Permian Oil and Gas

Gulfport Energy Completes First Permian Basin Horizontal Well

Gulfport Energy (GPOR) reported the completion of the company’s first horizontal well in the Permian Basin.  The Janey 1-16H well produced at a peak rate of 618 barrels of oil equivalent (BOE) per day and at a 30 day average rate of 486 BOE per day.

Gulfport Energy reported that nine gross wells were drilled on the company’s properties during the second quarter of 2012. 

Apache - Midland Basin Wolfcamp Shale Drilling Economics

Apache Corporation (APA) disclosed for investors and shareholders the economics of drilling and completing horizontal oil and gas wells into the Wolfcamp Shale in the Midland Basin area of the Permian Basin.

Apache estimates that horizontal wells drilled and completed into the Wolfcamp Shale will cost an average of $7.7 million and have an estimated ultimate recovery (EUR) of 598,000 barrels of oil equivalent (BOE).

Apache estimates that 91% of the production from these wells will be crude oil or other liquid hydrocarbons and yield and return 44%.  The company estimates that it has 971 drilling locations in the Wolfcamp Shale in the Midland Basin.

Apache has spud seven horizontal wells to date into the Wolfcamp Shale and is operating three rigs in Irion County, Texas, as of June 2012.

Apache - Midland Basin Cline Shale Drilling Economics

Apache Corporation (APA) recently updated for investors and shareholders the economics of drilling and completing horizontal oil and gas wells into the Cline Shale in the Midland Basin area of the Permian Basin.

Apache estimates that horizontal Cline Shale wells will cost an average of $7.6 million to drill and complete and have an estimated ultimate recovery (EUR) of 423,000 barrels of oil equivalent (BOE).

Apache estimates that 87% of the production from these wells will be crude oil or other liquid hydrocarbons and yield an average return of 28%.  The company estimates that it has 2,321 drilling locations in the Cline Shale in the Midland Basin.

Apache has drilled four wells into the Cline Shale through June 2012 and is currently operating two rigs here.  The company plans to drill a total of ten wells in 2012.