Between Wyoming and California, Incremental Oil and Gas Ltd. (ASX: IOG) operates in three producing fields, with a 100% working interest in each.
The company produces out of the Silvertip field in the Bighorn Basin, in Wyoming and the Sheep Springs field and Round Mountain field, in California.
During Q1, 2017, Incremental produced a total of 56,862 BOE, at an average rate of 632 BOEPD—not including the production from the Florence oilfield. The company announced, in April, 2017, the closing of the sale of the company’s Florence oilfield for $2 million. It noted that the funds from the sale were going to be used for debt reduction, new project acquisition, and working capital.
Development for the Silvertip field
Following recompletions activities on ten wells that took place from September to November, 2016, Incremental reported an average 30-day initial production of 245 Mcf per day. This production rate was well above the expected 100 to 150 Mcf per day.
The ten wells also averaged $33,500 in capital expenditures per well, below the budgeted cost of $35,000 per well.
The success of Incremental’s recompletion efforts in the Silvertip field builds on previous growth the company has made in the asset. As of Q4, 2016 the field averaged 817 BOEPD, up from an average production of 360 BOEPD after the asset’s acquisition, in June, 2015.
Moving forward into the Williston
Incremental announced its drilling joint venture with Armstrong Operating, LLC, in May, 2017. Incremental holds a 10% working interest in the drilling of an exploratory well in the Williston basin Newporte field in North Dakota, where Shell drilled a discovery well that produced of 300,000 barrels of oil.
As of June 28th, the joint-venture well—the Hanson 33-43—had been drilled to a depth of 1,850 feet, with a target depth of 9,500 feet. Four additional well locations were identified in the same producing structure.
Incremental Oil and Gas Ltd. is presenting at EnerCom’s The Oil & Gas Conference® 22
Incremental will be a presenting company at the upcoming EnerCom conference in Denver, Colorado—The Oil & Gas Conference® 22.
The conference is EnerCom’s 22nd Denver-based oil and gas focused investor conference, bringing together publicly traded E&Ps and oilfield service and technology companies with institutional investors. The conference will be at the Denver Downtown Westin Hotel, August 13-17, 2017. To register for The Oil & Gas Conference® 22 please visit the conference website.
