Monday, June 11, 2007
EOG Plans (Lots) More Drilling, Mountrail Co.
According to a presentation given by EOG, the company plans to drill 22 Bakken wells this year, but with three rigs busy drilling single lateral wells on 640 acre spacing, that figure may have to revised upward. On one of the company's leasehold maps, it indicates an area of "Bakken Oil Saturation" (which not surprisingly seems to correspond with their leasehold interests). The problem with this representation is that the entire area where the Bakken is mature (deep enough so the pressure and heat creates petroleum from the shales, i.e., in most of the central portion of the Williston Basin) has oil saturation in the Bakken. It actually would make more sense if the company had stated that the area has better than average porosity or fracturing in the mid-Bakken, if that is in fact the case (which it certainly seems to be, at least in Parshall Field anyway).