Industry news


#1

A place to talk about and post articles related to the oil and gas industry.

New article talking about advances in trying to minimize the impact on performance between “parent” and “child” wells.

Link


#2

XTO is building a new regional headquarters in Carlsbad, N.M.

Link


#3

WSJ article about issues on interference on parent/child wells.

Link


#4

The second article this week, along with Chevron, where a major is announcing plans to expand in the Permian, while most of the others are paring back their capital budgets. I worked on a deal once telling the landman we were not interested in leasing to a flipper. His response - “we’re all flippers - all of this is going to end up with a major someday.”

Exxon article


#5

Another article on parent/child interference issues.

Link


#6

Hello Wade;

Interesting articles, and thanks for posting them.

In this particular article, it mentions how Devon and Continental were lowering their well bores to 8 per section. I have acreage in Kingfisher county, OK, and currently there are 4 horizontal wells in the section working the Oswego layer (three 640 acre spacing, and one multi-unit 1280 acre).

I got a letter of intent a couple months ago from another company who wants to establish a 640 acre horizontal drilling and spacing unit in the section. In the document, they want to target the Mississippian (less Chester), Woodford and Hunton common sources of supply.

So the question is, if I’m guessing correctly, there could be more then 8 wells per section under these guidelines providing the drilling takes place within different sources of supply at different depths? That is, if the total footage of depth between formations is equal or greater than the distance between wells operating within the same formation layer?

Thanks, Mike Taylor


#7

Yes, depending on the number of layers of shale you have and how thick each layer is, you could have more wells. If a productive layer is thick enough they can squeeze in more wells with a wine rack configuration or stacking one above another. Not really versed in the formations in that area though.


#8

The Cimarex 2018 Q4 investor presentation has some very nice maps and diagrams that will help you understand the relationship of the various reservoirs. Slide 20 has a good stratigraphic column.


#9

Thanks Martha;

That is good info. Nothing like adding to one’s education too. I’ve learned a lot since a year and a half ago when I first started getting letters in the mail prior to any new horizontal wells. Now, I have a good basic understanding whenever any new documents are received, and how to followup on progress with that information.


#10

I go to every investor presentation every quarter for my operators and download their presentations to my digital files. Some of them remove the presentations fairly quickly so I like to capture them for referral.


#11

Floyd Wilson and other senior management left Halcon. Big news.

Link


#12

Court OKs antitrust claim against Chesapeake, Anadarko. A Pennsylvania court found that the state may pursue an anti-gaming challenge against two of the biggest natural gas developers in the Marcellus Shale. The attorney general’s office raised at least one viable claim against Chesapeake Energy Corp. and Anadarko Petroleum Corp. under the Unfair Trade Practices and Consumer Protection Law (UTPCPL), an en banc panel of the Commonwealth Court of Pennsylvania ruled last week. Now that the interim appeal is settled, the trial court can move forward on a lawsuit in which the state contends Chesapeake rigged royalty payments to Pennsylvania landowners and colluded with Anadarko to cap payouts. “[W]e hold that the Attorney General was permitted to file a UTPCPL-based lawsuit against Appellants, but can only pursue antitrust claims through the UTPCPL where the so-called ‘antitrust’ conduct qualifies as ‘unfair methods of competition’ or ‘unfair or deceptive acts or practices,’ as those terms have been either statutorily defined in the UTPCPL or by the Attorney General through the administrative rulemaking process,” Judge Ellen Ceisler wrote in her Thursday opinion. Judge Anne Covey disagreed, finding that Pennsylvania’s attorney general failed to raise a legally viable allegation.


#13

DrillingInfo has bought Midland Map Co. They have been on a major buying spree!