How many geologic layers will be profitable for stacked-pay 2-mile lateral wellbores?
Resolute Energy is drilling two Wolfcamp levels in Reeves County, and plans to drill six different Wolfcamp strata over ten years according to company presentations. (Cimarex is acquiring Resolute March 2019).
Wolfcamp seems the target formation in Reeves for “wine rack” spacing, the 9th strata two miles deep and 2,300’ wide but will other geological strata be drilled in future years in Pecos valley?
There is no definite answer for this. Reeves County is huge & the location of your minerals will determine how many layers will be profitable (along with other economic factors like oil & gas prices, water disposal, etc). Resolute / Cimarex operated areas are primarily northwest & western Reeves so I will assume this is where you have minerals. Wolfcamp has multiple productive layers there, so thats good. From your post I think you already know this. Unfortunately, Bone Spring wells in Cimarex territory have not been very productive - lots of water & poor hydrocarbon production. I do not know of any other formations that are being targeted at this time.
However, 10 years ago the area had almost no activity and you could have picked up minerals for 1/10th of the current prices. I’m hopeful that they will find another productive layer to target.
Oil companies currently attribute most the value to the Bonespring and Wolfcamp. The Wolfcamp has four benches, with most companies only attributing value to the A & B. Any other formation will be considered upside.
I was recently notified myself along with 7 other family members have mineral rights through inheritance. Section 25 block c-1. Wolfcamp A and B. Wolfbone (trend area) is listed as the field. We are in the very beginning stages of all this and are learning a lot. But still confused.
Does this seem to be a good area to own mineral rights on? I’ve attached what we have found.
