ADI - Adelphi Energy

[Agentm]

Quote: Originally Posted by fscmark Hey guys, I just registered here after reding this thread and what you guys have to say about the Eagle Ford Shale. I currently work for Halliburton and am being sent to the area from Bossier ( haynesville ) area to frac. Just 3 months ago we were sent to Bossier to help with the frac crews here because of the haynesville popularity. Now it seems Halliurton is focusing its attention to the Eagle Ford. So looks like we will be busy in that area for a while. Lots of good info here guys!

[Agentm]

Quote: Originally Posted by fscmark yah I noticed agentm has alot of useful information. Right now we are hearing Halliburton will be splitting up its frac horsepower evenly between Pennsylvania, Haynesville and EagleFord. We currently have a 16 stage round the clock frac starting this sunday on the briscoe-nunley. I'll let ya know how that goes.

[Agentm]

this report imho is very interesting..

THURSDAY, SEPTEMBER 10, 2009

EAGLEFORD SHALE: MORE COMPANIES JOINING THE PARTY FOCUS

Eagleford Shale well performance and activity update

METHODOLOGY

• Reviewed public data on recent wells.

• Examined company news releases, presentations and regulatory fi lings.

• Talked to producers, consultants and land agents active in the Texas play.

KEY POINTS
BP (BP), Williams Companies (WMB), Royal Dutch Shell (RDS), Exxon
Mobil (XOM), Bill Barrett (BBG), Forest Oil (FST) and Chesapeake Energy
(CHK) are all window-shopping or actively leasing in the Eagleford.

Southwest

Some notable new wells in the Eagleford’s southwest region since our last
update include a test by Common Resources (Southwestern Energy’s (SWN)
and Cabot Oil & Gas’ (COG) partner in the Haynesville) that offsets
Petrohawk (HK) acreage. Privately owned Common’s well had a rate of 4.7
MMcf/d of gas and 474 bbl/d of condensate on a 24/64-inch choke.
HK’s test rates in La Salle County, continue to impress, with the latest few
in the 6-13 MMcfe/d range. HK is moving from 10- to 12-stage fracture
stimulations to 15-18 stages. The wells for which we have completion
information show increasing proppant volumes as well.
St. Mary Land & Exploration (SM) drilled and completed two follow-up
wells in Webb County, which will be about 1,000 feet deeper than its fi rst
well, the Briscoe G 1H. The Briscoe had a true vertical depth (TVD) of
about 7,500 feet and tested at 4.4 MMcf/d plus ~190 bbl/d of condensate on
a 48/64 choke, but the rate declined to 2.2 MMcfe/d in the second month
of production. The Eagleford where HK is drilling is found about 3,000 feet
deeper than at Briscoe. Compared to HK, SM will likely see lower rates
because of the shallower depths but also lower well costs.
El Paso (EP) spudded a well in southern La Salle while Murphy Oil (MUR)
has one drilling in McMullen. MUR currently holds six Eagleford permits,
spread over Karnes, La Salle and McMullen counties.
We’ve heard Anadarko Petroleum (APC) is constructing a 12-tank oil
battery offsetting its recent Briscoe Cochina East Ranch #1H on the La
Salle/Dimmit county line.

Consistent with comments made in HK’s 2Q09 conference call, the company is leasing updip in the Eagleford’s oil window in Zavala County. This would be a low-cost call option on oil if HK can make it work as acreage costs should be signifi cantly lower than in the derisked, higher productivity gas window. In addition, CHK has taken some leases in the oily area and is getting
active in the trend. When analyzing exposure to the Eagleford, investors should be sure to differentiate between the oily and gassy areas as they are very different plays.

On trend gassy acreage along HK’s position is now going upwards of $2,000/acre.

Along with expected results from Rosetta Resources (ROSE), SM and Swift Energy’s (SFY) farm-out, expect more news fl ow soon from this part of the play.

Central

We have peak calendar-month production data on Pioneer Natural Resources’ (PXD) Friedrichs 1H in DeWitt County, which had a botched completion. It produced only 570 Mcfe/d in its second month (June) and was down to 350 Mcfe/d in July. PXD reported an initial fl ow rate of 3.7 MMcfe/d.

