facility has the capability of supporting multiple wells which
allows for step-function growth in sales volumes as each facility is completed.
Schlumberger (SLB) - In US Land, advanced Schlumberger Drilling & Measurements technologies including the EcoScope* multifunction
system, the SonicVISION* sonic-while-drilling service and the PowerDrive* rotary-steerable system have been deployed in 11
wells in various shale plays including the Woodford, Eagleford, Haynesville and Marcellus formations. As well as being used to place wells in the ideal part of the reservoirs and maximize completion and stimulation
efficiencies, the technologies saved three days' worth of rig time per well in data acquisition and drilled the lateral sections
two days faster than conventional motor technology.
Crimson Exploration CXPO - South Texas Shale - Eagle Ford Shale - Eagle Ford Shale – Karnes, Zavala and Dimmit Counties, Texas The Glasscock A #1H (95.5% WI), located in Karnes County, Texas targeting theEagle Ford Shale, commenced production at a gross initial production
rate of 726 Boepd, or 665 barrels of oil and 365 mcf, on a 13/64th choke
and 2,743 psi of casing pressure. Results from prior wells have been reported on 16/64” chokes, and Crimson expects
to maintain this well at current choke size to determine the benefit of more restricted rates on EUR in this field. At the
end of February, the Glasscock B #1H (93.7% WI) well spud and is currently drilling in the lateral section at 11,687 feet.
The B #1H will be drilled to a total measured depth of 15,375 feet, including a 4,350 foot lateral with 18 – 20 stages
of fracture stimulation. Completion operations are expected to commence in early April, with initial production expected to
commence later in that month. The Glasscockacreage was acquired by Crimson
in 2011 after the success experienced on the adjacent Littlepage McBride lease. In Dimmit
County, Texas, the Beeler #1 (50% WI) oil well commenced production in mid-February at a gross 24-hour initial rate of 370
Barrels of oil equivalent, or 337 barrels of oil and 195 thousand cubic feet of natural gas, on an 18/64thchoke.
The well was drilled to a total measured depth of 14,428 feet, including a 7,200 foot lateral, and was completed using 20
stages of fracture stimulation. The KM Ranch #2H
(50% WI) well in Zavala County, our second well in that area, has been drilled
to a total measured depth of 12,875 feet, including a 6,100 foot lateral, and is awaiting completion. The completion of that
well will be delayed until flowback of the Beeler well and its results can be evaluated, and a determination can be made on
whether any change in the completion/flowback recipe for the area should be implemented.
Newfield Exploration NFX - Eagle Ford Shale - Newfield Exploration (NFX) continues to explore and assess its 335,000
net acre position in the Maverick Basin of South Texas. Recent drilling activity in the Eagle
Ford Shale has focused on the "southern" portion of the Company's acreage along existing infrastructure. A pilot
program in the West Asherton area (Dimmitt County, Texas)
is underway with recent wells being drilled from pad locations to help determine optimal development spacing. To date, Newfield
has completed 16 wells in West Asherton with average 24-hour gross initial production of
650 BOEPD. Estimated ultimate recovery from these wells is approximately 300 MBOE. The wells have been drilled in as few as
seven days and gross completed well costs have averaged approximately $6.6 million. Year-to-date,
the Company has completed 24 wells in the Eagle Ford Shale, six wells in the Georgetown formation
and two wells in the Pearsall Shale. Current gross production from the Maverick Basin is approximately 7,000 BOEPD. Newfield's
average working interest in the region is approximately 80%.
GeoResources GEOI - GeoResources (GEOI) Eagle Ford Shale 2012 - GeoResources has two dedicated drilling rigs working in its 24,000 net acre
Eagle Ford play in southwest Fayette and eastern Gonzales counties in Texas. The Company currently
has nine wells producing, four wells waiting on completion and two wells currently drilling in this project area. The Company
expects to begin frac’ing and completion operations on its next seven to nine wells in a “back to back”
fashion in late May or early June. The Company expects to spud 20 to 24 gross wells in its Eagle Ford project area in 2012.
The Company completed six new wells in the first quarter of 2012 using revised completion designs, compared to the Company’s
first three wells in the Eagle Ford. These recent wells have exhibited improved production rates over the Company’s
first three wells. The average 30-day rate on these recent six wells was approximately 500 bo/d which is approximately 130
bo/d higher than the average 30-day rate on the Company’s initial three wells.
