EAGLE FORD COMPLETIONS LOOKBACK SPE WESTSIDE, FEBRUARY 2013 Todd Bush 713.936.9290 [email protected] http:// www.energentgroup.com
Jun 14, 2015
EAGLE FORD COMPLETIONS LOOKBACK
SPE WESTSIDE, FEBRUARY 2013
Todd Bush713.936.9290
[email protected]://www.energentgroup.com
Agenda
About Energent Group
Observations and discussion items
Considerations for 2013
Questions and answers
2
Objectives: Share information and trends in Eagle Ford data Provide data for your next benchmarking project Demonstrate relationships for points of interest
in the well completions process
Observations & discussion items
Review concentration of permit activity and possible peak in activity based on trends
Interpret well completion activity that has low correlation to permit or rig activity where as permits and rigs have (0.8) strong correlation
Relate choke size to initial production to find patterns
Confirm anecdotal evidence for proppants; most frequent is 20/40 frac sand but others widely used
Discuss implications of typical casing sizes, which ranges from 4” – 9” for unconventional completions 3
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1
3
4
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Historical drilling permit activity
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Oil
Gas
1 22 33 44 55
Possible peak in drilling permits?
Source: Data is from Texas RRC
Top 5 counties driving permit activity
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1 22 33 44 55
Source: Data is from Texas RRC
La Salle, Karnes, & Webb lead strong Rig activity
6Source: SmithBits Rig Count
11 2 33 44 55
How many wells drilled but not completed?
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0
10
20
30
40
50
60
70
80
Permits Rigs Completions
Permits increase by an average of 9% each month
46 Permits per month
18 Completions per month
Backlog growing by ~15 each month
Low correlation (0.2) between well completions and drilling permits and rig activity
Spotlight on La Salle
11 2 33 44 55
Source: Data is from Texas RRC and SmithBits
New well completions dominate Q4 activity
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COUNTY OIL GAS TOTAL
SHARE PCT
La Salle 85 21 106 16%Dimmit 55 33 88 14%Karnes 60 22 82 13%
McMullen 61 7 68 10%De Witt 24 23 47 7%
IP RETEST
RECLASS TO
INJ
RECLASS TO GAS
RECLASS TO
OIL
WELL UPDATE
Deepening 1 1 - -- -
New Well 653 - - - 1 511
Other 90 9 21 1 6 158Plug back 1 2 - - - 5Reentry 1 - - - - -
COMPLETION ACTIVITY SUMMARY
TOP COUNTIES 70% OIL COMPLETIONS
Gas Oil
11 2 33 44 55
Source: Data is from Texas RRC in October through December 2012
CHOKE SIZE COUNT AVG IP
8/64 17 51414/64 11 78212/64 9 91011/64 7 51216/64 4 765
OIL IP’S BY CHOKE SIZE
Operators are under 30 day completion turn-
around times and showing signs of
reducing the variability in the process
COMPANY COUNT PCT MIN
DAYSAVG DAYS
MAX DAYS
STD DEV
Marathon 31 22% 13 27 98 20.0Murphy E&P 29 21% 2 23 64 18.4ConocoPhillip
s24 17% 14 21 31 4.7
Plains E&P 17 12% 4 27 87 19.2EOG 12 9% 13 18 29 5.2
LEADING OPERATORS
Operators driving efficiency in Karnes county
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11 2 3 44 55
Choke size likely dictated by operator
practices in the region
Source: Data is from Texas RRC in October 2012
Choke size concentrated in 10-16/64
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IP to Choke SizeDistribution of Choke Size
11 22 3 44 55
Bigger is not necessarily better. 10/64 -16/64 accounts for 47% of the total with 12” averaging 775
BOPD
Source: Data is from Texas RRC in October through December 2012
20/40 frac sand used more than all others
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40/6016/4014/3050/5018/4030/5016/3012/2010/2040/7020/40
020
040
060
080
010
0012
0014
0016
0018
00
Proppant Usage Across Counties What impact does
proppant have on initial production and EUR?
Is there a strong correlation between the type of proppant and location or depth?
Is there enough data and evidence to suggest a ‘best practice’ or even a preferred practice?
Questions & Implications
11 22 33 4 55
55%20%
22%
Source: Data is from Texas RRC January 2011 to May 2012
Casing size data confirms anecdotal evidence
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11 22 33 44 5
Anecdotal evidence indicates 4” – 9” as typical for unconventional well; confirmed by data
Does 10 3/4” and 13 3/8” indicate trial well completion designs?
Is there evidence of a standard well construction in certain areas?
Questions & ImplicationsTop 10 Casing Sizes by Count
Source: Data is from Texas RRC in October through December 2012
Observations & discussion items
Review concentration of permit activity and possible peak in activity based on trends
Interpret well completion activity that has low correlation to permit or rig activity where as permits and rigs have (0.8) strong correlation
Confirm anecdotal evidence for proppants; most frequent is 20/40 frac sand but others widely used
Relate choke size to initial production to find patterns
Discuss implications of typical casing sizes, which ranges from 4” – 9” for unconventional completions 13
2
1
3
4
5
Summary and considerations for 2013
Utilize permit trends as a leading indicator of rig activity systematically instead of on ad-hoc basis
Anticipate drilling programs to stay in place for 2013 unless there is sharp decline in commodity prices
Monitor well backlog (drilled not completed) to gauge efficiency of operators to get wells on production and to forecast servicing company revenue
Determine influencers of completions engineering to understand the preferred equipment and materials
Expect efficiency and cost drivers to lead operators to further integrate lean supply chain initiatives with partners
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ANALYTICS AND DATA SERVICES FOR UPSTREAM
RESEARCH DATA SERVICES APPLICATIONSExecutive Weekly Briefing
Completions Activity Report
D&C and Well DashboardsO&G Data Subscriptions
Data Mining & Consulting Well Lifecycle