Anyone local to the Avoyelles area hearing anything about the Eagles Ranch Well? It appears that they recently finished drilling well and should be moving frac crews on location soon.
First partial month of production posted:
|RPT DATE||LUW CODE||STORAGE FAC||DOC USE||WELL CNT||OPENING STK||OIL PROD(BBL)||GAS PROD(MCF)||DISPOSITION||CLOSING STK||PARISH|
1327.2 barrels a day average for September. It will likely take some months before we know the well cost.
Skip - at 1327/day, I think it would be fair to say that this well is mid-level at best (opinions might differ on this). That said, what do you think are the driving forces behind EOG's decision to embark on such an ambitious 3D project in the Avoyelles/St. Landry region? I wouldn't think it's based solely on the Eagles Ranch find. What are they seeing that compels them to sink so much $$ into this recent 3D initiative when other haven't?
Old Scout, that's above my paygrade. I agree with Jay that the 180 day IP will be a more definitive benchmark. I also like to review the well costs when they are posted to the state O&G database. We tend to focus on production without accounting for well costs. That's the other side of the profitabililty equation. As far as the seismic and EOG's intentions, I can't offer an opinion. I do think EOG is an exceptional operator but even the best do not bat 1.000. I also know that seismic is a heck of a lot cheaper than drilling test wells.
OS, I was told by the landman that contacted me that the well was making 3500 bbls of water a day. Some if not most of that water could be sand pack/frack water. Once that clears the overall oil and gas production should increase. The other thing he told me is they have 3 wells planned in the area with a fourth possible. He seemed to know a lot about EOG's plans. Yet, he told me he did not know if he was working for EOG. My problem is someone is leasing now on. the East side of the River and we will just sit for the next 3 years or so before they decide to do any drilling. That has been the pattern in the past.
Skip/Joe - thanks for your input. This is definitely crystal ball territory. Certainly understandable why O&G people don't publicize their game plan and you can only take educated guesses as to what their next move will be. It should be interesting to watch this thing unfold.
I see that under well allowables effective date 01/01/2018, end date 6/30/2018 the allowable is now 2100 and the estimated potential is now 2240
Thanks David, Very good report.
I thought it was a good report. Now we need some land men in rapides parish.