Marathon has elected to suspend their Resource Play Exploration (REx) drilling and leasing activity due to the oil price collapse. This includes the presently drilling Crowell well in Rapides Parish. Not a shocking development, but the economics just don't merit capital when capital is so limited in this environment.
Exclusive: Marathon Petroleum explores $15 billion MPLX asset sale - sources
David French reuters.com
HOUSTON (Reuters) - Marathon Petroleum Co, the largest U.S. independent refiner, is exploring the sale of assets of its pipeline subsidiary MPLX LP worth as much as $15 billion, people familiar with the matter said on Wednesday.
As I see today the SAExploration office in Oakdale, LA is completely shutdown and they were the ones who held the permit for 3D MRO survey wit state of Louisiana. Don't look good.
Helicopter crews still working today. Far Northeast Evangeline Parish (Lonepine community area).
Good to hear that aerial effort may still be ongoing. It may be worth the effort for contractor to at least complete 100% of this aerial effort - it is by way the least costly part of any data acquisition effort.
Maybe this will give them some information to re-enter this play at some point in the future.
Personally, I don't see any part of the aerial surveying as a help to support re-entering the play. But it and possible 3D will be beneficial to operators if the decision is made to resurrect the play IF commodity prices drastically change.
The 3D and other surveys are tools to help drill the best laterals - not a tool to support changing economic risk factors based on low prices.
Marathon might sound like a big company, but they have sold off most of their “conventional” assets to focus on shale. Maybe not such a great idea in the present environment. Their market cap is 1/10th the size of ConocoPhillips to put it in perspective. Their stock price dropped by almost 50% on MONDAY. You can not worry about watering the lawn when the house is on fire.
Good post and analogy
NEW POSTING ON SONRIS at bottom on 252119. Anyone who can read between the line?
TA WELL. SET EZSV @ 14,242'. SQZ 86.4 BBLS BLW EZSV & LEAVE 3.6 BBLS ON TOP. SET BP @ 5300' & LEAVE 200' CMT ON TOP. SET BP @ 500' & SET 100' CMT ON TOP. N/D BOP & LEAVE WH IN PLACE.
I'll give it a shot. I'm sure some of our experts will correct me where I am wrong. TA = temporary abandon. EZSV, had to look it up, see link below. SQZ = squeeze (The careful application of pump pressure to force a treatment fluid or slurry into a planned treatment zone. In most cases, a squeeze treatment will be performed at downhole injection pressure below that of the formation fracture pressure. In high-pressure squeeze operations, performed above the formation fracture pressure, the response of the formation and the injection of treatment fluid may be difficult to predict.) BLW = below. BBLS = barrels. BP = Bridge plug. CMT = cement. N/D = nipple down. BOP - Blow out preventer. WH = well head.
Good job Skip.
Bottom line is that this wellbore has been safely and properly abandoned with plugs set at variable positions in the wellbore. It is temporarily abandoned and can be re-entered and have the plugs drilled out.
Note the comment "N/D BOP and Leave WH in place" - a permanently P&A'd well would not leave a wellhead but would instead weld a plate on top of the conductor. This can always be done later if decision is made to permanently abandon the wellbore.