Eagle Ford Shale Play http://eaglefordshale.com News, MarketPlace, Jobs Tue, 22 Apr 2014 14:32:02 +0000 en-US hourly 1 http://wordpress.org/?v=3.8.3 Kinder Morgan Secures Enough Commitments for Eagle Ford KMCC Pipeline http://eaglefordshale.com/pipeline-midstream-news/kinder-morgan-secures-enough-commitments-for-eagle-ford-kmcc-pipeline/ http://eaglefordshale.com/pipeline-midstream-news/kinder-morgan-secures-enough-commitments-for-eagle-ford-kmcc-pipeline/#respond Tue, 22 Apr 2014 13:42:44 +0000 http://eaglefordshale.com/?p=5365 Kinder Morgan's KMCC and Double Eagle System Map

Kinder Morgan’s KMCC and Double Eagle System Map | Click to Enlarge

Kinder Morgan Energy Partners (KMP) says it has secured long-term commitments for more than two-thirds of the 300,000 b/d capacity on its Kinder Morgan Crude and Condensate (KMCC) pipeline. The pipeline connects Eagle Ford crude and condensate to the Houston Ship Channel.

 

 

Read moreKinder Morgan and Magellan Expanding Eagle Ford System to Move Anadarko Crude & Condensate

In January 2014, Kinder Morgan Crude and Condensate LLC and Double Eagle Pipeline LLC (a 50/50 joint venture between KMP and Magellan Midstream Partners) signed an agreement with Anadarko Petroleum to move its’ Eagle Ford production to the Houston Ship Channel. Also in January, the company put its’ ~$100 million Sweeny lateral into service. This lateral connects KMCC to the Phillips 66 Sweeny refinery south of Houston.

KMP is investing nearly $300-million in additional supply laterals, connections, tanks and truck racks, supported by long-term contracts with customers. The company intends for these projects to enhance the connectivity of the KMCC system to additional Eagle Ford supplies and the Texas Gulf Coast market outlets. Portions of these facilities have been put into service to meet customer demand.

All-together, company officials say Kinder Morgan’s investments related to Eagle Ford crude and condensate opportunities currently total $1-billion. Projects in the works are expected to be online over the course of 2014 and the first half of 2015.

Read more at kindermorgan.com

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Eagle Ford Shale Rig Count Decreases By Four to 263 http://eaglefordshale.com/drilling-rig-count/eagle-ford-shale-rig-count-decreases-by-four-to-263/ http://eaglefordshale.com/drilling-rig-count/eagle-ford-shale-rig-count-decreases-by-four-to-263/#respond Mon, 21 Apr 2014 14:47:15 +0000 http://eaglefordshale.com/?p=5359 ConocoPhillips' Eagle Ford Geologic Map

ConocoPhillips’ Eagle Ford Geologic Map

The Eagle Ford Shale rig count decreased by four to 263 rigs running across our coverage area by the end of last week.

In recent Eagle Ford news, ConocoPhillips increased its Eagle Ford reserve estimates in early April 2014 by 39% from 1.8 billion to 2.5 billion bbls of oil in place. Company officials say production is expected to exceed 250,000 boe/d in the Eagle Ford by 2017. That’s nearly 100,000 more BOE than the company’s target goal at the end of 2013.

Read more: ConocoPhillips Raises Eagle Ford Reserve Estimates By 39% to 2.5 Billion BOE

The U.S. rig count stayed flat at 1831 rigs running by the end of last week. A total of 316 rigs were targeting natural gas (6 more than the previous week) and 1,510 were targeting oil in the U.S. (7 less than the previous week). The remainder were drilling service wells (e.g. disposal wells, injection wells, etc.).  884 or ~48% of rigs active in the U.S. were running in Texas.

Baker Hughes rig count is quoted here. Baker Hughes also releases its own Eagle Ford Rig Count that covers the 14 core counties (217 rigs). The rig count published on EagleFordShale.com includes a 30 county area impacted by Eagle Ford development. A full list of the counties included can be found in the table near the bottom of this article.