Goodrich Petroleum GDP - Goodrich Petroleum (GDP) Eagle Ford Shale Update - Eagle Ford Shale Trend, LaSalle and Frio
Counties, Texas
The Company completed 3 gross (2 net) Eagle Ford Shale and
1 gross (0.67 net) Buda Lime wells during the quarter with an average peak 24-hour initial
production rate of 950 BOE per day (81% oil, 19% natural gas and NGLs).
Talisman Energy TLM - Talisman TLM Eagle Ford Shale Play Drilling Update - We continue to ramp up our
development program in the liquids-rich Eagle Ford, with 12 rigs active at quarter end. During the quarter, Talisman signed
a number of deals with midstream companies to secure significant, long-term egress.
Penn Virginia PVA - Penn Virginia (PVA) Eagle Ford Shale Update - During the first quarter of 2012,
we drilled 11 (9.4 net) operated wells in the Eagle Ford Shale, all of which were successful. We currently have two rigs drilling
our 46th and 47th wells, one well that is WOC and 44 (36.6 net) wells that are producing. As shown in
the table below, the average peak gross production rate per well for 40 of these wells which had full-length laterals was
approximately 1,000 BOEPD. The initial 30-day average gross production rate for 35 of these 40 wells with sufficient production
history was approximately 650 BOEPD. Eagle Ford Shale production was approximately 9,200 (5,800 net) BOEPD during the first
quarter of 2012, with oil comprising approximately 88 percent, NGLs approximately six percent and natural gas approximately
six percent. In late 2011, we announced a 13,500 acre AMI with a major oil and gas company in Lavaca
County, Texas pursuant to which, during 2012, we can earn a minimum of approximately 8,000 net acres. This would bring our
Eagle Ford Shale position in Gonzales and Lavaca Counties, Texas to a minimum of approximately 31,400 (23,100 net) acres,
with up to 190 total well locations assuming down-spacing is successful on a majority of our acreage. The first two wells on the Lavaca County acreage (Effenberger #1H and Vana #1H) were completed and turned in line
during April 2012. Both wells have met or exceeded our expectations with the Effenberger #1H (20 frac stages and lateral length
of approximately 5,000 feet) averaging 922 BOEPD of wellhead volumes over its first nine days of production (90 percent oil
and 10 percent wet gas) and the Vana #1H (13 frac stages and lateral length of approximately 3,200 feet) averaging 709 BOEPD
of wellhead volumes over its first five days of production (94 percent oil and six percent wet gas). The lateral length of
the Vana #1H well was less than expected by approximately 1,600 feet due to an issue with getting casing to the total depth
drilled. Taking into account the lateral lengths, both wells appear to have similar production characteristics during the
initial flowback of frac fluids and are comparable to well results experienced in nearby Gonzales County. Both wells are significantly
choked with the flowing pressure on the Effenberger #1H well at the end of the nine days of approximately 3,450 pounds per
square inch (psi) and the flowing pressure on the Vana #1H well at the end of the five days of approximately 2,300 psi, as
the recovery of fluid continues. A third well in Lavaca County (Schacherl #1H) is currently being drilled, with three additional
wells expected to be drilled during 2012. Our full-year 2012 guidance anticipates 32 (27.6 net)
new wells in the Eagle Ford Shale, including the wells drilled during the first quarter of 2012. Efforts continue to expand
our Eagle Ford Shale position through additional leasing and selective acquisitions.
Comstock Resources CRK - Eagle Ford Shale - The eight Eagle Ford shale wells that were completed had an average per well initial
production rate of 498 barrels of oil equivalent ("BOE") per day. These wells were primarily drilled in the Company's
northern acreage in Atascosa, La Salle and McMullen
counties to earn acreage. Later in 2012 Comstock plans to begin developmental drilling which will allow for cost efficiencies
from pad drilling. These wells are being produced under the Company's restricted choke program. Longer term production results
from the first nineteen Eagle Ford shale wells have confirmed the benefit of this program. The first nineteen wells, which
have been producing for more than 90 days, had an average initial production rate of 782 BOE per day. The 30 day per well
production rate for these wells averaged 584 BOE per day and the 90 day per well production rate averaged 514 BOE per day,
or 68% of the initial 24 hour test rate.
Gastar Exploration GST - Also during the third quarter, we began drilling our first Eagle Ford test well, the Wildman #7H and are currently waiting
on service company availability to fracture stimulate the well, which is expected to occur in late December. A rig is
currently moving to drill our second well to test the Glen Rose formation, the Wildman #8H,
which should spud later this month.
