Forest Oil Corporation Granite Wash Conference Oklahoma Geological Society March 6, 2008.
Transcript of Forest Oil Corporation Granite Wash Conference Oklahoma Geological Society March 6, 2008.
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Why the Granite Wash?
Simple, repeatable play Low risk Ability to build large drilling inventory Low F&D costs Ease of permiting, welcoming community for oil & gas Gas markets: quick hook-ups, full takes, low basis differential Successively deeper pays add to EURs at low incremental
capital costs
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Forest Oil Corp - Texas Panhandle HistoryForest Oil Corp - Texas Panhandle History Forest acquires 33,000 gross
acres in March 2005. Acreage increased to 51,000
acres in 2007. Forest has drilled about 150
Granite Wash wells since April 2005.
Buffalo Wallow approved for and being drilled on 20 acre downspacing
Frye Ranch approved for 40 acre spacing.
BLK E
BLK E
AB&M, BLK 4
B&B, BLK 3
B&B, BLK 4 B&B, BLK 5
H&GNRR, BLK A2
H&GNRR, BLK A3
H&GNRR, BLK A4
G&MMB&A, BLK C
H&GNRR, BLK A5
H&GNRR, BLK M1
H&GNRR, BLK M1
BLK Z1
R&E, BLK RE
BLK C
BS&F
Wheeler
Mobeetie
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Forest Oil Corp – Hemphill & Wheeler County ProductionForest Oil Corp – Hemphill & Wheeler County Production
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
10
100
1,000
10,000
100,000
Time
Da
ily R
ate
Forest Oil Corp OperatedHemphill and Wheeler Co. TX
April 2006
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Forest Oil Corp – Buffalo Wallow Field: Drill & Complete CostsForest Oil Corp – Buffalo Wallow Field: Drill & Complete Costs
Buffalo Wallow Drill & Complete Costs
0
500
1000
1500
2000
2500
3000
3500
4000
4500
1 11 21 31 41 51 61 71 81 91 101
Gro
ss M
$
2005 20072006
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Forest Oil Corp – Buffalo Wallow Field: Days from Spud to SalesForest Oil Corp – Buffalo Wallow Field: Days from Spud to Sales
Buffalo Wallow Days from Spud to Sales
0
25
50
75
100
125
1 11 21 31 41 51 61 71 81 91 101
Day
s fr
om
sp
ud
to
sal
es
2005 2006 2007
Average 42 days
7
1110
011
20
011
30
011
40
011
50
011
60
011
70
011
80
011
90
01
20
00
12
10
01
22
00
12
30
01
24
00
12
50
01
26
00
12
70
01
28
00
12
90
01
30
00
13
10
01
32
00
HS= 1
PETRA 12/9/2004 1:50:53 PM
Caldwell
Britt
GW-A
GW-B
GW-C
GW-E
GW-F
Atoka
Initially operators in Buffalo Wallowcompleted the Caldwell, Britt andGW-A only
Operators then completed thru the GW-B and GW-C
Forest determined that additional economic net-pay exists in the GW-E, F & Atoka and it now selectively completes in those zones as well
11400
11500
11600
11700
HS=1
PETRA 12/7/2004 5:50:22 PM
12100
12200
HS=1
PETRA 12/7/2004 6:01:39 PM
11100
HS=1
PETRA 12/7/2004 6:04:55 PM
1110
011
20
011
30
011
40
011
50
011
60
011
70
011
80
011
90
01
20
00
12
10
01
22
00
12
30
01
24
00
12
50
01
26
00
12
70
01
28
00
12
90
01
30
00
13
10
01
32
00
HS= 1
PETRA 12/9/2004 1:50:53 PM
11,0
0011
,500
12,0
0012
,500
13,0
0013
,500
Forest Oil Corp – exploitation of deeper Granite Wash paysForest Oil Corp – exploitation of deeper Granite Wash pays
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Liquid Loading-Pumping Unit WellLiquid Loading-Pumping Unit Well1
1010
010
0010
000
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S-M
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/day
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100
1000
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0O
IL-B
BL/
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1000
1000
0W
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L/D
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0.11
10100
1000T
bg Press
0.11
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1001000
10000100000
1e+06W
GR
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L/MM
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A S O N D
2 0 0 5
J F M A M J J A S O N D
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C X S _ G A S D A YC X S _ G A S D A Y
VISE #14-52BU F F ALO W ALLOWGR AN IT E W ASH U PR /LW R /AT KF OR EST OIL C OR POR AT IONF APIM N R BGXT X H EM PH ILL
G A S - M C F /d a yR e f= 1 0 /2 0 0 7
C u m = 1 3 4 1 0 3
O IL - B B L /D A YR e f= 1 0 /2 0 0 7
C u m = 1 5 5 1
W A T E R - B B L /D AR e f= 1 0 /2 0 0 7
C u m = 5 7 6 2 3
T b g P r e s sR e f= 1 0 /2 0 0 7
C u m = 1 8 5 9 2 4
C s g P r e s sR e f= 1 0 /2 0 0 7
C u m = 2 5 8 1 6 5
W G R B B L /M M CR e f= 1 0 /2 0 0 7
