Update!! Smackover Brown Dense

Yes, this update is mostly rumors, but I think they are worth repeating. Here’s part of a press release from Southwestern Energy:

“The company’s third well, the BML #31-22 #1-1H located in Union Parish, Louisiana, as of May 3rd, was drilling to a planned horizontal lateral length of approximately 4,000 feet, after sidetracking the first lateral in March due to stuck pipe. This well is scheduled to be completed in May with 30 fracture stimulation stages. The company plans to allocate more capital to the Brown Dense play in 2012 for the acquisition of additional leasehold and potentially adding another rig in the area in the third quarter. If the company’s drilling program continues to yield positive results, it expects that activity in the play could increase significantly over the next several years.

My rumors concern this well. The BML #31-22 # 1-1 encountered high pressure in the Brown Dense, kicking 15.5 # mud. Subsequently they stuck the drill-pipe, plugged back, and redrilled the lateral to around 4000′. According to my sources they multi-fraced the well every 300 in the lateral hole. They have been flowing the well back with no official results being announced. However, observers who have been within a few hundred yards of the well report the well is roaring, indicating an undisclosed volume of  oil, gas, and frac water is flowing back under high pressure. It sounds as if they may have stumbled upon something extra by having high pressure in the Brown Dense. In most areas the pressures are normal.

In other Brown Dense news: reports are coming in that a second rig has moved into the north Louisiana area to drill Brown Dense wells.  Other reports indicate 9 permits have either been granted or have been applied for. All indication are that the Louisiana Brown Dense exploration will expand in Louisiana and if successful move across the state line into South Arkansas. Some of the Louisiana permits are very close to the state line.

Keep your fingers crossed. By late fall we should have a good indication of the quality of Brown Dense production.

 

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