Thursday, September 17, 2009

What In The World Has Anschutz Found?

9/24/09 UPDATE: Anschutz confirmed today at the NDIC hearing that this is mid-Bakken development, and that indeed they did not cross the section line and drilled only a 640 because of pressure (blowout) concerns. Thus, it looks like some type of local geologic anomaly at play here that greatly enhanced the fracture system, and possibly a "collapse feature" caused by the nearby fault.

That seems to be the question in the Cabernet Field area about seven miles west of Manning, Dunn Co. Up until now this field has been a four section Madison pool, which has in recent times been surrounded by the expanding Little Knife, Fayette, and Murphy Creek Bakken field boundaries.

Several weeks ago, Anschutz Expl. finished drilling its first well in this immediate area at
the Stroh 11-1H, sec. 1, T143-R97. What is intriguing is the unconfirmed reports indicating that strong hydrocarbon shows encountered during the horizontal portion that prevented the company from drilling the last mile of the planned two-mile lateral, and that a 110 ft. flare was observed, most likely during a connection or a trip.

These observations seem to be confirmed somewhat by reports that it appears to be an excellent well after being frac'ed, and that a strong drilling flare exists at the company’s offset currently drilling to the east. This is uncharacteristic for this area. Therefore, the question is posed regarding what formation may have been targeted. Besides the Bakken, the Three Forks is a possibility, as potentially is the lower Lodgepole, given the well is about six miles south of Marathon’s Lodgepole discovery in sec. 35, T145-R96.

Nothing from nearby Bakken wells, including Marathon’s a few miles to the NE, or Anschutz’s own wells several miles to the SW indicate that a well in that zone here would have such high potential (absent some localized extreme natural fracture system). But it is unlikely that the company would try some unconventional formation other than the Bakken for it’s initial test in the area. The Lodgepole is a possibility, but seems just too far-fetched at this early stage in that game. A more likely scenario is that they went into the TF, which would indicate that the TF has much better reservoir properties here than the mid-Bakken. If so, it could have a much broader impact as the nearest TF well is about 20 miles to the north.

Anschutz has a number of wells permitted in this area along with about a dozen drilling or spacing units approved or planned. Burlington recently received approval for four 1280 units to the area immediate east and SE of Anschutz’s well. While most everything indicates that the Anschutz well is a mid-Bakken well, a number of things suggest it may not be. If I had to make a guess, I’d say it is in the TF (thereby all but ensuring that it will actually be in any formation but the TF). Time will tell.

14 comments:

Anonymous said...

Very Intersting!!
Please Keep Us Informed.

Anonymous said...

My family's well went into production last week (an Anschutz well near Manning). Based on the fact that you very rarely post, I am kind of peeing my pants with excitement! Thanks for your insite.

Teegue said...

The only reason it's really of interest is the chance that it may be in a non-traditional formation for this area. If it does turn out to be a plain-jane, vanilla mid-bakken well, it won't be much of a story.

Anonymous said...

Well, that was a rather short lived excitement!

The eternal optimism of speculation, however, runs through the veins of every wildcatter.
Never know in this business.

Bri-VA said...

Darwin well in Dunn County is officially fracked. On 8/18/2009. Rate of production is in the 3000 to 4000 range based on simple math. Although by no means the stongest well ever it will be very interesting to see if the lodgepole declines differently than the bakken time will tell.

Brian

Anonymous said...

I am currently receiving an oil check each month from EOG and I noticed they are taking out a transportation charge. I checked with two of my friends who receive checks from other companies and they are not being charged a transportation charge. How do I know this is legal or where can I go to find out more information on it? Thanks in advance for any help I can get. Brandi

G said...

Brandi,

If you haven't already recieved an answer, here's the skinny. Review the lease terms, if EOG has it written in the lease, then they are permitted to take out transportation charges. Not all companies put this clause in their leases. If it is not in your lease agreement, then you should be able to recover those charges. Good luck!

Regards,

Grant Maples

Anonymous said...

Hey thanks for the info. Looked on my lease and sure enough. Dang!! B

Engineering Guy said...

This is a very exciting time for our industry!

Anonymous said...

Anymore news on this well?
Thanks!

Teegue said...

Anymore news on this well?

I'm afraid you are going to have to be a little more specific as to what info you want.

Barnett Shale Mineral Rights said...

Another great article, and interesting comments regarding mineral royalty owners. To the person that was wondering about transportation charges, if it is in the lease they are not in the wrong to charge you for it.

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