When is BP going to start permitting wells in the Haynesville Louisiana . I think they are drilling in Texas....
Any information would be appreciated...
BP doesn't appear to be drilling natural gas wells in either state at this time. BPX has not permitted a Haynesville well in LA since acquiring the BHP assets. The company allowed the pending BHP well permits in 2018 to expire.
Thanks Skip... Do you find it odd that BPX purchased this asset and has not done anything to develop in the Haynesville?
You're welcome, John. Do I find it surprising? Only slightly so. I do not think the Haynesville Shale was the focus of the BP acquisition. I think BP was more interested in BHP's Permian and Eagle Ford oily assets. As long as there is no downside to sitting on BPX's Haynesville reserves, I think they will do so. BP does not have the debt service requirements of other Haynesville focused operators. The company can wait until natural gas prices provide a good reason to restart a development program.
Thanks for your response...
I agree that BP's priority as to BHP assets was the Permian Basin where they are trying to solidify their positive and production. I believe that the HV assets they acquired are mostly HBP (but not totally sure of this)
Most likely 100% HBP (Held By Production).