Eagle Ford Oil & Gas Rigs

The natural gas rig count remained flat at 16 rigs running by the end of last week. Average rig counts for natural gas production in 2012 were around 82 and then dropped to around 41 in 2013. Natural gas prices stayed relatively flat from last week at $4.76/mmbtu on Friday afternoon.

The oil rig count decreased by 4 to 247 rigs running by the end of last week. WTI oil prices increased slightly, trading at $104.35/bbl on Friday afternoon. Eagle Ford light crude traded at $100.75/bbl on April 17th.

A total of 229 rigs are drilling horizontal wells, 21 rigs are drilling directional wells, and 13 rigs are drilling vertical wells. Karnes, La Salle, Dimmit, McMullen and Webb counties each have at minimum 25 rigs running. Karnes County has the highest rig count this week at 29. See the full list below in the Eagle Ford Shale Drilling by County:

South Texas Oil & Gas News:

Be sure to visit our South Texas Oilfield Job Listings to search openings and come back weekly for updates or sign up for alerts - Daily or Weekly Email Alerts

Eagle Ford Shale Drilling by Count


County Previous Week Current Week County Previous Week Current Week
KARNES 30 29 WILSON 4 4
LA SALLE 27 27 FAYETTE 3 3
MCMULLEN 27 27 GRIMES 3 3
WEBB 23 26 LEE 3 2
DIMMIT 28 25 COLORADO 1 2
DE WITT 23 23 LEON 1 1
ATASCOSA 16 16 WASHINGTON 1 1
LIVE OAK 16 15 AUSTIN 0 0
GONZALES 11 12 BEE 0 0
LAVACA 11 11 DUVAL 0 0
BURLESON 10 10 GOLIAD 0 0
MADISON 10 9 MAVERICK 0 0
ZAVALA 8 7 MILAM 0 0
FRIO 7 6 ROBERTSON 0 0
BRAZOS 4 4 BASTROP 0 0

Eagle Ford Operated Rig Count By Company

SmithBits no longer reports its operated rig count, but we’ll have updated number for you from a new source soon. Until then, you can reference our numbers from mid-April. There has not been a significant change in the overall rig count since this date:

Operator Name Apr-13
BHP (Petrohawk) 28
EOG Resources 25
Marathon Oil 18
Chesapeake 16
ConocoPhillips 10
Pioneer Natural 10
Anadarko 9
Lewis Petroleum 8
Murphy Oil 7
Plains Exploration 7
Talisman Energy (Statoil) 7
EP Energy 6
Halcon Resources 6
Hunt Oil 6
Swift Energy 6
Rosetta Resources 6
Cabot Oil & Gas 5
SM Energy 5
Shell 4
Carrizo Oil & Gas 3
All Others 50+

What is the Rig Count?

The Eagle Ford Shale Rig Count is an index of the total number of oil & gas drilling rigs running across a 30 county area in South Texas. The South Texas rigs referred to in this article are for ALL drilling reported by Baker Hughes and not solely wells targeting the Eagle Ford formation. All land rigs and onshore rig data shown here are based upon industry estimates provided by the Baker Hughes Rig Count and/or Smith Service Co’s (Schlumberger) Smith Rig Count.

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Lucas Energy Sells Stock for Cash As It Attempts to Regain Compliance with NYSE http://eaglefordshale.com/news/lucas-energy-sells-stock-for-cash-as-it-attempts-to-regain-compliance-with-nyse/ http://eaglefordshale.com/news/lucas-energy-sells-stock-for-cash-as-it-attempts-to-regain-compliance-with-nyse/#respond Fri, 18 Apr 2014 14:00:47 +0000 http://eaglefordshale.com/?p=5301 Lucas Energy

Lucas Energy Logo | Click to Enlarge

Houston-based Lucas Energy has entered into an agreement to sell shares of its stock for $2-million to funds managed by two of it’s existing shareholders – Ironman Energy Master Fund and John B. Helmers (Long Focus Capital Management).

The Eagle Ford focused company is facing de-listing by the New York Stock Exchange (NYSE), and has until July 31, 2014, to regain compliance. This $2-million equity offering extends the original compliance deadline of April 14, 2014, which was set by the NYSE from the company’s initial compliance plan on March 28, 2014. Lucas Energy intends to use the proceeds for continued oil and gas development in the Eagle Ford.