Carrizo Oil & Gas CRZO - Carrizo Oil & Gas (CRZO) Eagle Ford Shale Update 2012 - The Company is temporarily operating four gross rigs in the Eagle Ford and
plans to return the rig count to three in April. Ten wells are drilled waiting on completion in the Eagle Ford with a 2 well
pad being completed.
PetroQuest Energy PQ - PetroQuest Energy PQ Eagle Ford Shale Update - In La Salle County, Texas, the Company
has reached total depth on its PQ #4 Eagle Ford operated well (WI - 47%) and is currently rigging up on its PQ #5 Eagle Ford
operated well (WI - 46%). PQ #4 and PQ #5 are expected to have lateral lengths of 6,112 feet and 6,280, respectively, and
are scheduled to be completed during the second quarter of 2012.
Abraxas Petroleum (AXAS) - Abraxas Petroleum (AXAS) Eagle Ford Shale Update - In DeWitt County, Texas, Blue Eagle participated in a non-operated horizontal
well targeting the Eagle Ford formation with its 43.9% working interest. The well, the Matejek Gas Unit 1, was drilled to
a total measured depth of approximately 17,865 feet, including a 3,600 foot lateral, and will be completed with a multi-stage
fracture stimulation in the near future. Abraxas currently owns an approximate 50% equity interest in Blue Eagle, which is
a joint venture between Abraxas and Rock Oil Company, LLC.
Stone Energy (SGY) - Stone Energy SGY Eagle Ford Shale Update - Eagle Ford shale - Moczygemba #1H (Onshore Oil). This
horizontal well was recently put on pump and is flowing approximately 400 Boe per day, after producing at an initial rate
of over 800 Boe per day. The drilling of a second well (Jarzembek #1H) began in mid-October and a third well is expected to
also be drilled before year end. Stone holds a non-operated 42.5% working interest and approximately 1,600 net acres in this
play.
Royal Dutch Shell (RDS) - Royal Dutch Shell (RDS) recently gave an Eagle Ford Shale Update - Yeah Eagleford overall most of our
liquid activity today is on Eagleford is a little bit elsewhere (Utacurran) and Canada but most of its Eagleford
about 14 rigs quarter million acres, 250,000 about 60% of it is condensate-rich that’s where we are focusing the activity
this year is that right? Yes
Sanchez Energy (SN) - Sanchez Energy (SN) currently has a total of 91,000 net acres in the Eagle Ford shale trend in south Texas, with
a specific focus on the volatile oil, black oil, and condensate windows of the trend. The company's acreage position
is divided into three main project areas as follows:
Palmetto: approximately 9,400 net acres (18,800 gross
acres) in Gonzales County, Texas where the company has 50% working interest;
Marquis: approximately 54,900
net (and gross) acres located primarily in Southeast Fayette and Northwest Lavaca Counties, Texas where the company
has 100% working interest; and
Maverick: approximately 26,400 net acres (33,100 gross acres), located in southern Zavala
and Frio Counties, Texas where the company has an average 80% working interest
The Barnhart #5H, located in the
company's Palmetto area in Gonzalez County, was drilled to a measured depth of 17,122 feet (lateral length of 5,991 feet),
was fracked with 17 stages and placed on production December 2, 2011. Average production for the first 30 days was 1,318
BOE per day on a 14/64 restricted choke. The company has a 50% working interest in this well.
The Barnhart #6H,
also in the Palmetto area, was drilled to a measured depth of 17,719 feet (lateral length of 5,998 feet), was fracked with
18 stages and placed on production December 2, 2011. Average production for the first 30 days was 1,235 BOE per day
on a 14/64 restricted choke. The company has a 50% working interest in this well.
Magnum Hunter Resources (MHR) - Magnum Hunter Resources (MHR) Eagle Ford Shale Update
Eagle Ford Acreage:
24,000 net acres - 100% in the oil window
- 18,712 net acres in Gonzales
amd Lavaca Counties
- 2,065 net acres in Fayette and Lee Counties
- 3,223 net acres in Atascosa County
↑ Grab this Headline Animator
| What Stocks are you Buying? |
|
| Join and Receive Free Stock Alerts |
Copyright (c) 2008-2013 OilShaleGas.com Stockstobuy.org - Blackberrystocks.com - Penny Stocks 2013 - Top Stocks 2013 - Oil Stocks 2013 - Gold Stocks 2013 - Silver Stocks 2013 - China Stocks 2013 - Stem Cell Stocks 2013 - Energy Stocks 2013 - Dividend Stocks 2013 - Natural Gas Stocks 2013 - Restaurant Stocks 2013 - Best Stocks 2013 - OTC Stocks 2013 - Stock Picks 2013
|
