Vitesse Energy Grabs 19,000 Net Bakken Acres -Sept. 2014

September 30, 2014 Kirk Eggleston

Centennial, CO-based Vitesse Energy, LLC has purchased non-operated oil and gas assets in the Williston Basin from EnerVest Operating, LLC for $186.5-million. Included in the deal are working interests in approximately 600 wells and over 19,000 net acres in core Bakken Counties of Williams, McKenzie and Mountrail.

“Vitesse CEO Bob Gerrity, said, “this acquisition represents a synergistic addition to our existing high-quality acreage in the core area of the Bakken and Three Forks play, and also provides new growth opportunities in developing areas of the field where technology continues to enhance returns.”

The agreement was signed on August 1st, and closed on September 8th. Vitesse Energy, LLC is a subsidiary of U.S.-based holding company Leucadia National Corporation.

EOG Resources Nearly Doubling Bakken Activity in 2014

February 25, 2014 Kirk Eggleston

EOG Resources sees the Bakken as a high rate of return growth play, and plans on drilling 80-net wells in 2014.

That's nearly double the number of net-wells drilled in 2013, which was 54. At that rate, the company has a drilling inventory in the Bakken of ~8 years.

EOG Resources Bakken Development in 2014

EOG Resource's focus area will be in its Bakken core acreage (~90,000 net acres) and the Antelope Extension area.

Based on successful drilling results in the Three Forks formation in the Antelope Extension in 2013, EOG plans on testing additional benches during 2014.

Completion and cost improvements in the play have resulted in EOG deciding to direct more of its capital budget to the Bakken.

“EOG is directing a larger percentage of its 2014 capital budget to the Eagle Ford and Bakken where we have tremendous drilling opportunity with excellent rates of return,” said CEO, William Thomas. “By increasing activity in these plays, we expect the momentum and operational efficiencies we’ve created to continue.”

In 2013, EOG ramped up its drilling plan from one to four wells per section, while increasing the average recoverable resource per well. More downspacing is expected in 2014.

EOG Resources Bakken Well Highlights

Wayzetta 30-3230H and 31-3230H (Mountrail County)

Initial production (IP) of 2,510 b/d and 2,540 b/d crude oil respectively

Wayzetta 35-1920H (Mountrail County)

Initial production (IP) of 2,240 b/d crude oil
Initial production (IP) of 1.2 mmcf/d natural gas

Hawkeye 2-2501H (McKenzie County)

Initial production (IP) of 2,075 b/d crude oil
Initial production (IP) of 3.8 mmcf/d natural gas

Continental's Bakken & Three Forks Density Test Yields Almost 15,000 boe/d

November 12, 2013 R.T. Dukes

Continental Resources Hawkinson Bakken Three Forks Density Test

Continental set a record with third quarter production of 141,900 boe/d. Bakken production grew 7% and accounted for 94,500 boe/d of the total.

Continental operated 20 rigs in the Bakken region during the quarter and grew gross production to almost 120,000 boe/d (94,500 boe/d net). That's 51% higher than the third quarter of 2012 and even more impressively, Montana production grew 17% over the second quarter.

Continental participated in the drilling of 203 gross (75 net) Bakken-Three Forks wells and the number of drilled, but not completed wells grew to 85. The company expects to participate in a total of 761 gross (282 net) Bakken & Three Forks wells in 2013.

The company also reached its year-end target of $8.0 million well costs during the quarter.

“....In addition, we completed our first density test in the Hawkinson spacing unit, demonstrating very strong initial production in the Middle Bakken and the first three benches of the Three Forks. Once again, Continental is pioneering the expansion and improved recoveries in the world-class Bakken oil play, demonstrating the productive potential of four to five stacked zones with multiple wells in each.”

— Harold G. Hamm, Continental's CEO

Continental Completes Hawkinson Unit & Plans Full Field Development in the Antelope Area

W. F. "Rick" Bott, COO, commented, "The Hawkinson project is a milestone event for CLR and further validates our vision for full field development of the Bakken -Three Forks reservoirs in this world class oil field."

Continental Resources Bakken - Antelope Area Map

The Hawkinson density project tested 14 wells in a single unit. Three wells were existing and another 11 were drilled to complete the test. Four Middle Bakken, three Three Forks 1, four Three Forks 2, and three Three Forks 3 wells were drilled and completed at 1,320 ft spacing and 660 ft spacing in adjacent zones. The 11 new wells yielded 13,400 boe/d in addition to the 1,450 boe/d being produced from the existing three wells. That's almost 15,000 boe/d from a single pad.

The company also announced full-field development plans in the Antelope area. This will include drilling 350 wells from pads with 20-30 wells each over the next four to five years. The area will be the first to see full field development in the deeper benches of the Three Forks.

Read the full release at clr.com

NRP - Sundance Reach $35.5 Million Bakken Deal

November 1, 2013 R.T. Dukes

Natural Resource Partners (NRP) has agreed to acquire non-operated working interests in the Bakken from Sundance Energy for $35.5 million.

“This is NRP’s second acquisition of producing, non-operated working interests in the Bakken/Three Forks play, which will grow and further diversify NRP’s revenue going forward.”

— Nick Carter, NRP's COO.

The deal includes 77 producing wells and associated acreage in Dunn, McKenzie, and Mountrail counties. All leases are held by production. NRP plans to participate in future development on the properties.

Read the full release at nrplp.com

EOG Resources' Bakken Core Acreage Could See 160-Acre Development

February 15, 2013 R.T. Dukes

EOG Resources reported improvement in wells after implementing new completion techniques in 2012. In the company's core acreage centered around the Parshall Field, 320-acre spacing success has been confirmed and the company is encouraged by early results at 160-acre spacing. Recent wells are indicating cumulative production over previously drilled wells has improved by a range of 30-70%.

In the North Dakota Bakken/Three Forks, positive results from downspaced drilling tests, together with significant modifications in drilling and completion techniques, further boosted EOG's crude oil production growth.

The first wells tested at 160-acre spacing in Parshall, the Wayzetta 022-1509H and Wayzetta 149-1509H, came online at max rates of 1,185 and 1,265 b/d, respectively.

Notable wells outside of Parshall include:

The Hawkeye 01-2501H and 102-2501H, Three Forks wells in McKenzie County, were turned to sales at 2,445 and 2,945 b/d, respectively.
The Garden Coulee 001-1410H, in Williams County, had an IP rate of 1,415 b/d with 1,260 mcfd of rich natural gas

In 2013, EOG expects to complete 46 net wells in the Parshall and Antelope areas. That's up from 28 net in 2012. If the company proves the potential of 160-acre spacing, an accelerated development program will ensue in 2014. Oil price realizations are also improving:

During the fourth quarter and currently our Eagle Ford crude is priced off an LLS index and essentially all of our Bakken and part of our Wolfcamp crude is being railed to our St. James terminal.