In 2013, Lucas held back on Eagle Ford development as it went through a restructuring process. In 2014, company officials indicated the focus would be on asset development. A recent farm-out of ~400 acres in Karnes County for $1-million in March 2014 was in-keeping with the company’s strategy for the year.

Read more: Lucas Energy Farms Out Eagle Ford Acreage for $1-Million

Lucas Energy Deal Terms with Ironman Energy Master Fund and John B. Helmers

Under the deal, Lucas will sell up to 3,333,332 units at 60 cents per unit to Ironman Energy Master Fund and John B. Helmers (Long Focus Capital Managmenet).

“We are encouraged to have two of our existing significant shareholders, Ironman and Mr. Helmers, demonstrate a vote of confidence by taking an increased stake in our Company,” said Lucas CEO Anthony Schnur

Each unit is comprised of one share of common stock plus associated warrants to purchase 1,666,666 shares of common stock at an exercise price of $1 per share with a five-year term. Officials say Lucas will receive cash proceeds when the deal closes on April 21st.

Read more at LucasEnergy.com

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BHP Focused on Liquids Production in Black Hawk Region for Remainder of 2014 http://eaglefordshale.com/news/bhp-focused-on-liquids-production-in-black-hawk-acreage-for-remainder-of-2014/ http://eaglefordshale.com/news/bhp-focused-on-liquids-production-in-black-hawk-acreage-for-remainder-of-2014/#respond Thu, 17 Apr 2014 14:57:13 +0000 http://eaglefordshale.com/?p=5296  

Petrohawk Eagle Ford Shale Map

Hawkville Seen Here Extends into Webb County | Click to Enlarge

BHP Billiton’s Eagle Ford production accelerated at the end of the first quarter of 2014. The company expects continued growth in U.S. onshore liquids production of approximately 75% for the year, with a priority focus on the Black Hawk region of the Eagle Ford in Karnes and Dewitt counties.

A the end of March 2014, BHP completed scheduled well remediation activities in its Hawkville acreage. That contributed in part to a 71% increase in liquids production for the company’s U.S. onshore production over a nine-month time period, ending March 2014. Across the company’s portfolio, liquids production increased 16% to ~210,958 boe/d or 77 MMboe/d over the same time frame.

In February 2014, the company was forced to close portions of its Eagle Ford gathering line system due to corrosion. According to BHP officials, production continued in the play, despite the interruption from the line closure, as trucking escalated to deliver the company’s product to market.

Read more: Portions of BHP’s Eagle Ford Gathering Line System Closed Due to Corrosion

Across BHP’s portfolio, production guidance decreased 2% to ~671,233 boe/d or 245 MMboe. Company officials say the reduction is due partially to lower gas and natural gas liquids production in the Hawkville area of the Eagle Ford. BHP’s total U.S. Natural gas production for a nine-month period, ending in March 2014, declined by 5% to 624 bcf across the company’s portfolio. Onshore production is expected to be ~293,151 boe/d or 107 MMboe.

BHP Eagle Ford Operations at a Glance

  • BHP Billiton has a priority focus on its Black Hawk acreage in Karnes and DeWitt counties
  • Hawkville well remediation activities completed in March 2014 – contributes to a 71% increase in liquids production across company portfolio for 9-month time period
  • Lower gas and natural gas liquids production in Hawkville acreage contributed to an overall production guidance decrease of 2% to ~671,233 boe/d for 2014
  • Onshore U.S production is expected to be ~293,151 boe/d or 107 MMboe for 2014

Read more at bhpbilliton.com

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Eagle Ford Study Shows Significant Increase in Pollution Through 2018 http://eaglefordshale.com/news/eagle-ford-study-shows-significant-increase-in-pollution-through-2018/ http://eaglefordshale.com/news/eagle-ford-study-shows-significant-increase-in-pollution-through-2018/#respond Wed, 16 Apr 2014 13:01:13 +0000 http://eaglefordshale.com/?p=5159 Eagle Ford Satellite Image

Eagle Ford Satellite Image|Click to Enlarge

The Eagle Ford Shale’s economic impact has been felt across the state, particularly in South Texas, but a recent study shows that it may be at a cost to the environment.

