Monthly Archives: July 2014

Promising Future for Companies Working in the Niobrara Shale Play The Niobrara shale is a hydrogen-rich play located primarily in northeastern Colorado, spreading into parts of Wyoming, Nebraska and Kansas. Oil is the main resource extracted from this play in the Denver-Julesburg (DJ) Basin. This area has produced both oil and gas for years, but as companies have begun exploring and developing the Niobrara, it has gained the reputation of being the next Bakken formation. EOG Resources EOG holds 400,000 acres in the Niobrara shale play which have begun to generate high return rates with consistent well results. The holdings are primarily in the DJ Basin in Laramie County, Wyoming, and Weld County, Colorado. In 2013, the company completed three horizontal wells. These initially produced an average rate of about 700 barrels per day. Over the next several years, EOG expects their rigs in the Niobrara to make significant contributions to their crude oil production. Anadarko Petroleum  As


Oil Companies Develop New Technologies to Drive Production Costs Down in the Bakken Located primarily in North Dakota, the Bakken shale is near the top of oil field production in the United States. Even though it was discovered decades ago, the oil did not become economically accessible until the development of hydraulic fracturing (fracking) and horizontal drilling. Estimates on oil yields for the shale play range from a relatively conservative 4.3 billion barrels all the way up to as much as 40 billion barrels. The remaining value of the region is projected at close to $118 billion. Recent technologies and developments have significantly decreased the costs to drill and complete a well. Before 2011, the average well cost more than $10 million, which has dropped to between $7 to 8 million per well. Many companies are engaged in development and testing of new technologies and techniques in order to reduce costs and increase production even further. Continental Resources, Inc. As the t