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Some geologist and drillers are speculating AC may be more porous and permeable for better mining and production of minerals as it descends off the shelf into a downdip!  We are definitely in dip area. 

Im trying to be positive Skip!!

Below the shelf looks to be the focus but so was the previous TMS/LA Eagleford play.  And we know how that turned out.  I remember an EOG well in Vernon Parish and several by Indigo Minerals across Rapides.  There was even one on my family's hunting lease in far south Sabine.  Hopefully the new completion formula will render some of the fairway economic.  I'll join you in keeping our fingers crossed.

NEBR is across the river from lower Pointe Coupee.  And that area had some pretty good gas wells back in the day - 1982 or so.  And there was a gas well drilled there into the Tuscaloosa Trend maybe five or six years ago.  But the money is in oil not gas.  Good to hear East Feliciana Parish s heating up.  I have little faith in Amelia, they seem to broker land areas off to other developers.  They talk a lot but do not do much.  I still do not think EOG will do anything unless crude oil gets up to $80 a barrel.  But I will take the lease money, like finding money in the road - pick up and use it.

Agree that Amelia is not an operator / driller but will put together acreage blocks and flip them to other companies - that has been their MO for years.

Gas will work depending on results - EOG, Geosouthern and others chasing the AC in Texas in sweet spots using the horizontal frac approach. Geosouthern just recently completed a 6100' AC lateral with an IP of 11.2 MMCF per day with an estimated 100-150 bbls total liquids per MMCF yield (Fayette County).

And a little part of me still believes that EOG is looking to develop larger gas resources to give them leverage to use gas for injection for their major Eagle Ford assets in Texas for secondary recovery. They have already done a few pilots and are reportedly pleased with the results in terms of increased reserves.

Things feel different this time Chip maybe this is it! Found an article today about a a new frac sand terminal being built to support the LA AC. I could not copy it was from a pay site. That is a pretty big development in my opinion.

Is this the one you read about?

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Shale Support Opens Louisiana Rail Terminal

February 16, 2018 [Progressive Railroading] - Shale Support Holdings LLC has opened a new rail terminal in Gibsland, Louisiana.
The terminal features 24/7 service, 100-car capacity, on-site storage for containerized sand boxes and room for future storage capabilities, according to a company press release.
Shale Support provides frac sand and logistical solutions to the oil and gas proppant market. The company is aligned with destination terminals that serve the Marcellus, Utica, Haynesville, Tuscaloosa, Mid-Con, Permian and Eagle Ford shale basins.
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The Shale Support Holdings press release is the only such public announcement that has come across my computer recently.  This particular facility was actually constructed some years ago and was the subject of some confrontational back and forth here on GHS.  Considering it's location in far north LA and rail connections into Arkansas, a group of GHS members claimed the facility was aimed at development in the Brown Dense.  At that time the number of BD directed rigs was low and the number of Haynesville Shale directed rigs was high.  When I pointed this out and suggested that the Haynesville as opposed to the Brown Dense was the target of this frac sand facility, I was accused of trying to downplay the BD so the industry could get cheap leases.  Those who recall that discussion will also recall how the BD failed to become economic.

Unless Craig is referring to a different facility, I think that the Shale Support frac sand facility is more likely aimed at the ~40 rigs running in NW LA as opposed to the possibility of a few rigs running in the central LA AC at some indefinite time in the future.  Of course should the AC play take off, the Shale Support facility might find customers there.  I just don't think the recent announcement connects to the AC at this time.

Skip,

Have to agree on the focal point of this yard. Plus I wouldn't be surprised that companies like this have a master plan that allows them to move sand / proppant anywhere in the US as per demand by having multiple hubs spread out across the country in key "play central" areas.

I can foresee this Gibsland yard being a good "supply hub" that can get proppant to the NE USA as well as down to E Tx , the Eagle Ford and even the Permian. And logically cover the AC frac play.

Pretty sure frac sand suppliers (among others) learned their lessons during the Cline Shale "Explosion" when a lot of support effort was rolled out prior to play being successful (which it wasn't). Several companies got hurt bad by those early entry decisions.

Rock Man, considering the proppant loads which have become common place in high intensity completion designs, I would be curious to know how the demand for frac sand has changed.  With a significant increase in rigs deployed and proppant loads of 2,500 to 4,500 lbs. per linear foot of perforated lateral I would think that the competition among sand companies has ramped up considerably.  And from what I read, I agree that having supply hubs strategically located within active basins is an industry trend.

Skip, that is a "science" that I wish I better understood. There have been several new proppant mines "founded" in the guts of the Permian Basin over the past several months (to a year) - this takes away from demand from outside that area. Has this impacted the Brady area of Central Texas? Or has the Eagle Ford kept this area running hard and fast? And who knows what all the local mines have done to the mines in the far north (Wisconsin et al) that are outside of the oil patch?

But with not all proppant being equal, which mine produces what product? And what are the operators using? The range from 20-40 size to 100 mesh is extreme and each area / operator seems to have their own recipe' to optimize fracs and results.

Resin coated and/or high strength proppants are their own story - but I bet the "pure old normal sand" situation will make ones head turn.

Just saying.

I'm hearing that a mix of sand sizes and even mixtures of different proppant materials are being used.  A number of companies are touting proppant mixes customized for specific areas of a formation across a basin.  You're correct about sand quality.  The Shale Support N LA facilities rail connections to AR are actually to one or more sand mines.  Rail transport is critical to competitive costs unless a mine is so close to end users that only truck transport is required.  That is not a possibility in all the sand hungry basins.

Thanks for you comments about Amelia, I had no idea of how they operate. 

A side note that only identifies my location:  1982  The Spurgeon well was 200 ft from our north property line.

John - East Baton Rouge Parish

PS:  I am having somewhat of a hard time maneuvering on the blog.  Fill free to suggest anything about it.

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