In early April 2014, the Alamo Area Council of Governments (AACOG), released data correlating rising Eagle Ford production with an increase in air pollutants.

By 2018, AACOG predicts that unhealthy levels of ozone could have an impact on South Texas as volatile organic compounds (VOCs) rise as much as 281% over 2012 levels. Nitrogen Oxide (NOx) levels are also expected to rise by 2018, but not as drastically. Ground level ozone (i.e. smog) is produced when VOCs and NOx react to sunlight, especially during the summer.

The majority of NOemissions in 2012 were emitted by drilling rigs and well hydraulic pump engines (47%). By 2018, these sources are expected to account for only 9% of these emissions as engines are replaced with models that meet Tier 4 standards*. Compressors and mid-stream sources accounted for 39% of NOx emissions in 2012, but this number is expected to rise through 2018.

According to the EPA (Environmental Protection Agency), “the health effects associated with ozone exposure include respiratory health problems ranging from decreased lung function and aggravated asthma to increased emergency department visits, hospital admissions and premature death. The environmental effects associated with seasonal exposure to ground-level ozone include adverse effects on sensitive vegetation, forests, and ecosystems.”

The report mentioned the San Antonio area, which is the largest city in the Eagle Ford’s wake, has recorded ozone violations since August 2012 in excess of the EPA’s 2008 ozone standard. That puts the region on the brink of a potential non-attainment designation, which could result in federally mandated Clean Air Act sanctions. Beyond the San Antonio area, the study looked at 25-core Eagle Ford counties, including Karnes, Webb, DeWitt and Dimmit Counties. According to the report, all 25 Eagle Ford counties are currently in attainment of all air quality regulatory standards.

Read the full report 

*Tier 4 is comprised of two significant stages for different engine horsepower ratings. The first stage is a significant reduction of particulate matter (PM) and NO, and the second stage is a further but substantial reduction of NOx only emissions.

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ConocoPhillips Raises Eagle Ford Reserve Estimates By 39% to 2.5 Billion BOE http://eaglefordshale.com/news/conocophillips-raises-eagle-ford-reserve-estimates-by-39-to-2-5-billion-boe/ http://eaglefordshale.com/news/conocophillips-raises-eagle-ford-reserve-estimates-by-39-to-2-5-billion-boe/#respond Tue, 15 Apr 2014 14:00:02 +0000 http://eaglefordshale.com/?p=5153 ConocoPhillips' Eagle Ford Geologic Map

ConocoPhillips’ Eagle Ford Geologic Map

ConocoPhillips increased its Eagle Ford reserve estimates in early April 2014 by 39% from 1.8 billion to 2.5 billion bbls of oil in place. Company officials say production is expected to exceed 250,000 boe/d in the Eagle Ford by 2017. That’s nearly 100,000 more BOE than the company’s target goal at the end of 2013.

Read more: Conoco Phillips’ Eagle Ford Production Up 58% to 141,000 boe/d in Q4 2013

ConocoPhillips CEO Ryan Lance commented, “ConocoPhillips’ wells in the Eagle Ford have the highest oil rates per well and are leading the industry in value. This is attributable not only to the fact that we are in the best part of the play, but also to our relentless focus on technical innovation and drilling and completion cost efficiencies,” Lance said. “We are applying these benefits and efficiencies across our unconventional portfolio in the Bakken, Permian, Niobrara, Canada, and outside of North America.

ConocoPhillips’ Eagle Ford acreage is in a prime part of the Eagle Ford, with much of it centered in Karnes and Live Oak counties. The company has 221 M net acres across its’ Eagle Ford portfolio, with more than 3,000 identified drilling locations. ConocoPhillips’ has a 96% average operated working interest in its Eagle Ford wells.

In 2014, ConcoPhillips plans to spend $4.3 billion on the Bakken, Eagle Ford and Niobrara Shale. Drilling costs and completion costs have decreased by 37% and 41% consecutively since 2010 in the Eagle Ford.

