Cline Shale Article - JPT (Society of Petroleum Engineers)

Re: JPT Article on Cline Shale

See recent article below on Cline Shale. Personally believe that is a more independent viewpoint of this play by SPE group.

Note comments on variability and especially clay content / issues. Common theme in many resource plays.

Good reading!

2117-ClineShaleArticleJPTNov2013.pdf (1.21 MB)

As always more very good information from this discussion/group/forum via member effort. Just saying thanks since I've been a member for a while but I have not replied or posted or commented before but greatly benefit from and appreciate all of this. Not exactly data those of us near, in and/or bordering the far part of the eastern/ north eastern Cline are hoping to hear / read but hopefully, many more "pays" will be discovered away from the "heart of the pläy" referred to down south but success anywhere is great, imo And again, thanks to those involved here.

Przzz,

Very interesting article. Would fracking with propane cause the same swelling of the clays as water seems to do?

Przzz- Thank you for the post. This is far and away the best Cline article I have seen. Highlights for me would include:

Laredo considers the acreage an "oil factory"

Laredo needs high pressure gas to inject. This fits with Przzz's Texas Tech study he posted. Some of you might have seen the pipeline pictures I posted. That seemed to me too much diameter for casinghead gas sales. I think the lines are to bring high pressure gas in for injection purposes.

Apache uses well logs to see where to frac the Cline and has targeted upper, middle, and lower Cline for the best results.

Like Andrew I was disappointed at first. Then I remembered the OXY pdf under the What is the Cline Shale thread. OXY is building a huge pipeline from Colorado City to Houston. Obviously oil production in Mitchell Co. today would not justify such a pipeline. What does OXY know we don't ? Remember Warren Buffett is building oil rail and terminal in Sweetwater. What does Warren know we don't ? I have other opinions and comment, but want to hear more from Przzz and AJ and everyone else.

Heck of a post-well done!

Believe that OXY's pipeline as well as Buffet's O&G terminal are tied to the anticipated need to create as much mid stream transport capability and options as possible for the Permian Basin.

Whether it be Wolfcamp or Cline or Spraberry or whatever, there is coing to be a lot of oil to be moved out of the Permian over the next few decades.

What I am waiting for is the construction of pipeline network to take the oil west to California and potentially Asian markets. That would open up huge set of options and price expansion scenarios instead of being "locked into" coming to Tx /La Gulf Coast.

O&G rail terminal could be part of "hub" to move oil either way. They are moving trainloads of oil all over - wy not start taking it across the Rockies?


By the way, thanks for the kudos. Just passing things along.


j richard said:

Przzz- Thank you for the post. This is far and away the best Cline article I have seen. Highlights for me would include:

Laredo considers the acreage an "oil factory"

Laredo needs high pressure gas to inject. This fits with Przzz's Texas Tech study he posted. Some of you might have seen the pipeline pictures I posted. That seemed to me too much diameter for casinghead gas sales. I think the lines are to bring high pressure gas in for injection purposes.

Apache uses well logs to see where to frac the Cline and has targeted upper, middle, and lower Cline for the best results.

Like Andrew I was disappointed at first. Then I remembered the OXY pdf under the What is the Cline Shale thread. OXY is building a huge pipeline from Colorado City to Houston. Obviously oil production in Mitchell Co. today would not justify such a pipeline. What does OXY know we don't ? Remember Warren Buffett is building oil rail and terminal in Sweetwater. What does Warren know we don't ? I have other opinions and comment, but want to hear more from Przzz and AJ and everyone else.

Heck of a post-well done!

Gas Frac approach would be a positive as to it having a negative impact on swelling clays. But it may be some time until this application comes to Permian since I know that GasFrac (out of Canada) has scaled down their operational and marketing effort to only the Tx Gulf Coast and related areas. And I am not sure who else does this sort stimulation.

Clay issues are more than just swelling, however. Too much clay can make the reservoir less brittle / more ductile and therefore more difficult to frac and propagate induced fractures. Plus high clay tends to equal more bound water which in turn takes away fromO&G storage capacity in reservoirs. Plus can have a negative impact on reservoir permeability (which can negatively impact moving O&G from reservoir into induced fracture systems).

j richardson said:

Przzz,

Very interesting article. Would fracking with propane cause the same swelling of the clays as water seems to do?

per the discussion of gas fracking. Here is an article that might offer some insight.

http://www.ktvu.com/news/ap/texas/to-clean-up-coal-obama-pushes-more-oil-production/ncRPz/