Eagle Ford Regional Rig Count 267 – Shell Will Exit the Eagle Ford – Oct 4, 2013

Shell Will Sell Over 100,000 Acres and Gross Production of More Than 30,000 boe/d
Eagle Ford Shale Well Map

Eagle Ford Shale Well Map | Click to Enlarge

The Eagle Ford Shale rig count decreased by two rigs from 269 to 267 running last week. Without a major change in commodity prices, watch for the rig count to remain flat to up a bit throughout the rest of the year. Also, watch for companies to begin releasing 2014 development plans. We’re hearing several companies might add rigs early in the year.

The most interesting announcement of the week was from Shell. The company plans to sell over 100,000 acres and operated production of ~30,000 boe/d gross in the play. They company stated their position simply hasn’t met their criteria for size and investment returns. My bet is a smaller company can make the position work better than a super-major with competing interests around the globe. Read the full article Shell’s Eagle Ford Acreage Is For Sale.

The U.S. rig count increased 12 rigs from 1,744 to 1,756 running over the past week. A total of 378 rigs are targeting natural gas (2 more than last week) and 1,372 are targeting oil in the U.S. The remainder are drilling service wells (e.g. disposal wells, injection wells, etc.). 830 rigs 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 (227 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 increased by one from 38 to 39 rigs running over the past week. Natural gas prices were trading around $3.60/mmbtu on Oct 4th.

The oil rig count decreased by three rigs from 230 to 227 running. WTI oil prices were trading just below $103/bbl. Oil prices have been above $100 for 13 weeks now. Eagle Ford light crude traded at $100.25/bbl on Oct 4th.

A total of 232 rigs are drilling horizontal wells, 22 rigs are drilling directional wells, and 13 rigs are drilling true vertical wells. Karnes and McMullen counties lead development with 31 and 30 rigs running, respectively. See the full list of drilling by county below.

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 County

County Previous Week Current Week County Previous Week Current Week
KARNES 31 31 FAYETTE 3 4
MCMULLEN 35 30 WILSON 4 4
LA SALLE 23 27 COLORADO 3 3
DE WITT 25 26 BEE 2 2
GONZALES 25 26 LEON 3 2
DIMMIT 26 24 Washington 2 2
WEBB 21 20 DUVAL 1 1
LIVE OAK 16 14 GRIMES 1 1
ATASCOSA 10 9 LEE 1 1
ZAVALA 7 8 MAVERICK 1 1
BRAZOS 7 7 MILAM 1 1
LAVACA 7 7 AUSTIN 0 0
MADISON 6 6 GOLIAD 0 0
BURLESON 4 5 ROBERTSON 1 0
FRIO 3 5 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.

The following two tabs change content below.
R.T. Dukes

R.T. Dukes

Managing Editor at EagleFordShale.com
R.T. is the managing editor of EagleFordShale.com. In prior roles, he advised major oil companies on strategy, the macro business environment, and opportunity screening. 2503 Robinhood, Houston, TX, 77005, U.S.A. | Telephone: 832.429.4790

Add a Comment

MENU