PXD is drilling its second Eagleford horizontal well, this one in Live Oak, about 57 miles southwest of the Friedrichs #1. FST and PXD are reportedly leasing in this area at $1,500/acre.

GeoSouthern Resources drilled the Migura 1 horizontal in DeWitt County, which tested at 789 Mcf/d of gas and 129 bbl/d of condensate.
XTO Energy (XTO) applied for a new Eagleford fi eld designation in southeast Atascosa County, in its Fashing fi eld. The vertical discovery well had a condensate yield of 147 bbl/MMcf, which is even higher than the yields seen out of APC/TXCO Resources (TXCOQ) wells in southern Dimmit.

EOG Resources (EOG) is drilling a second horizontal well offset the Milton Unit 1. The company continues to lease in the area and is moving updip into Wilson and Gonzales counties. EOG applied for a new fi eld designation called the “Golden Eagle” (second and third preferences are “Osprey” and “Eagle’s Claw”).

ConocoPhillips (COP) drilled two wells in northern Live Oak County, which we are keeping an eye on. There is no information available at this time.
Northeast Apache (APA) drilled its fi rst gas-directed Eagleford horizontal in Brazos County. Results were unimpressive – the well’s peak calendar-month rate was 260 Mcf/d, and it had cumulative production of only 19.5 MMcf after four months.

[fscmark]

Quote: Originally Posted by Agentm try and beat the frac record at the conocophillips at bordovsky i think it goes without saying that any info on how the fracs are going in the eagleford in the region is extremely interesting.. i have been hearing for a while that the 16 stage fracs are what a lot of operators are progressing towards... cheers

[Agentm]

hey fscmark

there is a pm (private mail) system on this site, so you can pm me and i can get you the original article if you like

bordovsky well started fraccing on the 4th july..!!

they are still fraccing it, like most wells conoco are doing, they are experimenting with all different completions. the frc guys are thinking about where to buy a house in karnes its taking so long they may need to retire there

they did an eagleford well in live oak, its called eskew west, its a one stage frac so far..

they did 4 tests the last one they got 975 static choke pressure 3550 mcfpd flow 7200 run time 24/64 choke 2215 psi ..

about 875 bopd on that rate


they put this on the completion report.. for the frac

13147 - 16671 - 417146# 40/80 HYDOPROP, 1051060# 30/60


looks one stage?

what are your thoughts?

[fscmark]

Quote: Originally Posted by Agentm try and beat the frac record at the conocophillips at bordovsky i think it goes without saying that any info on how the fracs are going in the eagleford in the region is extremely interesting.. i have been hearing for a while that the 16 stage fracs are what a lot of operators are progressing towards... cheers

[ijh]

Top 20 Shareholders
As at 09 October 2009

Rank Shareholder Total Units
1 ARC Energy Limited 47,864,000
2 Mr Alexander Forcke 3,000,000
3 ANZ Nominees Limited <Cash Income A/C> 1,751,243
4 Streitberg Family 1,705,000
5 Mrs Sharon Teresa Lydeamore 1,539,679
6 Riley Group 1,477,779
7 Citicorp Nominees Pty Limited 1,315,326
8 Libbit Holdings Pty Ltd <Bitomsky Super Fund No 1 A/C> 1,283,332
9 J J N A Super Pty Ltd <Chatterton Family Super A/C> 1,252,446
10 Taperslee Pty Ltd <Major Family A/C> 1,114,219
11 Mr Dallas John William Allman + Mrs Judith Dawn Allman <D J W & J D Allman S/F A/C> 1,000,000
12 Lorilaw Pty Ltd 1,000,000
13 J J N A Pty Ltd 997,612
14 Mr Thomas Brian Cannon 951,000
15 Michael Craft Pty Ltd <M J Craft Pty Ltd S/F A/C > 950,000
16 Etrade Australia Nominees Pty Limited 884,472
17 Mr Neil Hargreaves + Mrs Lois Valma Hargreaves 855,000
18 Comsec Nominees Pty Limited 807,739
19 Mr Paul Nagle + Mrs Jacqueline Terri Nagle <PJ Nagle S/F A/C> 805,000
20 Michael Craft Pty Ltd <Superannuation Fund Account> 800,000
TOTAL 71,353,847

Well the excitement is really building here.

