Cana Woodford Shale (AKA Anadarko Woodford) - Oil & Gas Discussion archives

I was out at Calumet this weekend. I talked to a guys and he said they are doing seismic work on 125 sq mi. Let’s hope that means they will be doing a lot more drilling!! Here is a link to the company doing the work. http://www.dawson3d.com/about/whatwedo.html

Don Underwood who is a member of this group posted this to the Grady Co group. I found it interesting and informative. http://www.mineralrightsforum.com/group/grady-county-ok-oil-gas/for

I can add a little bit to GAry’s comment in terms of timing because that is part of what I do-process and interpret 3D seismic data. I don’t have any idea when the data collection started but 125 sq miles is a fair size 3D survey in what is probably an area with numerous farms, houses, water wells and fences. It will take the seismic crew sometime to permit, layout the listening devices and do the data collection. I would guess about 45 days or more.

Then the processing of the data has to be done so the various people who interpert the data will have the best product to determine well site locations. I would think that will take a minimum of 60 days or more.

After the geophysical interpreters get the data they will integrate known geological conditions in and around the survey and make their decisions on where to drill. If there are expiring leases that the survey covered some wells could be staked within about 30 days of the interpreter getting the data. If additional leases are to be taken based on the survey that would probably happen pretty quickly, also within 30 days.

So, if the survey started today, a royalty owner is probably looking at 4 to 6 months to see any “action” in terms of new leasing or newly staked wells based on the 3D survey. That will not preclude any companies or individuals who do not have access to the 3D survey from doing their own business in the area of the survey concerning taking leases and drilling wells.

I’m interested in information regarding Blaine County, OK Section 19-15-10

I understand a well was started a couple of weeks ago, but that’s about all I know. Can anyone tell me a ballpark time frame it takes to drill a well and then for it to begin producing? Does the leasing company contact you to let you know if the well was successful or a dry well? Does that area show promise from previous wells?

We have owned interests in a few sections in Blaine County for a long time, but they’ve never generated much interest until recently. Consequently, we’ve never tried to learn much regarding our interests, but think it’s time to start learning. So here I am basically starting from scratch. Any ideas, suggestions, or old fashioned schooling would be really appreciated!! Thanks for your time!

It took about 3 months to drill and complete our well (from drilling to production). I think that is pretty fast. It will more than likely take longer, especially with the lack of frac water now. It also depends on how far you are from the pipeline. I am not familar with that part of Blaine Co. but you can check the OCC website and enter the legals near yours to see how the wells in the area are doing. The OCC website is here http://www.occpermit.com/WellBrowse/Home.aspx

The Best way to educate yourself is to keep reading the post on this site and don’t be afraid to ask questions. There is usually someone here that can answer your questions.

Lori the drilling on our well in dewey county was done in late April but well was not completed until sometime in July. I was able to find out production because it was mentioned in Continental Resources quarterly report in early August. Corporation site does not show completion yet nor has it been in paper. Still no division papers. Not easy to get return phone calls from oil company. They are very busy. Lanrry

Thank you Gary and Larry for your responses. I’ve been reading the articles on this site and others and I appreciate your help.

Lori,

The closest completion is immediately South of you in section 30. The Schwartz 2-30 reported initial production of no oil, and 940 MCF/day. By Woodford standards, not very impressive if this is accurate, but still a decent well. However, it is possible they had problems with the lateral or the frac job. Occasionally, it happens. And sometimes production even picks up from their intial test reports.

There are several “intent to drill” sites in 15N-10W, and even more in 15N-11W.

As far as the timing goes, you are going to have to be patient. Even after they do the completion and report intial results, it will be several months before you see a check. At some later point, they will send out a division order for you to sign to confirm your interest. No one will ever tell you how the well is doing. Your only hard evidence is when you get your first check along with the production report.

On my wells, they installed Total Flow meters, and so it was possible at any point for me to drive up and check the production rates after the well was completed, and long before any checks started arriving. However, I’ve noticed that is not always possible on some of the meters.

JW, thank you for all the information. It is all very helpful and very much appreciated!

Don, the only way I know is on occ main page select divisions, oil & gas, databases. A page will come up with instructions ( it gets a little complicated at this point) on accessing databases. When you get to the search screen on top left menu 1st box select “relief sought”, in 2nd box select “equals”, in 3rd type in code # from list below such as 50=spacing, 41=pooling etc. Click add to list, click get result. The next screen will list the applications by date, you will have a choice to view old to new or new to old. Then you have to scroll through them to find what you’re looking for. It’s really a pain the first time you do it but it’s the only way I know to get almost real time information. I don’t think you can do it by well because at this point there is not yet a well to associate it with. If anyone knows an easier way please let us know!

I have been trying to work my way around the OCC web site. How do I check pooling orders and spacing orders? For instance if I just gave a township and range location how would you go about pulling up such orders that fell within that Township and Range?

Do you need to know which well is associated with such orders?

Water is in short supply in the cana woodford. This is an article from the Oklahoman.

