Thank you for posting again Debra!
BLM Holds Record-Breaking Permian Auction in N.M. _ A Bureau of Land Management auction for drilling rights in New Mexico’s Permian Basin generated $972 million, shattering the agency’s previous high set in 2008. The sale also set a record for the highest bid on a single parcel at $95,001 per acre, more than double the previous record of $40,001 per acre set in December._
I asked for New Mexico to BRING IT ON about the Permian compared to Scoop!
Looks like Jeffrey BROUGHT IT!
100’s of feet vs thousands…
Edit: But still it costs BILLIONS to get it to market!
Permian Crude Oil Pipeline Estimated at $2B _ Magellan Midstream Partners says the 600-mile oil pipeline it plans to build from the Permian Basin in West Texas to the Gulf Coast will cost about $2 billion and could begin operations in mid-2020. However, the final cost will not be known until shippers make commitments._
Well Debra some good news for you. The total area that Scoop, Merge, Sohot, Stack etc covers is much bigger than the highly productive area being drilled in New Mexico. I don’t have the data to make the exact comparison, this is armchair geology, but I think OK will do just fine.
Oklahoma oil is…….OK!
1 million barrels of Iranian oil coming off the market and Iran says we can’t make it up.
The United States won’t be able to bring Iranian oil exports to zero because the other producers can’t offset the loss of all of Iran’s oil barrels in an already tight market…analysts now expect the sanctions to remove more than 1 million bpd of Iranian oil from the market.
Continental Resources alone can make up about an extra 60,000 bpd next year, with about 1/2 of that coming from Scoop alone.
A large portion of the company’s growth is focused on its SpringBoard development in Oklahoma’s SCOOP formation. That development, which has an estimated 400 million barrels of oil equivalent resource potential, could boost Continental’s oil production by 10 percent over the next 12 months, the company said.
(Continental) 2Q18 Average Daily Production up 26% Year-over-Year to 284,059 Boe per day
And you add Stack, the Permian, New Mexico, Wyoming, and the rest of the rapidly growing US shale production, plus extra production coming from our allies, and we will make up that 1 million barrel reduction from Iran in record time!
One thing is for sure, that 1 million barrels of Iranian oil is coming off the market by the end of the year and Oklahoma needs to be ready to do our part to make up the difference!
Can India Afford To Cut Iranian Imports To Zero?
They can and they will!
“We have told the Indians consistently, as we have told every nation, that on November 4th the sanctions with respect to Iranian crude oil will be enforced, and that we will consider waivers where appropriate, but that it is our expectation that the purchases of Iranian crude oil will go to zero from every country, or sanctions will be imposed,” U.S. Secretary of State Mike Pompeo told reporters on September 6.
China will be a little tougher nut to crack.
China Rejects U.S. Request to Cut Iran Oil Imports
But China can and they will too!
$506 billion in imports from China will get that job done.
The U.S. trade deficit with China was $375 billion in 2017. The trade deficit exists because U.S. exports to China were only $130 billion while imports from China were $506 billion.
China and India are the 2 biggest importers of Iranian oil in the world.
China is Tehran’s biggest oil buyer, and India is its second.
And they are both going to go to zero for simple economic reasons and so will the others, like South Korea.
So that means that 1,000,000 barrels of Iranian oil are coming off the market by the end of the year.
And the American oil industry will have to do its part to fill that gap.
And that means that Scoop oil production and Scoop mineral rights are going to be more valuable THAN EVER!
This is only one guy’s opinion.
But it could happen.
And one thing is for sure…$95 oil would be GREAT for Scoop!
Oil Could Jump To $95 This Winter
This means more American LNG exports to western Europe.
Germany Blinks First In Ongoing European Gas War
Uniper, a major German electric utility, said on Monday it’s ready to import LNG into the country and distribute it should a terminal be built at Wilhelmshaven, close to its storage facilities.
And that is great news for Scoop.
Excess natural gas keeps pricing for Oklahoma producers discounted
It seems like every day there is more good news for Scoop!
well we just got the call !!! it looks like sec 33 7n 6w is getting another well! not real happy were there wanting to stick the dam thing for sure so they better grease there pockets. so with that said! what surface damage paying: 3 acre location in cropland?
lease road damage? pipeline damage? lost of productive agriculture land? let me know your best guess’s and thoughts. thanks in advance.
Looks like CLR is now on Row 3 with in the Phase one (springer) with the Martha Unit and the Wheeler Farms Unit. Also looks like they have have decide to “upspace” to 3 springer wells per unit rather than 4 at least in this area.
Could be Jake.
Because Continental just started drilling 2 Hart wells in the Springer in 25 and 24-7-6 (50% each).
They have permits for 4 Hart wells but they may drill only 3 like you said.
In addition, they are drilling 5 Williams wells in the Woodford from 25 (10%) down through 24 and 13 (45% each).
Also, they are drilling 3 more Pyle wells in the Woodford (to go along with the first horizontal Pyle well) in 25 and 36 (50% or 44% each.)
So Continental is drilling right now SIMULTANEOUSLY 10 wells in and under Sec. 25-7-6.
They must really be expecting GREAT RESULTS to be concentrating so many of their rigs in such a small area.
Way to go, Continental!
Lets add the 3 CASH wells recently permitted in 26 and 23 07n 06w…already had a well, sawyer1 in 26 and the cash1 in 23.
The BIRT wells in 13 and 14 should be near completion…Oughta give us a good estimate of what the Springboard is capable of producing…IMO
13 and 12 not 14…spuded in march/april
The last guy said $95 oil is coming. These guys say $100 oil by the end of the year.
“The market does not have the supply response for a potential disappearance of 2 million barrels a day in the fourth quarter,” Mercuria Energy Group Ltd. co-founder Daniel Jaeggi said in a speech at the S&P Global Platts Asia Pacific Petroleum Conference, according to Bloomberg. “In my view, that makes it conceivable to see a price spike north of $100 a barrel.” Meanwhile, the co-head of oil trading at Trafigura, another top oil trader, said that $100 oil was possible by the end of the year.
I say SPLIT THE DIFFERENCE and make it $97.50 oil by the end of the year.
That’ll work for Scoop!
Into the 7th month from the start of the SpringBoard my count is…
Springer wells - 32* Permits to Drill - 21* Notifications of Well Spud
Woodford/Mississippian wells - 10 Permits to Drill - 9 Notifications of Well Spud
*- Reduced count by 1 to allow for the ROBINSON 5-15-10XHS which was replaced with the ROBINSON 5R-15-10XHS
Continental rep is talking about the 50 year lifespan of Bakken wells.
Each well has a lifespan of 50 years, Hume said.
But it ought to apply to Scoop wells, too!
Way to go Continental!
What great info on this forum! Another out of state guy with a question. Any recent news on Section17-7N-6W? Thanks
Continental Resources has quite a few cases pending including an increased density case. You can look them up on the OCC OAP site. OAP The case numbers are 201803469, 3466, 3474, 3473, 3472,3471,3470 You might want to check the respondents list on 201803469 to make sure your address is correct if you are not getting all these in the mail.
Thanks for all the help and information!
Now this is…BETTER!
Let’s just…SPLIT THE DIFFERENCE.
That’ll work…FOR SCOOP!