Replies to This Discussion

Permalink Reply by Skip Peel - Mineral Consultant on October 21, 2015 at 8:52

Without performing a lease analysis it's impossible to know what Jackson Parish lands were acquired by MRD.  As to the Vernon Field, the state database does not show any wells assigned to MRD by Compass or any of the other companies operating in the field.

• ▶ Reply

Permalink Reply by john goodday on October 21, 2015 at 9:52

Have you heard anything about MRD acquiring the Vernon Field from Compass Production who acquired all of Exco's properties several years ago.  The field was drilled by Anadarko who had great success in the Lower Cotton Valley, but only drilled vertical wells.  Would you think MRD's horizontal technology would work down in Jackson Parish.

• ▶ Reply

Permalink Reply by john goodday on October 22, 2015 at 9:46

Jay -   So would you think MRD ends up with the winning bid on Compass' Vernon Field?  Would you be a buyer of their stock at $18 per share?

Thanks so much for the comments.

• ▶ Reply

Permalink Reply by john goodday on October 22, 2015 at 13:09

Assuming Nat Gas prices ever recover - would you think that the Vernon Field could be more fully developed through horizontal drilling in the Lower Cotton Valley?

• ▶ Reply

Permalink Reply by john goodday on October 30, 2015 at 4:11

Jay,

Throughout the Vernon Field (developed by Anadarko) in Jackson Parish - almost entirely Lower Cotton Valley with good nat gas production from vertical wells.   Several of the wells recompleted to the Upper Cotton Valley show oil production as well as gas.  Is this the case with MRD's Terryville Complex?  

• ▶ Reply

Permalink Reply by Skip Peel - Mineral Consultant on October 30, 2015 at 7:04

john, while we wait for a reply from Jay I may be able to help with some comments on reporting production.  Can you post the serial number for one of those several Upper CV wells?

Permalink Reply by john goodday on October 30, 2015 at 11:28

Serial # 192619, 164436, 161818, 212094, 229959, 187741, 229645

To name a few UCV wells which produced oil from vertical wells 

Permalink Reply by Skip Peel - Mineral Consultant on October 30, 2015 at 11:46

john, I agree with Jay.  Those re-completions are producing condensate, not oil.  I suspect that you are looking at the LUW Production portion of the SONRIS Well Files.  The only two categories for production are gas and oil.  The state requires that any liquid be reported in the oil column.  It is confusing but that is the way it works.  These Vernon Field wells are "wet gas" wells although they don't have the level of liquid production in the MRD wells in the Terryville Complex.

• ▶ Reply

Permalink Reply by john goodday on October 30, 2015 at 12:25

Agreed as to "wet gas" part of your explanation, but with horizontal technology employed as in the Terryville Complex - would'n you think that the level of liquid production would increase.

• ▶ Reply

Permalink Reply by Skip Peel - Mineral Consultant on October 30, 2015 at 12:29

That's a question better answered by Jay.  His previous reply in this discussion thread appears to indicate that the Vernon Field has some challenges regarding horizontal drilling that do not exist in the Terryville Complex..

• ▶ Reply