Some new names in the Top 20 and others increasing there shareholding.

Novemeber may turn out to be a company defining momment for ADI and one alot have been waiting for on the rollercoaster ride.

Management have impressed with there proffesionalism and commitment to getting the job done now we await the results.

[Miner]

Quote: Originally Posted by ijh Top 20 Shareholders As at 09 October 2009 Rank Shareholder Total Units 1 ARC Energy Limited 47,864,000 2 Mr Alexander Forcke 3,000,000 3 ANZ Nominees Limited <Cash Income A/C> 1,751,243 4 Streitberg Family 1,705,000 5 Mrs Sharon Teresa Lydeamore 1,539,679 6 Riley Group 1,477,779 7 Citicorp Nominees Pty Limited 1,315,326 8 Libbit Holdings Pty Ltd <Bitomsky Super Fund No 1 A/C> 1,283,332 9 J J N A Super Pty Ltd <Chatterton Family Super A/C> 1,252,446 10 Taperslee Pty Ltd <Major Family A/C> 1,114,219 11 Mr Dallas John William Allman + Mrs Judith Dawn Allman <D J W & J D Allman S/F A/C> 1,000,000 12 Lorilaw Pty Ltd 1,000,000 13 J J N A Pty Ltd 997,612 14 Mr Thomas Brian Cannon 951,000 15 Michael Craft Pty Ltd <M J Craft Pty Ltd S/F A/C > 950,000 16 Etrade Australia Nominees Pty Limited 884,472 17 Mr Neil Hargreaves + Mrs Lois Valma Hargreaves 855,000 18 Comsec Nominees Pty Limited 807,739 19 Mr Paul Nagle + Mrs Jacqueline Terri Nagle <PJ Nagle S/F A/C> 805,000 20 Michael Craft Pty Ltd <Superannuation Fund Account> 800,000 TOTAL 71,353,847 Well the excitement is really building here. Some new names in the Top 20 and others increasing there shareholding. Novemeber may turn out to be a company defining momment for ADI and one alot have been waiting for on the rollercoaster ride. Management have impressed with there proffesionalism and commitment to getting the job done now we await the results.

[adobee]

ADI looking really good at the moment.. Cant believe I sold out a few weeks ago.. but couldnt resist buying back in today even after missing 140% return... sell side is just so small.. any news or hint of news out of this and people wont be able to buy any shares ..

[Agentm]

AI have gone from .06 to .175

and imho once it nears the frac of the 3 laterals commencing november there will a real buying surge into the share.. speculation on the results and then some serious reratings afterwards.. thats normal pre drill or pre frac in these types of stocks

my view is that the safe haven of the .30's is where adi is trending atm.. its getting a healthy turnover of stock compared to the jvp partners..

its clear eog have put in a lot of permits in mcmullin county as well. so gonzales, karnes atascosa and mcmullen exploration wells are all on the planning and drilling

imho murphy will drill their karnes well real soon

lots of preparations for sites all over the place atm..

intersting days ahead

[JOHAUD]

Informative info. from iii bb
re.drilling

It doesn't matter what the formation is, it's a lot harder to control the well-path in a horizontal well than a vertical well. There can be many obstacles, from poor hole cleaning, differential sticking of the drillpipe, the drilling assembly hanging up on ledges, hole stability problems, and directional drilling control problems.

Specialist directional drillers, with tools specifically designed for directional drilling are required. This adds considerable cost to the well, and it means that a horizontal drilling project is not usually considered unless there is already very good reason to commit to the additional expense. I have no idea about the reservoir characteristics for this project but but when you are looking for production from fractured formations, you vastly increase your production potential by drilling extended reach horizontal wells.

