Tuesday, March 29, 2016 11:15:41 AM
Yes, you shifted the topic to 299 wells, including some from Andrews County, three counties west.
That was not what we were discussing. We were talking about a handful of Clayton Williams wells specifically located in Sterling County. While you are quick to claim they are bad, Sterling County wells among other counties look like a mixed bag.
You mean the 13 wells that have cumed 17 MBOE per well and only one has made over 50 Mbbl (IHS allocated production)? Yes, a mixed bag, indeed. I didn't see a need to bring it up, but I used three more wells near the BECC wells because it was a bigger relevant set. However, it is of little consequence. I used the red and blue wells, you were talking about the red wells. IF you want to make a big deal about it, that's fine.
I guess you missed my post within an hour or two that you were correct that the Andrews wells were distal, that it was an error to include them and then I subsequently used only the 17 wells near the BECC wells. Besides, since I was talking about the success of CW, the 299 wells are relevant because they are in the same play. As far as reserves of the BECC wells, they are less relevant than the poorer 17 nearby wells. You are nit picking because, I presume, you have nothing substantive. Perhaps you are trying to discredit me and facts keep getting in your way.
To hear some tell the story, oil and gas wells in Sterling County suck. Oil and gas wells in Taylor County suck. Oil and gas wells in Andrews county suck.
Is there any recoverable oil and gas in the Permian Basin in your opinion?
I don't know who was telling what story, but I never said that. Should that be construed as shifting the subject? Which is OK with me. To answer your question, yes. You might find this Forbes article interesting:
"None of these plays are remotely commercial at present oil prices. In the most-likely per-well reserve case, these plays require break-even oil prices in the range of at least $50-$75 per barrel..."
http://www.forbes.com/sites/arthurberman/2015/12/18/less-than-2-percent-of-permian-basin-commercial-at-30-oil/#39f68bb3407e
The Clayton Williams Parramore located in Sterling County, in the location of the Breitling farm out agreement has been a solid producer.
Which Parramore are you talking about? The Parramore 66 lease has three wells, has produced 70 Mbbl and 256 MMCF and is currently producing 10 BOPD, 70 MCF a day, and less than 2 BWPD. Yes, this is one of the better leases in the sense that it may have paid out. Yes, amongst the CW wells, you can find some that may have paid out. One of the prime objectives of any oil company is to drill only the good wells. Some are better than others at achieving this and CW failed in this area. Not to say he had anything to do with the prospects, he is the operator and I don't know what his business arrangements are.
Since you are up on the economics of wells, I'll let you calculate the rate of return and return on investment for the wells. If I have some time, I will do it if you don't get the opportunity.
That was not what we were discussing. We were talking about a handful of Clayton Williams wells specifically located in Sterling County. While you are quick to claim they are bad, Sterling County wells among other counties look like a mixed bag.
You mean the 13 wells that have cumed 17 MBOE per well and only one has made over 50 Mbbl (IHS allocated production)? Yes, a mixed bag, indeed. I didn't see a need to bring it up, but I used three more wells near the BECC wells because it was a bigger relevant set. However, it is of little consequence. I used the red and blue wells, you were talking about the red wells. IF you want to make a big deal about it, that's fine.
I guess you missed my post within an hour or two that you were correct that the Andrews wells were distal, that it was an error to include them and then I subsequently used only the 17 wells near the BECC wells. Besides, since I was talking about the success of CW, the 299 wells are relevant because they are in the same play. As far as reserves of the BECC wells, they are less relevant than the poorer 17 nearby wells. You are nit picking because, I presume, you have nothing substantive. Perhaps you are trying to discredit me and facts keep getting in your way.
To hear some tell the story, oil and gas wells in Sterling County suck. Oil and gas wells in Taylor County suck. Oil and gas wells in Andrews county suck.
Is there any recoverable oil and gas in the Permian Basin in your opinion?
I don't know who was telling what story, but I never said that. Should that be construed as shifting the subject? Which is OK with me. To answer your question, yes. You might find this Forbes article interesting:
"None of these plays are remotely commercial at present oil prices. In the most-likely per-well reserve case, these plays require break-even oil prices in the range of at least $50-$75 per barrel..."
http://www.forbes.com/sites/arthurberman/2015/12/18/less-than-2-percent-of-permian-basin-commercial-at-30-oil/#39f68bb3407e
The Clayton Williams Parramore located in Sterling County, in the location of the Breitling farm out agreement has been a solid producer.
Which Parramore are you talking about? The Parramore 66 lease has three wells, has produced 70 Mbbl and 256 MMCF and is currently producing 10 BOPD, 70 MCF a day, and less than 2 BWPD. Yes, this is one of the better leases in the sense that it may have paid out. Yes, amongst the CW wells, you can find some that may have paid out. One of the prime objectives of any oil company is to drill only the good wells. Some are better than others at achieving this and CW failed in this area. Not to say he had anything to do with the prospects, he is the operator and I don't know what his business arrangements are.
Since you are up on the economics of wells, I'll let you calculate the rate of return and return on investment for the wells. If I have some time, I will do it if you don't get the opportunity.
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