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As a mineral owner in the Eagle Ford, Vine Royalty likes to stay up on trends and happenings in the shale. Below is a list of moves made by the big operators in the Eagle Ford. Let me know what you're seeing.
You can get a good idea of CHK's plans for Eagle Ford trend by checking their latest investor presentation on their website
Hi Beverly, I hope you find this useful.
Oklahoma City, OK - based Chesapeake Energy, a U.S. oil & natural gas producer announced on its third-quarter financial and operational results (Eagle Ford Shale), they have placed 30 wells on production, compared to 89 wells, a 66 percent, respectively, below prior year-to-date levels. They also anticipate maintaining 3 operating rigs through the end of the year.
Most Eagle Ford wells will last at least 20 years and as long as 30+ years. Problem after the first 12-24 months is that the decline rate will take the wells to a low rate that will maintain with much lesser decline over the life of the well.
About half of the well's total production will take place in the first 18-36 months (time range varies by area).
Expect your well to change hands from one operator to another over its lifetime as each one tries to milk as much oil as possible out of it at as low a cost as possible to keep making money
If you feel comfortable telling us, where is your well with CHK? Abstract name and number would be great and lease name would help too. I would like to look up the completion and production info as well as see the plat to determine if there is room for additional wells - which is where big future money will be.
I know that CHK has put together a pretty good sized acreage position in E Tx to make a play for the Goodland Lime. They have drilled one 7500' horizontal well and rumors say that this well can produce over 500 BOPD.
Still drilling in the Eagle Ford trend in their preferred area while they continue to sell off secondary assets and focus their operations.
As to your question on depreciation / depletion, are you talking about specific producing wells? If so, what area?
Good Morning Betsy, unfortunately we don't have any information on Marlin. Vine Royalty doesn't have any leases with them.
Marlin Energy appears to be focusing on Burleson, Brazos and mostly Grimes Co (see attached PDF of their 11 horizontal permits in this area).
They have 9 wells producing (all horizontal) as of Sept 2015 with total monthly production of 20,000 BO and 50 Million CF of gas
I have a Lease with Gambit Energy for 30 acres in Dimmit County - Bermuda division. Gambit declared Bankruptcy in 2014. My lease will expire in March 2016. Does this make it available to be leased again?....or can I lease now, since the company is Bankrupt?
☆★☆ more questions ~ I also have 2 other leases with 2 separate companies for 10 acres each. Both companies said they were going for the Buda Reservoir. What is the action on the Buda? I was told they would be the well-head for each of these companies - horizontal drilling. I only hold the mineral rights for these acres...are there any advantages to having the well-head on these acres for me? And is there ever any vertical drilling still being done in Dimmit County? I would appreciate any updates or information. Thank you.
I believe - if it is a paid up lease - that the groups who have been assigned the Gambit position as part of the bankruptcy process will hold this lease until expiration