The tools available for directional drilling can be very basic downhole motors, to very high tech rotary steerable systems, it depends on how deep the pockets of the oil company, and how much the drilling rig costs per day, as to what tools they might consider to use. Obviously if your drilling rig is costing a small fortune everyday, it will be more cost effective to use more advanced tools in the hope of drilling the well quicker.

With all the problems you can get, from the geology not being exactly as expected, to hole problems, and drilling tool problems, it is not unusual for a two month project to end up being 3 or 4 months. This is why when an oil company say's it will have a rig in 45 days to start drilling their well, it often turns up a month or two later. Because the last company to use the rig just might be stuck in hole and unable to release the rig. This sort of thing happens all the time, and projects are always slipping.

I hope this helps answer your question, but I guess it will just lead to a whole lot more!


By tbo

[Agentm]

johaud

i have no idea what that comment has to do with ADI? i am aware of the bb, as i posted on it years back, but never again.. if i understand it the bb discussion you pasted was about the long delays and possible reasons for them relating to the eme well, which is an austin chalks well called quinn, which they are drilling atm in east texas? am i right?

cheers..

fscmark..

i was alerted to this article by an adi investor, it was interesting as the cobra frac system is one that conocophillips is messing with on some wells, i know it was used in kunde 3 horizontal on the regions in the lateral where there were no natural fractures in the austin chalks. i suspect they didnt give up on it either..

http://www.rigzone.com/news/article.asp?a_id=81021


Halliburton Rolls Out Solutions for Unconventional Gas Reservoirs

Monday, October 05, 2009

At the Society of Petroleum Engineers' Annual Technical Convention and Exhibition in New Orleans, Halliburton introduced new solutions designed to help operators address the challenges they face with unconventional gas reservoirs due to significant variances across plays, increasing reservoir complexity and rapid production decline.

"Halliburton understands and is responding to these challenges," said David King, president, Completion and Production Division, Halliburton.

"Experience shows that improving overall reservoir understanding, along with offering customized solutions, can help operators develop assets that could not be technically or economically produced before."

For example, Halliburton's Stimulation for the Digital Asset™ workflow now provides the capability to view real-time stimulation data in engineering, geological and geophysical interpretation environments. This enables operators to use all the information they have not only to monitor and adjust treatments on the fly, but also to design better stimulation treatments, improve perforation strategies, and improve field development plans. This workflow brings together leading solutions from Halliburton’s fracturing, microseismic mapping, and software products and services.

The company's Cobra Frac® H coiled-tubing-based fracturing service helps operators achieve increased fracture intensity by enabling the placement of virtually an unlimited number of fractures in the horizontal section of a well. This solution, based on Halliburton's unique treatment process coupled with a new bottomhole assembly using advanced elastomer technology, has already provided significantly improved production from more than 30 horizontal wellbores in Canada's Spearfish tight-sand formation. The Cobra Frac H service utilizes a bottomhole assembly which enables post-frac analysis to determine treatment effectiveness and it can also be used to efficiently refracture existing wellbores.

Halliburton also has a new extreme-temperature synthetic fracturing fluid comprising the first system that performs confidently at temperatures above 450°F while providing the proppant transport capabilities critical for the successful fracturing of deeper, hotter formations. In addition, this fluid system does not require a formation cool-down process, as did previous systems, which often contributes to poor initial well performance. This new fluid system is helping operators turn high-temperature discovered resources into producing assets.

Halliburton also helps operators manage the health, safety and environmental aspects of chemistry used in stimulation treatments with the Chemistry Scoring Index, which assigns a numeric score to each chemical used in the stimulation treatment. This solution can provide a solid basis for choosing more environmentally focused chemistry while reconciling it with overall well-completion costs.

[jestex12]

Not new but a good article imho:

Pub. July 2009

http://www.tidalpetroleum.com/downlo...rd_Article.pdf

[jestex12]

Taken today from the Fort Worth Business Press.


New shale play gives Texas oil, gas in four directions

BY JOHN-LAURENT TRONCHE
October 19, 2009

In a seemingly nonstop line of emerging shale plays, the Eagle Ford Shale of southwest Texas, near the Texas-Mexico border, is just the latest during the past several years to spark interest, but many companies see potential all the same.

