Wednesday, April 30, 2008
What I find interesting is their best drilling time of 21 days, which is about how long it took companies to drill a vertical well to 10K ft. in that area not too many years ago. No doubt their use of the new H&P flex rigs is contributing to that feat.
Also interesting is their projection of peak production of 20K bbls/day in 2012, which is about three times their projected daily production rate for this year. That may difficult to acheive though because at some point the new wells are merely making up for the older declining wells, and it gets pretty tough to post such gains, unless of course you are drilling a lot more wells per month then you had in the past.
Wednesday, April 23, 2008
Also, there is a very detailed examination of the Bakken play at the
The Oil Drum, which I confess I only have time to skim through right now.
Saturday, April 19, 2008
Thursday, April 10, 2008
The most important elements used in their geologic model were "(1) the geographic extent of the Bakken Formation oil generation window; (2) the occurrence and distribution of vertical and horizontal fractures; and (3) the matrix porosity within the middle sandstone member." Thus, it appears that the area where the Bakken has generated oil was divided into five separate assessment areas based on what appears to be somewhat comparable geologic characteristics of mainly the middle Bakken member. That consideration appears to be based on the fracturing and porosity present in those areas.
After challenging someone to show where there were more than one billion of recoverables in ND for months and getting no response, I feel pretty foolish for throwing out a 20 billion bbl number last night for the entire Bakken.
From the Dickinson Press:
Mike Armstrong, president of Dickinson-based Armstrong Corp., an oil and gas prospecting firm, said he was excited to hear the news but gave a skeptical reaction to the report. “How about this: Don’t over react,” Armstrong said. “A study is just that, it’s a study. There’s no guarantees.” Armstrong, who’s been in the oil business since 1975, said he thinks the report’s figure is an over-estimate. “I think they’re stretching it – a lot,” Armstrong said.
USGS Press Release
USGS Fact Sheet
USGS Interview (Audio)
Dickinson Press Article
New York Times Article
Tuesday, April 8, 2008
There must be at least one savant out there that can predict this to within 10-15 million bbls, not? Unless someone wants to donate some mineral rights, I don't see there being any prize to the winner, except knowing that you probably should have instead picked some lottery numbers. (I don't see this contest going anywhere for some reason.)
I don't think we'll let Mr. Steece from SD play, as he isn't quite sure where the Bakken extends. (Hint: look at some logs of some wells in SD and see if you can find it -- you won't). The part that really cracks me up is the "not fully convinced" and "it would not be wise" parts.
From the 4/8 Sioux Falls Argus Leader:
Fred Steece, oil and gas supervisor for the state Department of Environment and Natural Resources, said its not clear how much of the formation reaches South Dakota and whether the parts that do contain recoverable oil reserves. “Geologically, were not fully convinced that the productive zone of the Bakken extends into South Dakota,” Steece said.
“Otherwise, Im sure there would be people in here. There would be leasing and test drilling.” Its possible South Dakota could benefit from a Bakken boom, Steece said, adding that it would not be wise to start planning on bountiful production estimates based on expansive reserves that could be difficult to extract.
Tuesday, April 1, 2008
A complex quagmire has become apparent in T145-R96 after 1280 acre spacing and drilling units were created from different directions and fields. And what happens when you get to the middle and want to join everything up . . . . well, maybe a few orphaned sections that won't fit into the prevailing spacing pattern.
The NDIC says enough of this nonsense and has put a 90 day stop to the madness while everything (apparently) is sorted out.
During March 15 wells were spudded. EOG 4; Hess 5; Whiting 2; Fidelity 2; Behm 0; Brigham 0; Hunt 1; Murex 0; and Slawson 1.
During March NDIC issued 31 new permits to drill. EOG 13 permits in Wayzetta, Austin, Burke, Clearwater, and Ross Townships. Whiting 5 permits in Crane Creek, Osborn, and Knife River Townships. Hess 2 permits in Idaho and Ross Townships. Fidelity 0 permits. Slawson 2 permits in Parshall and Crane Creek Townships. Hunt 2 permits in Oakland and Austin Townships. Murex 1 permit in Sikes. Brigham 1 permit in Alger. Sinclair 2 permits in Burke Township. St Mary 3 permits in Lostwood and Powers Townships.