ConocoPhillips’ Highlights

  • ConocoPhillips pushes Eagle Ford reserves estimates up 39% to 2.5 billion bbls of oil in place
  • ConocoPhillips predicts 250,000 boe/d by 2017
  • More than 3,000 prospective drilling locations identified
  • Drilling and completion costs down 37% and 41% consecutively

Read more at conocophillips.com

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Eagle Ford Rig Count – 267 – Horizon Energy Signs Lease Option in Webb County, TX http://eaglefordshale.com/drilling-rig-count/eagle-ford-rig-count-267-horizon-energy-signs-lease-option-in-webb-county-tx/ http://eaglefordshale.com/drilling-rig-count/eagle-ford-rig-count-267-horizon-energy-signs-lease-option-in-webb-county-tx/#respond Mon, 14 Apr 2014 14:00:59 +0000 http://eaglefordshale.com/?p=5143 Webb County Eagle Ford Shale

Webb County, TX

The Eagle Ford Shale rig count decreased by one to 267 rigs running across our coverage area by the end of last week.

In recent Eagle Ford news, Horizon Energy Corporation announced in early April that it signed an option agreement for an oil and gas lease in Webb County, TX. The land consists of 1,340 acres located close to Mirando City.

Read more: Horizon Energy Corporation Signs Lease Option Agreement for Eagle Ford Acreage

The U.S. rig count increased by 13 to 1831 rigs running by the end of last week. A total of 310 rigs are targeting natural gas (6 less than last week) and 1,517 are targeting oil in the U.S. (19 more than last week). The remainder are drilling service wells (e.g. disposal wells, injection wells, etc.).  884 or ~48% of rigs active in the U.S. are running in Texas.

Baker Hughes rig count is quoted here. Baker Hughes also releases its own Eagle Ford Rig Count that covers the 14 core counties (220 rigs). The rig count published on EagleFordShale.com includes a 30 county area impacted by Eagle Ford development. A full list of the counties included can be found in the table near the bottom of this article.

Eagle Ford Oil & Gas Rigs

The natural gas rig count remained flat at 16 rigs running by the end of last week. Average rig counts for natural gas production in 2012 were around 82 and then dropped to around 41 in 2013. Natural gas prices stayed relatively flat from last week at $4.62/mmbtu on Friday afternoon.

The oil rig count decreased by 1 to 251 rigs running by the end of last week. WTI oil prices increased, trading at $103.25/bbl on Friday afternoon. Eagle Ford light crude traded at $100.25/bbl on April 11th.

A total of 230 rigs are drilling horizontal wells, 23 rigs are drilling directional wells, and 14 rigs are drilling vertical wells. Karnes, La Salle, Dimmit, McMullen and Webb counties each have at minimum 23 rigs running. Karnes County has the highest rig count this week at 30. See the full list below in the Eagle Ford Shale Drilling by County:

South Texas Oil & Gas News:

Be sure to visit our South Texas Oilfield Job Listings to search openings and come back weekly for updates or sign up for alerts - Daily or Weekly Email Alerts

Eagle Ford Shale Drilling by Count


County Previous Week Current Week County Previous Week Current Week
KARNES 31 30 WILSON 4 4
DIMMIT 28 28 FAYETTE 4 3
LA SALLE 26 27 GRIMES 3 3
MCMULLEN 28 27 LEE 1 3
DE WITT 22 23 COLORADO 1 1
WEBB 25 23 LEON 1 1
ATASCOSA 17 16 WASHINGTON 1 1
LIVE OAK 16 16 AUSTIN 0 0
GONZALES 11 11 BEE 0 0
LAVACA 11 11 DUVAL 0 0
BURLESON 9 10 GOLIAD 0 0
MADISON 9 10 MAVERICK 0 0
ZAVALA 8 8 MILAM 0 0
FRIO 8 7 ROBERTSON 0 0
BRAZOS 4 4 BASTROP 0 0

Eagle Ford Operated Rig Count By Company

SmithBits no longer reports its operated rig count, but we’ll have updated number for you from a new source soon. Until then, you can reference our numbers from mid-April. There has not been a significant change in the overall rig count since this date:

Operator Name Apr-13
BHP (Petrohawk) 28
EOG Resources 25
Marathon Oil 18
Chesapeake 16
ConocoPhillips 10
Pioneer Natural 10
Anadarko 9
Lewis Petroleum 8
Murphy Oil 7
Plains Exploration 7
Talisman Energy (Statoil) 7
EP Energy 6
Halcon Resources 6
Hunt Oil 6
Swift Energy 6
Rosetta Resources 6
Cabot Oil & Gas 5
SM Energy 5
Shell 4
Carrizo Oil & Gas 3
All Others 50+

What is the Rig Count?