Since Houston’s Petrohawk Energy Corp. “discovery” well – the shale was known to exist but sat untouched for decades – one year ago, the Eagle Ford Shale steadily has raised interested eyebrows from industry exploration and production companies large and small. Now, at least 10 producers have drilled or will drill wells in the play to get a better idea of its true size and potential.

The shale is located south of San Antonio running in a crescent moon shape from the coast to the western border of the state. It begins in Dimmit and Webb counties at its westernmost and runs through La Salle, McMullen and Live Oak counties before turning northeast in a diagonal line through Bee, Karnes, Goliad, De Witt, Lavaca and Colorado counties. Thickness is estimated anywhere between 150 feet and 475 feet and Petrohawk estimates drilling and completion costs for wells at about $5 million or more.

Petrohawk now boasts 210,000 acres in the play, and recently sold its Permian Basin assets for $376 million to a private company to shift focus on its Haynesville and Eagle Ford assets. The company isn’t alone either. Other players that have taken up stakes in the play include Apache Corp., Anadarko Petroleum Corp., Swift Energy Co., EOG Resources Inc., Rosetta Resources Inc., ConocoPhillips Co., XTO Energy Inc., Chesapeake Energy Corp. and more.

Some numbers

Leasing in the Eagle Ford Shale has been concentrated in Karnes, De Witt and Colorado counties since December 2008. In Karnes, 818 leases have been signed, compared to 561 leases in De Witt, 386 leases in Colorado, and 374 leases in Live Oak County. Goliad has experienced the least interest with 62 leases, according to August data from The Tobin Monthly, a newsletter that publishes data compiled by P2 Energy Solutions Inc., an oil and gas software, data and services company.

“I’ve seen some numbers that in the Eagle Ford you can be more economical and more profitable than in other areas such as the Marcellus,” said Tom Neubert, senior vice president of data operations at P2 Energy Solutions. “Is it different? I think the only things I’ve heard are the ability to produce oil and it’s just a low break-even point.”

Needless to say, the interest is good but many companies are playing their cards close to their chests.

XTO Energy CEO Keith Hutton recently acknowledged the company had some acreage in the Eagle Ford Shale, saying the company was watching it closely but would not comment just yet.

An EOG Resources spokeswoman also said the Houston-based company would not comment on its Eagle Ford Shale development at this time.

Overseas visitors

The shale also has interested some producers from abroad. Brisbane, Australia-based Texon Petroleum Ltd. has been drilling for oil and gas in McMullen County, east of La Salle County, for more than a year, but its fifth Leighton Project well, begun October 10, will be the company’s first to tap into the Eagle Ford.

“It’s an emerging play, it has oil associated with it and gas prices are improving,” said CEO David Mason. “We wanted to assess the value of what we have on our properties so we’re just deepening to get a look.”

Texon Petroleum is drilling with a planned depth of 11,300 feet. The Eagle Ford rests at about 10,500 feet, Mason said, and another oil reservoir is located at about 8,700 feet. Results are expected around the beginning of November, and should the well produce, it would be Texon Petroleum’s fifth producer in

the zone.

“Petrohawk is to the south of us. San Isidro is drilling a horizontal well just now,” Mason said. “We’ve just been watching the trend and we wanted to evaluate the potential in our area and it doesn’t cost us much more to go a bit deeper.”

San Isidro Development Co. is the operator on the Yellow Rose project, also in McMullen County, in which another Australian producer, Antares Energy Ltd., has a 75 percent working interest. The latter announced Oct. 12 it acquired 500 additional acres, giving it working interests of between 50 percent and 75 percent in more than 17,800 prospective Eagle Ford Shale acres.

Antares Energy’s James Cruickshank, CEO and managing director, said the company divested its Turkish and Australian assets so it could focus entirely on oil and gas production along the Gulf Coast. The company has drilled in the area for several years, but its most recent well is, like Texon’s, its first Eagle Ford Shale well. The companies will drill down 11,300 feet and horizontally another 3,000 feet. Antares Energy and San Isidro already hit gas at 11,100 feet during another well.

