Sunday, December 16, 2012

Brigham: Outstanding Drilling Results in the Bakken Shale

New technology with respect to land drilling for oil and natural gas has made a huge impact on several states in the USA. The Bakken shale may be a site with vast potential. Current technology does not gauge with certainty how much oil is in this shale, but USGS estimated 4.3 million barrels of oil and 1.8 trillion cubic feet of natural gas. These numbers don’t include the Tyler Formation which sets above the Bakken and could have as much as 50% the resources of the highly touted Bakken. Like most shale, horizontal drilling is a must in this region. Brigham Exploration (BEXP) got started in the Bakken in 2005 with an initial purchase of a 46,000 net-acre leasehold in North Dakota. At this time, BEXP also had positions in the Gulf Coast, West Texas, and the Anadarko Basin. Since then, they have increased their exposure to the Bakken, purchasing a total of 368,400 acres.

BEXP has some impressive numbers going into 2011. Approximately 200000 acres have been largely de-risked. In the Bakken/Three Forks area they have 45 long lateral high frac stage wells at average peak rate of 2810 Boe/d. In the counties of Richland, Mountrail, Williams and McKenzie there are 571 net development locations in core acreage with opportunity to grow to 933.

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