The Eagle Ford Shale Rig Count is an index of the total number of oil & gas drilling rigs running across a 30 county area in South Texas. The South Texas rigs referred to in this article are for ALL drilling reported by Baker Hughes and not solely wells targeting the Eagle Ford formation. All land rigs and onshore rig data shown here are based upon industry estimates provided by the Baker Hughes Rig Count and/or Smith Service Co’s (Schlumberger) Smith Rig Count.

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Houston Engineering Firm Opens Eagle Ford Branch Office in Webb County http://eaglefordshale.com/news/houston-engineering-firm-opens-eagle-ford-branch-office-in-webb-county/ http://eaglefordshale.com/news/houston-engineering-firm-opens-eagle-ford-branch-office-in-webb-county/#respond Fri, 11 Apr 2014 14:00:26 +0000 http://eaglefordshale.com/?p=5128 S&B Infrastructure Projects

S&B Infrastructure Projects|Click to Enlarge

Houston-based engineering firm S&B Infrastructure, Ltd. (S&BI) has opened a new branch office in Laredo, TX (Webb County) to serve the Eagle Ford Shale. The company plans on expanding engineering and construction phase management services throughout the play, focusing on infrastructure improvements for Eagle Ford counties. According to S&BI officials, county governments are a primary focus for business development.

 

“S&BI recognizes the importance of having a presence in Laredo and Webb County, which is the sixth largest county in our great state,” said Harold “JR” Reddish, PE, President and CEO of S&BI.

The Laredo office is currently manned by a three-person staff. According to Senior VP of S&BI Daniel Rios, the company is currently working on infrastructure improvements in La Salle County. In the second-quarter of 2012, quarterly taxable spending in La Salle County was $34,540,083. That’s an increase of 536% since 2009. With the continuous and progressive development over the past five years in the Eagle Ford, the revenue streams for counties covering the play are increasing. As these counties’ coffers continue to fill-up, look for more engineering firms like S&BI to target these local governments for their infrastructure improvements.

S&BI has provided planning, design, and construction phase services for over $6.6 billion in infrastructure projects since 1994. The company has other branch offices across Texas and Louisiana.

Read more at sbinfra.com 

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U.S. Energy Corp. Provides Operations Update For Buda Limestone Wells http://eaglefordshale.com/news/u-s-energy-corp-provides-operations-update-for-buda-limestone-wells/ http://eaglefordshale.com/news/u-s-energy-corp-provides-operations-update-for-buda-limestone-wells/#respond Thu, 10 Apr 2014 15:01:42 +0000 http://eaglefordshale.com/?p=5109 U.S. Energy Corp. Oil & Gas Project Area Map

U.S. Energy Corp. Oil & Gas Project Area Map | Click to Enlarge

This week, U.S Energy Corp. provided its operations update for several of it’s Zavala and Dimmit County wells targeting the Buda Limestone formation, which lies just underneath the Eagle Ford Shale. The Beeler #6H well, located in the company’s Booth-Tortuga acreage block, was completed in March 2014, and had a peak early 24-hour flow back rate of 1,185 boe/d, with a 91% oil yield. The company has a 30% working interest and a 22.5% net revenue interest in 12,457 acres of the Booth-Tortuga acreage block. Contango Oil & Gas Company is the operator.

U.S. Energy Corp. also participates with U.S. Enercorp in approximately 4,243 gross (636 net) acres in the Big Wells acreage block in Dimmit County, TX. The leasehold is contiguous to the southwestern portion of the Booth-Tortuga acreage block.