“Our desire is to become a significant Eagle Ford player,” Cruickshank said. He added, “We’d like to develop the largest possible reserves, production and revenue possible from our Eagle Ford prospects. We certainly see a lot of prospectivity and upside potential in the Eagle Ford.”

[jestex12]

Adelphia Energy Limited annual report 2009
October 19, 2009

http://newsstore.smh.com.au/apps/pre...GCA00999933ADI

[Agentm]

bordovsky is flaring big time.. off two flare towers

so the eagleford is good to the east of the adi acreages.. good for AUT holders imho also


the kowalik well has a rig over hole attempting to pull the pipe.

all wells have operations on them atm

ops can begin pretty quick.. imho november is equally as prospective as october..

all imho and dyor

[Agentm]

things are getting interesting

This little map shows various operators and where they are active.

Firstly, the conoco phillips acreages extend from mcmullen/liveoak county line to mid dewitt county and perhps a little further.. in there are operators like TCEI/Hilcorp (with ADI in partnership) and Murphy, Weber, and a few other smaller operators.. Pioneer also has acreages in the belt

Conoco just put in a permit last week for the Plomero ranch on the western fringe or the bookend with petrohawks acreages in mcmullen and lasalle

The far eastern well. Hooks did flow pretty good, they tested it a few months back.. its all sugarkane to there (chalks and eagleford) and our jvp and pioneer have talked about the chalks and eagleford being active in karnes/ live oak and dewitt..

south of the conoco acreages is the pioneer acreages, they are drilling a eagelford well right now in live oak just a mile or so south of the conoco plomero ranch well.

EOG is a newcomer, in the last 3 months they have been drilling like all stink.. they have yet to really let their shareholders know of what the heck they are doing in the counties, as they are still very active in leasing right now as we speak.. i hear as many as 40 landmen are involved for them atm

in karnes they drilled 5 eagleford wells and have opened up one at least.. in gonzales they have the same 3 rigs going full tilt on 3 eagleford wells there right now today.. they have permits in place for 3 wells just north of the ADI kowalik well in karnes county and in atascosa north of the conoco phillips plomero another cluster, and also a cluster in mc mullen further east

sheepishly in lasalle, el paso is quietly at work on an eagleford well. been keeping a close watch on it as it about to be fraced.. the well is locked down with security and no one is prepared to talk about it atm..

petrohawk as we all know in the east have been making huge noises about their discovery and their progress is very much advanced..

what i am hearing is that many operators are all designing varied frac designs, and some are utilising very advanced frac methods (ala conoco and the cobra frac)

in the adi acreages a rig sits over kowalik atm, and the weston well is being prepared for a frac, kennedy is also being prepared

Ihere is a the massive well in kenedy township is also completed, and rumor is that the well was an eagleford well.. i hear another near by it is also on the go and possibly eagleford also..

the conocophillips bordovsky well just east of ADI's acreages is also ready for production, and has been flaring massive flares a few night back on dual flare towers. the flares were seen from runge, kenedy and karnes city

each day i see more and more evidence that the rock adi sit on is producing north south east and west in the eagleford and chalks..

looking forward to the very near future (only days away imho) when adi announce what well is fraccing first and where things are at..

all imho and dyor

[adobee]

looking forward to the very near future (only days away imho) when adi announce what well is fraccing first and where things are at..


How are you deriviing this opinion ??? If this is the case I will start buying more today ... Cant wait for update on this one ..

[jancha]

Quote: Originally Posted by adobee looking forward to the very near future (only days away imho) when adi announce what well is fraccing first and where things are at.. How are you deriviing this opinion ??? If this is the case I will start buying more today ... Cant wait for update on this one ..

[Agentm]

Quote: Originally Posted by adobee looking forward to the very near future (only days away imho) when adi announce what well is fraccing first and where things are at.. How are you deriviing this opinion ??? If this is the case I will start buying more today ... Cant wait for update on this one ..