Post Tagged with: "Drilling efficiencies"

Unit Corp. Drilling Program Offers Upside in the Midcontinent

Unit Corp. Drilling Program Offers Upside in the Midcontinent

Wilcox Horizontals Maintaining Rates 210 Days After First Production Unit Corporation (ticker: UNT), a Tulsa-based exploration and production company with subsidiaries in midstream and contract drilling, provided additional detail on its premier oil and gas assets in its Q3’15 earnings release on November 3, 2015. The company released a guidance update about one month ago, forecasting a year-over-year production increase of 6% to 8%, up from its initial range of 2% to 4%. In addition to the guidance increase, UNT expects costs on the E&P segment to be $30 million lower on the year due to greater efficiencies. Unit management believes it will close the year on the high end of its guidance range, while some analyst firms, including Capital One Securities and KLR Group, expect the company to surpass its expectations. SOHOT, Wilcox Exceeding Expectations Unit plans on running two rigs through Q1’16, with one in its Southern Oklahoma[Read More…]

Whiting Petroleum Continues Bakken Well Optimizations

Whiting Petroleum Continues Bakken Well Optimizations

30-Day Rates on New Pads Exceeding 1,000 BOEPD Oil and gas companies are focusing on efficiencies more than ever before, and Whiting Petroleum Corporation (ticker: WLL) continues to progress on its industry-leading acreage in the Williston Basin. Enhanced completions led to a quarter-over-quarter productivity increase of 44% in the Bakken/Three Forks play, the company said in its Q3’15 earnings release. The latest achievement is in line with its Q2’15 results, which reported sequential production uplifts of 40% to 50%. The P Johnson pad, located in the Cassandra area, tested at an average of 5,224 BOEPD per well – the highest rate seen from any producer in the area, according to a note from SunTrust Robinson Humphrey on October 28, 2015. The pad incorporated 7.0 million lbs. of sands per completion, above its previous method of 5.0 million lbs., but estimated well costs of $6.6 million are still about 18% lower[Read More…]

Marcellus, Utica Driving 85% of Shale Gas Growth Since 2012

Marcellus, Utica Driving 85% of Shale Gas Growth Since 2012

Per well efficiencies up 2.6x in the Marcellus and 22.3x in the Utica since 2012 Increased productivity of natural gas wells in the Marcellus and Utica Shale basins is responsible for 85% of increased natural gas production in the United States since 2012, according to the Energy Information Administration (EIA). Natural gas from shale basins is now responsible for 56% of U.S. dry natural gas production. Collectively, shale production from the Marcellus and Utica regions increased by 12.6 Bcf/d from January 2012 to June 2015, making them the driving force behind overall growth. The EIA’s Drilling Productivity Report (DPR) tracks total production and rig productivity in major U.S. basins, illustrating how increased efficiencies have pushed production higher. In the Marcellus, new-well production per rig in January 2012 was 3.2 MMcf/d. By July 2015, that number increased 160% to 8.3 MMcf/d. The trend of new-well production per rig also follows the[Read More…]