U.S. Energy Corp. CEO Keith Larsen said in a company statement, “having participated in six Buda wells with Contango and two with U.S. Enercorp., we are now beginning to gain a broader understanding of the extent of the play as well as the production response rates. Looking forward, we remain optimistic about the overall potential of the Booth-Tortuga and Big Wells prospects yet we still have much more drilling to do to fully understand the extent of the natural fractures in the region. Additionally, we believe that the potential exists to enhance the production profiles of our wells through down hole stimulation as warranted.”

U.S. Energy Corp. Buda Limestone Well Spud Dates

  • Beeler #8H (Contango, Operator)

Spud on 2.06.14 – peak early 24-hour flow back rate of 886 boe/d; 30-day average production of 347 boe/d

  • Willerson #2H (U.S. Enercorp, Operator)

Spud on 2.03.14 – peak early 24-hour flow back rate of 634 boe/d

  • Beeler #6H (Contango, Operator)

Spud on 2.10.14 - peak early 24-hour flow back rate of 1,185 boe/d

  • Beeler #5H ST (Contango, Operator) & Beeler Unit A #9H (Contango, Operator)

Spud on 3.25.14 and 3.26.14 respectively. Currently these wells are being drilled to their target depths.

Read more at usnrg.com

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Abraxas Petroleum Operations Update Reveals Strong Initial Production (IP) Rate for McMullen County Well http://eaglefordshale.com/news/abraxas-petroleum-ops-update-reveals-strong-initial-production-ip-rate-for-mcmullen-county-well/ http://eaglefordshale.com/news/abraxas-petroleum-ops-update-reveals-strong-initial-production-ip-rate-for-mcmullen-county-well/#respond Wed, 09 Apr 2014 15:30:37 +0000 http://eaglefordshale.com/?p=5111 Abraxas Petroleum, Cave Prospect Map

Abraxas Petroleum, Cave Prospect Map | Click to Enlarge

San Antonio-based Abraxas Petroleum Corp. had good initial production on one of its’ Cave Prospect wells, located in McMullen County, in the first-quarter of the year. In its’ first 30-days, the Dutch 2H had average production of 1,093 boe/d.

According to company officials, Abraxas will shut-in the well for 60-days to drill an off-set well, when drilling is completed on its’ Eagle Eyes 1H well, located in the company’s Jourdanton prospect, in Atascosa County.

Bob Watson, President and CEO of Abraxas, said, “the productivity of the Dutch 2H meaningfully surpassed our expectations, and we recently elected to drill the Dutch 1H to minimize operational impacts and fully develop the two well pad. We will still have another pad in inventory to drill at our Cave Prospect, the Dutch 3H and Dutch 4H.

Jourdanton Prospect (Atascosa County, TX)

Abraxas has a 100% working interest (WI) across its’ Jourdanton Prospect. Here is a brief overview of the company’s current operations in the area:

  • Blue Eyes 1H – 527 boe/d (30-day), 466 boe/d (60-day), 460 boe/d (90-day)
  • Snake Eyes IH – Completed; Well is flowing to sales
  • Spanish Eyes IH – Drilled to total depth of 12,346 feet and scheduled for fracking
  • Eagle Eyes 1H – Drilled to 7,182 feet so far; This is the company’s fourth Jourdanton Prospect well

Cave Prospect (McMullen County, TX)

Abraxas has a 100% working interest (WI) in its Dutch 2H well in the Cave Prospect. Here is a brief overview of the company’s current operations in the area:

  • Dutch 2H – 1,093 boe/d (30-day)
  • Dutch 1H off-set well to Dutch 2H will be drilled when Eagle Eyes 1H drilling has finished
  • 60-Day shut-in of Dutch 2H will commence with the drilling of the Dutch IH well

Dilworth East Prospect (McMullen County, TX)

Abraxas has a 100% working interest (WI) in its R. Henry 2H well in the Dilworth East Prospect. The company plans to complete the R. Henry 2H in May when gas takeaway is available at the lease.

Abraxas is also active in the Bakken, with operations focused in McKenzie County. The company is currently doing its’ first downspacing tests in the Middle Bakken.

Read more at abraxaspetroleum.com

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