Parr unit completed the frack on Saturday, by Sunday almost all equipment was off of pad…however on Monday a new crane was there which had the chistmas tree in the air and tubing was being inserted in the well. If all went well the flowback should start in about a week or less.
Pecan farm site just got county approval on 9/28 to do the pipeline on and around Cr 225, Cr226. These approvals had to be obtained before pipes inserted in the ground.
Francis pad still has rig as of yesterday, it might have been moved to start the third well, but hard to tell since the pad is quite small and so much equipment side by side.
Got some info….EOG starting to work on pipeline around CR 194 where old pipeline that runs to 3 active but old Technik vertical wells in Valentine Survey…also pad site CR 195/CR150 and CR 194. This would take the 4 units on the north end of the Lavaca river and to the south. Redhawk is working on site plan for the 4 units on one pad going between Pecan farm and Blackshear/Parr. Pad around FM 532/ FM 957…pipeline for this one would go across the southeast unit and would tie into the Black Sheer pipeline created for the Blackshear unit. Did not hear anything yet as far as the 2 units that are slated for the south part of the pecan farm site…and nothing about the northern Fayette units yet…..I guess still negotiating…..or just silent….
also nothing as yet as far as the 2 units that are slated for the south of Blackshear/Parr, off Blackshear pad….still hear something about a 3+ mile lateral to tie acreage in the west….they also might be waiting for Parr results
Just trying to get into EOG’s head and what they are after in this area. EOG’s biggest play in the Eagleford is their Dorado Prospect. It is located in Webb county and considered a gassy play. Estimated to hold 21 Tcf of dry gas and located in the upper and lower Eagleford and Austin Chalk. EOG has made deals with LNG off takers because of the amount Dorado has. They are building a pipeline to Agua Dulce for LNG feedstock. This area in Lavaca county is basically on the same Eagleford trend line that Dorado sits in, gassy. The proximity to LNG around Houston is similar. Are they trying to mimic Dorado?
They need more than Dorado to fulfill the future orders they have taken in LNG. Their Utica play can make up the difference…but I was told the Austin Chalk here is what they were hoping to make it big on…..and more in Gas than Oil. After the Francis well, which came in better than expected, they saw that they could make their money back fairly quickly on the oil alone…so they upped their ante and went all in.
So then there was blackshear which came in with more oil than expected but a lot less gas…so it will depend on the outcomes of Parr and Monster to determine the fate of this area. EOG will drill out Francis north to Blackshear…but what else ? The topline number of units looks to be 42 with the fayette county units figured in. these units max out with 4 wells since they have to be 1000 feet part, so 168 wells, and then done. the Austin chalk wells will not hold the eagleford depth after the leases expire even with production…but for the most part the EF (lower & upper) in this area is not profitable.
So 168 wells is not to shabby if the entire area works out, at this point it will depend on the decline curve. IMO this area will not be as good as Dorado as far as gas…but still a money maker, which it’s location is a huge component….close to export facilities….
Right now EOG only has 1 rig in Dorado….basically waiting for the expected price increases in gas coming in late 2026 and beyond. The EOG plan in our area is a quad unit pad with one well in each unit to hold…then come back and complete when the price is right on gas.
Although it appears that Dorado and Fayette / Lavaca are the “same trend”, there are signficiant differences across this generalized Eagle Ford /Austin Chalk trend as to reservoir type, organic richness, thermal maturity, geomechanical properties, O&G in place, recovery factors and operational complexities. One thing for sure is the EOG has worked this play area from updip to downdip in multiple reservoirs - and not just the Eagle Ford / Austin Chalk. Their trend expertise extends across the state line in central Louisiana. Know that they have closely looked at both the mega and micro issues associated with the Fayette / Lavaca area. Ranging from high level depositional variations to micro looks at the reservoir based on core and sample analyses.
Is the Fayette / Lavaca area the same as Dorado? In my opinion - No. But some key factors that are persistent in both areas are “in play” as to how EOG is striving to monetize this new area.
Side note - I have worked the Eagle Ford trend since 2008 when it was in its embryonic form. EOG was the leader in the trend at that time (via their early stealth operations in Karnes and Gonzales Counties). That expertise and experience is impossible to replace.
I have been bullish nat gas for quite some time and I am very surprised that the forwards market is backwardated. With the amount of expected demand in the next 2 to 3 years this market should be in contango. The only thing I can think of is there is probably a lot of hedging from the Producers keeping a lid on the market. That being said the Eagleford is well positioned to fulfill the LNG demands especially on the Texas Coast. With the bullish mindset for nat gas why wouldn’t EOG or KEW, etc. “keep on truckin” east and get into the Eagleford gas play? Is it too deep making the economics not work? According to EOG, Dorado has a breakeven below $1.25 which would make that the lowest cost in the country.
I did some slipshod staff work on SE Fayette leases. More or less east of 957 and south of 10 Redhawk has 134 leases mostly in Taylor and Crier. KEW has 120 mostly in Bostick, Taylor, and Anderson. Acaval has 70 mostly in Burnham, Brookfield (north of 10!), and Sargeant. (Your data may vary.)
Acaval showed up first, then Redhawk and KEW at about the same time. I thought of particular interest was that Acaval showed up first and had their pick and seemed to favor the eastern area around those mostly played out wells where the East Navidad crosses the county line. Thoughts?
It is confirmed that there has been issues on the Parr well. They would not elaborate but issues during after the horizontal drilling before the frack…and then issues during/after frack was completed. All I saw recently that they had to bring a crane back and they had to turn the frack water line back on even though Halliburton materials were gone. Not sure what this means or if it will impact the production outcome.
Person told me they have their fingers crossed, they “think they fixed everything as good as they could “.
Last time Redhawk recorded a lease was 7/31/25…nothing recorded in August or September. Has anyone out there recently ( last 4 months) in fayette county received an offer from them ? Guess they are waiting for the negotiation results…and the results from Monster.
Are they done with Monster and moved the rig sideways to well/unit #2 ? This pecan farm site has been totally shutdown as far as anyone involved uttering a single word.
Lots of things could have gone wrong during frac ranging from collapsed casing (very bad news) in part of the lateral to a frac stage “sanding up” (which only requires washing out that sanded out section with coiled tubing.
If there is casing collapse, that part of the lateral beyond the casing collapse area is “lost” and irreparable
Here’s my two bits on what happened here as to leasing.
Acaval working for EOG and initially going after leases in EOG’s primary area. Then EOG added a second broker firm (under Redhawk moniker) while KEW jumped into the play based on idea of jumping into the EOG trend to get a position. (which is their normal method of operation as to leasing in most areas)
Milton, how deep are they burying the pipeline? The ‘below plow depth’ as usually stated on the lease is a pretty squishy term IMO. Would be nice to know an actual depth even if it is approximate.
Iam thinking they well be 4 ft down they had vacuum truck checking on Colorado Valley telephone lines checking how deep they are and found a line that CVT don’t have a record of.
Got two loads of pipe line pipe waiting to get unloaded.