Drought presents challenges for Oklahoma oil producers
Oklahoma oil and natural gas producers have been forced to scrounge for water this summer because of drought and continued high temperatures.
BY JAY F. MARKS [email protected]
Published: September 2, 2011
Oil and natural gas production is a water-intensive business, so some Oklahoma companies have had to take extra steps to overcome this summer’s heat and dry conditions.
Continental Resources Inc. President Jeff Hume said water has been hard to come by during the continuing drought.
Historically, Continental has drawn water for its operations from nearby farm ponds, but the drought has made many of those disappear, Hume said. Instead, the company has had to buy well water in Oklahoma.
“It’s even worse south of us,” he said.
Still, Hume said the drought has not forced Continental to substantially alter any of its regular operations.
Officials from Chesapeake Energy Corp., SandRidge Energy Inc. and the Williams Cos. offered a similar assessment of the drought’s impact.
Farther north, Hume said, Continental has had no problem finding water in North Dakota’s Bakken Shale because that state has had plenty of rain.
GMX Resources Inc., another Oklahoma operator, has switched to a completion program in the Bakken that is less water-intensive, despite North Dakota’s record rain and snowfall, said Alan Van Horn, the company’s manager of investor relations.
He said companies increasingly are recycling water from their hydraulic fracturing operations, which use about 100,000 barrels of water per well.
“Much of the frac water that is used is recycled and used again and again,” Van Horn said.
“You obviously cannot just empty frac water once used into the bar ditches or dispose of it on the surface. So it’s trucked out and used at other frac sites or disposed of properly.”
Huge pond planned
Devon Energy Corp. is making plans to build a 500,000-barrel pond near Geary or Calumet to store produced water, which is water that comes out of the ground after wells are drilled or fractured.
Such large-scale water recycling is unprecedented in Oklahoma, so state regulators had to create a set of new rules for the Devon project.
Jim Heinze, operations engineering manager for Devon’s Mid-Continent area, said the company is looking to apply some of the lessons it learned in the Barnett Shale, a more mature basin in Texas.
He said typical storage ponds for produced water are 50,000 gallons or less, but a larger pond will allow Devon to serve multiple wells at the same time.
“We’re trying to reduce the impact that we have on the environment,” he said.
Devon spokesman Chip Minty said the company recognizes that water is a resource that must be preserved, so it pioneered efforts to conserve water in the Barnett Shale.
Devon saw the opportunity to do the same thing in 2008, he said, but it took time for the Oklahoma Corporation Commission to develop rules for what the company wanted to do.
Heinze said Devon will dig a pond that is almost as long as two football fields on each side. It will be about 10 feet deep, enough that rain won’t cause it to overflow.
Devon also will use a 60-mil liner to prevent produced water from leaking into the ground.
Heinze said Devon will use a pipeline system to move the water to and from the company’s wells, a move that will reduce truck traffic in its operating area.

Here is some information about some wells in the Woodford.

http://shale.typepad.com/woodfordshale/2011/09/index.html

I have a producing Gas well in Section 17 6N 11W Caddo county. Does any one know how long these wells will produce?

I think the major players in this play can project production out to 10 or 12 years. The kicker is that the well will produce at a relativity high rate the first year and then begin to drop off rapidly in the second year and continue to decline in the remaining years of production.

Let’s say you get $1000 from the first years production. You are likely to get $500 from the next years production and $250 from the third and on downward at a lesser declining rate. This all depends on the price of gas and oil which will vary during a given year and for all the years a well produces.

The short answer is, your first years production will likely be the highest you receive with lesser returns in the following years. Increasing prices for oil and gas can offset some of this but with the amount of shale gas becoming available across the U.S. don’t bet on the price of gas increasing very much in the near future. Oil is a different matter. Lot’s of international implications there and many unknowns.

The good news for this play is that more wells are going to have to be drilled in a unit to efficiently drain it, whether that be 640 acres or 1280 acres. With forced pooling in Oklahoma all mineral owners in a unit get their share of production from each well drilled. Some companies may drill just one well per unit and produce it for a period of time to hold the lease in what is termed “help by production” before drilling other wells in the same unit. Other companies may drill more wells in a unit bacause that fits their economic forcasts better. Two side by side units leased by different companies can have different development programs with one company having more wells in a unit than the other company has.

It can be a mixed bag of returns for the mineral owner and confusing. Basically the mineral owner has no control over what the producing company will or will not do.

Just waiting on first check. Well was completed in Dewey county in July. I am ready to spend some.

Finally saw a Drilling Permit on mine. If I get any $ probably be close to a year.

No. . .I have heard that Devon is going to build a 15 to 20 acre lake in between Calumet and Geary and use it to recycle water. Instead of taking it to a SWD well they will take the water to this pond and re-use it.

Fortunately we’re not as bad as you guys in South Texas, but we’re much drier than we are used to. I took a tour this summer and went through Woodward, OK to Dodge City KS, to Eads, CO, up through Kit Carson, CO to Flagler, CO. All of those miles were extremely dry until we reached Flagler.

Have you heard anything about trucking water in for fracking?