Replies to This Discussion

Permalink Reply by Skip Peel - Mineral Consultant on April 26, 2012 at 3:57

SWN formed a Drilling & Production Unit for the Lower Smackover, Reservoir A in a prior application which was approved.  The field order establishing this unit allows multiple wells to be drilled within the unit boundary as Alternate Unit wells.  The first well in the unit is the Unit Well and all those that follow are Alternate Unit Wells.  Alternate unit wells must be drilled according to the spacing provisions and unit boundary set back requirements of the state.  For that reason the location of alternate unit wells require an application.  Once one or more alternate unit wells are approved the operator must still apply for and receive a drilling permit for each.  A unit order does not require a timeline for drilling the unit well or the alternate unit wells as that is up to the operator.

Permalink Reply by Mr C on April 26, 2012 at 4:03

Thanks for the information.

Permalink Reply by The_Baron on April 26, 2012 at 3:58

looks like they want to drill another since they bungled the first one

Permalink Reply by B Kenner on April 26, 2012 at 4:38

What do you mean they bungled the first on Baron?

Permalink Reply by The_Baron on April 26, 2012 at 8:30

Just look at the scout reports.

SWN has had a hard tim on all its wells drilling laterals.

Permalink Reply by obed w odom on April 26, 2012 at 4:53

Looks as if SWN is proposing to drill 2 laterals of around 5000' each, one proceeding from south to north along the path originally proposed, and the other proceeding from north to south and meeting the first lateral. These 2 laterals together would replace the originally proposed approx. 9500' lateral. They must think the logistics of drilling  one 9500' lateral are just too great.

Permalink Reply by flex auger on April 26, 2012 at 6:06

They are more comfortable with laterals in the 4 to 6'000 range in the fayettville, even cross section wells. Last week i went past a pad in center ridge ar in conway county not far from me that had 12 wells drilled off it, its the most i have ever seen on one pad and ive seen several up here, im sure theres some with more but it was just a first for my eyes. Two is common per pad, five and six are not hard to find, 9 or more are a little rare, i guess you gotta have the right geology in the right place for it to happen.

Permalink Reply by Skip Peel - Mineral Consultant on April 26, 2012 at 8:42

The application is for approval of an alternate unit well location (one well).  The Unit well is the  existing L SMK RA SUA; BML PROP 31-22-1H #1.  Link to well permit follows.  The alternate well will have to be permitted also as this application merely seeks approval of its location relative to the unit boundaries and the existing unit well.

http://ucmwww.dnr.state.la.us/ucmsearch/UCMRedir.aspx?url=http%3a%2...

Permalink Reply by Mr C on April 26, 2012 at 8:45

That makes sense.

Do you think two wells and two 5000' laterals was their plan from the beginning.......or are they improvising as they go?

Permalink Reply by Skip Peel - Mineral Consultant on April 26, 2012 at 16:19

IMO the 1280 acre unit represents their anticipated preferred lateral length.  And it's a good idea to set it up this way for future alternate unit wells which will be drilled the full length of the unit even if SWN drills shorter laterals in the early wells to learn how to get it right.  In other words the unit well and this aligned alternate unit well actually take up the spacing of one future alternate well.  Leaving room for 7 more alternate unit wells.

Permalink Reply by robert edwards on April 26, 2012 at 16:41

is 1280  the averge for laterals in this play?

Permalink Reply by Skip Peel - Mineral Consultant on April 27, 2012 at 2:28

No.  And any average of the laterals drilled to date would have no meaning as the first wells will purposely have shorter laterals and fewer frac stages.  SWN and any other current operators of horizontal LSBD wells are in a learning curve.  And length of laterals and number of frac stages should increase over time with each new well.  That has been the case in other unconventional plays.  In general operators want each well to have the longest lateral they think they can safely manage for economic reasons.

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