During the past week or so, over a dozen drilling permits were issued to primarily Marathon and Encore, and one to Tracker Res., and most within a few miles of the town of Killdeer in central Dunn Co. Just southwest of Killdeer in Murphy Creek Field, Encore and Marathon have reached some sort of agreement whereby Encore is going to develop an number of sections on 640 acre spacing and Marathon will develop its portion of the field on 1280 spacing.
It appears that the time may have to come pretty soon for the state to set some sort of uniform spacing for these Bakken wells instead of leaving it up to the individual companies, which often leads to a hodge-podge of different sized units in the same field. Some companies like Marathon are beginning to place their lateral to one side of the unit which would allow another lateral on the other side of the unit, in the event a second lateral will be economic to drill. Meanwhile, other companies are drilling a lateral through the center of a 640 or 1280 acre unit, which does not allow for infill drilling within that unit. Me thinks its time for some uniform spacing rules.
Then there is this puzzle with the apparent shortage of drilling rigs, why the two rigs that Ansbro had been utilizing in its drilling program (both Nabors rigs, I believe) have been stacked out in Willmen Field since May or June. It appears that Ansbro has temporarily suspended or permanently canceled its drilling program, but that doesn't explain why these rigs aren't being used by another company. If anybody out there knows, let me know. Some rumors are going around that Ansbro and Continental may be joining forces in some manner regarding the development of the hundreds of thousands of acres that Ansbro has under lease primarily in southwestern Dunn Co. In certain areas, Continental is actively leasing whatever acreage Ansbro for whatever reason didn't get.