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Permalink Reply by Parkdota on January 30, 2012 at 18:21

http://www.encana.com/pdf/investors/presentations-events/corporate-...

 

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Permalink Reply by kittycatmama on January 31, 2012 at 5:10

PD, thanks for posting this. I think I read somewhere in this presentation that they were keeping only 2-3 rigs in the Haynesville. Wonder if they will continue with their gas factory plan--especially in our area where their returns have been so good. Long Rd gas factory has had tremendous results

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Permalink Reply by dbob on January 31, 2012 at 5:25

If you read the presentation, indications are they will keep the gas factory concept, as much of their work is focues on efficiency, and that is the most efficeient development plan.  Also more long reach laterals.

 

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Permalink Reply by Parkdota on January 31, 2012 at 5:29

I could be wrong but I just don't see them moving forward on that concept at least not until prices rebound, and if they do move forward with only 3 rigs they would only be able to complete one factory (2 sections) per year.  They can make it work over $3mmcf but not in the sub $3's.  Chesapeake, Conoco, Comstock, and now Encana all cutting back on dry natgas.  Post 2015-2016 I believe they'll just start again and might even start on the BO shale.  For 2012 they are drilling BO but I believe that is for lease retainment and, or resource knowledge.

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