C u m = 0
11
Liquid Loading-Pumping Unit WellLiquid Loading-Pumping Unit Well1
1010
010
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S-M
CF
/day
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IL-B
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bg Press
0.11
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sg Press
1001000
10000100000
1e+06W
GR
BB
L/MM
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M J J A S O N D
2 0 0 5
J F M A M J J A S O N D
2 0 0 6
J F M A M J J A S O
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C X S _ G A S D A YC X S _ G A S D A Y
PEAK-BO URASSA # 3-7BU F FALO W ALLOWGR AN IT E W ASH U PRF OR EST OIL C OR POR ATIONF 6LER N R 9YPT X H EM PH ILL
G A S - M C F /d a yR e f= 1 0 /2 0 0 7
C u m = 1 1 4 5 9 7
O IL - B B L /D A YR e f= 1 0 /2 0 0 7
C u m = 1 1 2 0
W A T E R - B B L /D AR e f= 1 0 /2 0 0 7
C u m = 4 1 9 3 1
T b g P r e s sR e f= 1 0 /2 0 0 7
C u m = 1 6 4 8 3 5
C s g P r e s sR e f= 1 0 /2 0 0 7
C u m = 4 1 9 6 7 0
W G R B B L /M M CR e f= 1 0 /2 0 0 7
C u m = 0
12
Liquid Loading-Cap String WellLiquid Loading-Cap String Well1
1010
010
0010
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GA
S-M
CF
/day
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100
1000
1000
0O
IL-B
BL/
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1000T
bg Press
0.11
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sg Press
1001000
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1e+06W
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J u l A u g S e p O c t
2 0 0 7D a t e
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P S
TR
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8-13-07
C X S _ G A S D A YC X S _ G A S D A Y
PEAK-W ALSER 29 #14BU F F ALO W ALLOWGR AN IT E W ASH U PRF OR EST OIL C OR POR AT IONF 8R L9JV57AT X H EM PH ILL
G A S - M C F /d a yR e f= 1 0 /2 0 0 7
C u m = 1 3 3 2 8 3
O IL - B B L /D A YR e f= 1 0 /2 0 0 7
C u m = 5 2 3
W A T E R - B B L /D AR e f= 1 0 /2 0 0 7
C u m = 8 3 4 2 1
T b g P r e s sR e f= 1 0 /2 0 0 7
C u m = 4 3 5 5 0
C s g P r e s sR e f= 1 0 /2 0 0 7
C u m = 1 1 4 3 7 5
W G R B B L /M M CR e f= 1 0 /2 0 0 7
C u m = 0
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Liquid Loading-Cap String WellLiquid Loading-Cap String WellWESTERN BUSINESS UNIT
110
100
1000
1000
0G
AS
-MC
F/d
ay
110
100
1000
1000
0O
IL-B
BL/
DA
Y
110
100
1000
1000
0W
AT
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L/D
AY
0.11
10100
1000T
bg Press
0.11
10100
1000C
sg Press
1001000
10000100000
1e+06W
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BB
L/MM
CF
A p r M a y J u n J u l A u g S e p O c t
2 0 0 7D a t e
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P S
TR
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7-25-07
C X S _ G A S D A YC X S _ G A S D A Y
VISE # 5A-52BU F FALO W ALLOWGR AN IT E W ASH U PR /LW R /AT KF OR EST OIL C OR POR ATIONC A4L6O29G320T X H EM PH ILL
G A S - M C F /d a yR e f= 1 0 /2 0 0 7
C u m = 1 2 7 3 5 9
O IL - B B L /D A YR e f= 1 0 /2 0 0 7
C u m = 1 4 0 9
W A T E R - B B L /D AR e f= 1 0 /2 0 0 7
C u m = 6 1 0 0 3
T b g P r e s sR e f= 1 0 /2 0 0 7
C u m = 5 2 2 3 0
C s g P r e s sR e f= 1 0 /2 0 0 7
C u m = 1 6 6 1 4 0
W G R B B L /M M CR e f= 1 0 /2 0 0 7
C u m = 0
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Liquid Loading-Cap String WellLiquid Loading-Cap String Well1
1010
010
0010
000
GA
S-M
CF
/day
110
100
1000
1000
0O
IL-B
BL/
DA
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1000
1000
0W
AT
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-BB
L/D
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0.11
10100
1000T
bg Press
0.11
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1001000
10000100000
1e+06W
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L/MM
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O c t N o v D e c
2 0 0 6
J a n F e b M a r A p r M a y J u n J u l A u g S e p
2 0 0 7D a t e
- INS
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C X S _ G A S D A YC X S _ G A S D A Y
FRYE, HARRY T. #16-10F R YE R AN C HGR AN IT E W ASH U PR /LW RF OR EST OIL C OR POR ATIONF C B283G4D OT X W H EELER
G A S - M C F /d a yR e f= 1 0 /2 0 0 7
C u m = 1 7 3 3 5 2
O IL - B B L /D A YR e f= 1 0 /2 0 0 7
C u m = 1 8 1 7
W A T E R - B B L /D AR e f= 1 0 /2 0 0 7
C u m = 1 2 4 6 8 2
T b g P r e s sR e f= 1 0 /2 0 0 7
C u m = 8 9 4 7 0
C s g P r e s sR e f= 1 0 /2 0 0 7
C u m = 4 3 5 1 0 5
W G R B B L /M M CR e f= 1 0 /2 0 0 7
C u m = 0