north dakota department of mineral resources: … 08, 2018  · oil & gas update november 8,...

73
NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: www.dmr.nd.gov

Upload: others

Post on 25-Apr-2020

2 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES:

OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association

Visit Us: www.dmr.nd.gov

Page 2: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

PRODUCING WELLS ACTIVE DRILLING RIGS OIL & GAS PRODUCTION OIL PRICE ENHANCED OIL RECOVERY COUNTIES FORECAST

Page 3: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Wells Active Conventional Bakken/Three Forks

15,103 1,980 13,121

Inactive >$50 for 90 days Jan 2018

1,492 > 1,427

Waiting on Completion +$55 for 90 days Feb 2018

877 > 925

Permitted +$60 for 90 days April 2018

1,844 > 1,888

Increase Density Approved 10/19/18

13,451 > 13,029

Total 32,177 > 32,372 Estimated Final $60-80/BO & 60-70 rigs

40,000 - 85,000 20 - 70 years

Page 4: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

PRODUCING WELLS ACTIVE DRILLING RIGS OIL & GAS PRODUCTION OIL PRICE ENHANCED OIL RECOVERY COUNTIES FORECAST

Page 5: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Rigs - 67

Page 6: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Record High: 218 Rigs May 2012

Current: 67 Rigs

Well/rig/Mo 3X

Page 7: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

PRODUCING WELLS ACTIVE DRILLING RIGS OIL & GAS PRODUCTION OIL PRICE ENHANCED OIL RECOVERY COUNTIES FORECAST

Page 8: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

All-time high 1,291,496

barrels/day August 2018

Page 9: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Oil & Gas Production

Page 10: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Oil & Gas Production

Page 11: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Gas Production Forecast

All-time high 2,437,760 MCF/day August 2018

Page 12: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Gas Processing Plants 2.14 BCFD in 2017 > 3.36 BCFD in 2020

Page 13: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

PRODUCING WELLS ACTIVE DRILLING RIGS OIL & GAS PRODUCTION OIL PRICE ENHANCED OIL RECOVERY COUNTIES FORECAST

Page 14: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 15: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

PRODUCING WELLS ACTIVE DRILLING RIGS OIL & GAS PRODUCTION OIL PRICE ENHANCED OIL RECOVERY COUNTIES FORECAST

Page 16: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Enhanced Oil Recovery (EOR)1

• EOG is the 1st company to say it has significantly increased oil production from an unconventional play using gas injection.

• Field tests since program started in 2013:

• The production increases on 15 wells indicated from 30-70% reserve gains.

• A 32-well test in 2016 added 300,000 bbl of oil at $6/bbl finding cost.

• Work is ongoing on 100 wells in six areas in 2017.

Page 17: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Enhanced Oil Recovery (EOR)1

Inputs and Outputs

• Additional capital costs average about $1 million per well

• The process uses associated gas from its wells

• Production response is in 2-3 months

• $1 invested adds $2 to net present value

It Works if:

• The formation is able to contain high-pressure gas injection near the well.

• Wellbores contact the most productive rock.

• The completion maximizes the fractured area within a restricted zone around the wellbore.

Page 22: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

Cedar Hills

Page 24: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

PRODUCING WELLS ACTIVE DRILLING RIGS OIL & GAS PRODUCTION OIL PRICE ENHANCED OIL RECOVERY COUNTIES FORECAST

Page 25: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 26: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 27: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 28: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 29: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 30: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 31: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 32: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 33: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 34: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 35: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 36: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 37: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 38: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 39: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 40: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 41: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 42: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 43: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 44: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 45: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 46: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 47: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 48: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 49: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 50: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 51: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 52: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 53: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 54: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 55: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 56: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 57: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 58: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 59: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 60: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 61: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 62: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 63: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 64: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 65: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 66: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 67: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 68: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 69: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 70: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 71: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 72: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS
Page 73: NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES: … 08, 2018  · OIL & GAS UPDATE November 8, 2018 | Western Dakota Energy Association Visit Us: . PRODUCING WELLS. ACTIVE DRILLING RIGS

NORTH DAKOTA DEPARTMENT OF MINERAL RESOURCES

CONTACT US 600 East Boulevard Ave. – Dept. 405

Bismarck, ND 58505

Phone: 701.328.8020

Email: [email protected]

www.dmr.nd.gov