Range Resources
February 7, 2012 |
Halcon Resources
February 29, 2012 |
PetroQuest Energy
March 1, 2012 |
Linn Energy
February 28, 2012 |
Range Resources now has 125,000 Mississippian acres focused east of the Nahama Ridge in northern Oklahoma. Range ranks this play on IRR terms as #2, behind the liquids rich portion of the Marcellus. IRR's range from 105% (500 MBoe EUR, $100 oil) to 60% (400Mboe EUR, $80 oil). Slide above shows the percentage of Mississippian vertical wells classified as oil by county. Based on this metric, Range's focus area are in counties that have >90% of the wells classified as oil.
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Halcon's target plays are: Mississippian Lime, Woodbine/Eagle Ford, Wilcox and Utica/Point Pleasant (total of 300K to 500K acres). Another 250K acres position is being established in 3 stealth liquids rich plays. In the Mississippian, Halcon currently holds 45K acres with a goal to grow the position to 50K to 100K acres. Slide above shows the log section and rock and reservoir properties of the Mississippian. Detailed are the Mississippian Chat and the Mississippian Dense Limestone. |
The slide above shows PetroQuest's position of its existing ~ 31,000 net acres in the Mississippian play relative to portions of Chesapeake's, SandRidge's and Range's footprints. Cash flow in 2012 will be directed towards oil/liquids projects -- including drilling an initial well (paying 25% for 50%) in Pawnee County in the Mississippian play. PetroQuest also expects first production this week from its south Lousiana La Cantera discovery (20-30 MMcfd and 1,400 bbl/d gross). |
Let's not overlook Kansas' giant Hugoton gas field. Linn Energy has acquired BP's interest in this field, located in the SW corner of Kansas, for $1.2 billion. Closing expected by 3/30/12. The deal brings 110 MMcfe/d (37% liquids), 730 Bcfe proved, > 600,000 net acres, 800 drilling locations, 500 Chase recompletions and 100% ownership of a 450 MMcf/d gas plant (41% utilized). Hugoton reserves have a low 7% decline and 2012 EBITDA forecast at ~$160MM. |
