Does anyone have any information regarding BP America activity in the Koala Gas Unit. I have been getting some rather startlingly high offers to buy my mineral interest in the unit, so I'm curious as to what is happening there. I heard early this year that BP America was drilling #3H, but abandoned it. Now I see that they have requested another permit for #3H. I also heard they they started drilling #5H back in March or April, but have not seen a completion report on it. As of this week they have requested a total of eight permits in the Koala Gas Unit. It appears to me that they have requested a triple stack at one point (API #'s 405-30603 [#1H], 405-30615 [#1HB], and 405-30623 [#5H]. I have not noticed a triple stack in San Augustine before. (My mineral interest is leased to Exco Resources rather than BP America, and in the W1 information on the Koala Unit I notice that my property is identified as "unleased," so I assume Exco Resources would be working a deal with BP America.) I would appreciate any information anyone can give me.
I would assume the rock is good in that area. you might be able to use RRC resources to identify nearby wells with production and get an idea what the rock is doing. http://www.rrc.state.tx.us/about-us/resource-center/research/gis-vi...
Today I received a Division Order from BP America for Koala #5H and a check for 365,000 Mcf gas production in August. That explains things to some extent.
BP has turned in IP reports on Koala #5H, Taz #1H & #2H (east side adjoining Koala unit) and Wallaby #1H & #2H (west side adjoining Koala unit).
Koala 5H IP was 15.178 MMcfd on 14.75/64 choke with 8415# FTP (flowing tubing pressure).
Taz 1H IP was 13.371 MMcfd on 21.5/64 choke with 8727# FTP.
Taz 2H was 13.934 MMcfd on 24/64 choke with 8579# FTP.
Wallaby 1H was 13.244 MMcfd on 19.5/64 choke with 8509# FTP
Wallaby #2H was 15.642 MMcfd on 21/64 choke with 8477# FTP.
All five had 10K # bottom hole pressures.
Koala Unit #1H is drilled, waiting on completion (WOC). Counting the two new (pending) permits filed last Friday there are five open permits in the unit yet to be drilled. Taz Unit, next door, has four more wells drilled & WOC. Wallaby has two new permits pending, just filed recently.
So, like dbob said... good rock.
Thanks for the update Jffree. I had heard several months ago that there was a problem with #1H that caused it to not be completed, and that #5H was being drilled to replace it. According to the RRC map those two are co-located, along with #1HB. That is the apparent "triple stack" I mentioned before. It will be interesting to see if #1H is actually completed. This afternoon I received by email an even larger offer for my interest in the Koala Unit. From the IP data you posted, maybe that area is a "sweet spot."