Jetta raised a chunk of change.

Saw Jetta pulled down $1B and Guidon out of Dallas was funded at $500MM. Both to focus on the Permian.

Well, I thought I would make the cut since I've been assigned to a field rotation, but I guess I was wrong. Any leads for completion engineers with Permian and Eagle Ford experience? I'll even do tech analyst type role just to keep me mentally focused. Thanks!

Silver lining is you can enjoy opening day to the season? Expecting a slow day on here.

$43

RBOB down 5% today

I read 15% of Gulf or about 250KBD shut in because of Hurricane Herman. Not even that can support oil price

Check Concho and Noble websites. They both have completions positions posted.

I'm surprised it's not more than that. We do about 200mboed net and I believe all of our platforms have been shut in since Thursday.

EOG to acquire Yates Petroleum Deal valued at $2.5B as EOG has agreed to combine with Yates in a privately negotiated transaction for 186k, 138k, 200k, and 1.1mm net acres in the Delaware Basin, Northwest Shelf, PRB, and the NM/WY/CO/MT/ND/UT areas, respectively. Assuming ~$800mm of PDP value for 29.6mboepd (48% oil), $500/acre for the PRB, $1.5k/acre Northwest Shelf, we believe EOG is paying $7-8k/acre for Delaware acreage. While we believe the northern portion of the Delaware acreage is prospective for the Bone Spring, the southern acreage could be prospective for multiple Wolfcamp and Bone Spring benches. Transaction to be funded with 26.06mm shares of common stock, $37mm cash, and repayment ~$114mm of Yates net debt. Deal is expected to close October'16 close. Conference call at 10am CT.

Enbridge buying Spectra Energy for $28B. http://www.bloomberg.com/news/articles/2016-09-06/enbridge-and-spectra-energy-to-combine-in-stock-for-stock-deal

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Enbridge buying Spectra Energy for $28B. http://www.bloomberg.com/news/articles/2016-09-06/enbridge-and-spectra-energy-to-combine-in-stock-for-stock-deal

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That is a monster deal. $28B!

Looks like the consolidation is starting. . .

Woah..

Good for EOG. I always assumed Oxy would buy Yates after their failed attempt years ago when Yates will for sale.

http://money.cnn.com/2016/09/03/news/economy/oklahoma-earthquake-fracking-oil/

Didn't see this discussed here, what do you all think are the longer term implications? Does Oklahoma go the way of Pennsylvania and force O&G to recycle everything or truck it out of state?

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http://money.cnn.com/2016/09/03/news/economy/oklahoma-earthquake-fracking-oil/

Didn't see this discussed here, what do you all think are the longer term implications? Does Oklahoma go the way of Pennsylvania and force O&G to recycle everything or truck it out of state?

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I think the SWD world is about to be in a world of hurt.

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http://money.cnn.com/2016/09/03/news/economy/oklahoma-earthquake-fracking-oil/

Didn't see this discussed here, what do you all think are the longer term implications? Does Oklahoma go the way of Pennsylvania and force O&G to recycle everything or truck it out of state?

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I think the SWD world is about to be in a world of hurt.

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Not in Texas, they wont.

I believe Oklahoma and Colorado inject into the basement rock. That's different than Texas and why we don't see the same issues.

Colorado can basically turn earthquakes on and off by injection. . .

The story is misleading in saying Fracing causes it. It is the water disposal. . .

I have never worked Oklahoma in my O&G days. How much are people recycling right now vs disposing? I am guessing its 90%+ disposal with relatively limited recycling (similar to the Permian and South Texas)?

One thing to keep in mind when you start looking at different produced water management strategies is the overall quality of the water.

As an example, produced water in the Permian probably has a tds concentration over 100,000 mg/l whereas some of the formations up north only have a tds concentration of around 7,500-20,000 mg/l. Management of produced water is a bit more user friendly with low tds water (relatively speaking).

Edit to add: Planning and strategic development for both water supply and produced water management is a quickly growing sub-industry. I've only been in for 5 years and it seems to have really exploded in that short amount of time.

Callon makes another acquisition in the Permian: http://www.callon.com/news/news-releases/detail/192/callon-petroleum-company-announces-howard-county

This looks like the Element acreage that wasn't in the Tall City AMI that went to Blue Whale. I had heard rumors that this was going for $45,000 per acre to a public company. Looks like $43,500 if you back out production at $35,000/boed. Not sure how to value the override.

I have never heard of reuse making poorer wells. That being said, i have only ever seen it done with slickwater fracs.

ive always heard the completions guys don't like reuse water because consistency from one day to the next is not there so they have to modify their frac design on the fly.

That sounds like a gel problem not a slickwater problem. Not sure why so many companies still use gel.

Reuse on slick water seems to work in multiple resource plays. This doesn't mean it is profitable - you need some scale.

Degradation is a ploy to keep people from additional work.

The key is to have large quantities of water gathered up/deliverable and completions guys who are actually team players/not clowns. Anything that adds more work to a group usually isn't welcomed with open arms...

Central gathering system treatment facilities seem to not be profitable too - even if it is, there are better ways.

What do you think Flowback water is comprised of?...

Water re-use can be problematic for completions for a chemistry standpoint. Mixing produced water from different intervals can introduce scale such as barium sulfate or calcium carbonate. Unless the chlorides or TDS is high, the gel shouldn't have any problem. Some water does not require any remediation or treatment but most requires some sort of filtering or chemical treatment which increases completion and production costs.

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That sounds like a gel problem not a slickwater problem. Not sure why so many companies still use gel.

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Gel has a purpose: viscosity, frac'ing at low rates, proppant transport, formations with low frac widths, foam fracs, etc
Although I'm a fan of slick water, it has important applications.

APA announces Alpine High play in Delaware Basin. Stock up 7% pre market.

we've looked at water recycle projects to use in completions in a few different onshore assets over the last few years. mostly just as test pilots, but as of yet nothing has come to fruition in any permanent facilities to continuously recycle water.

We used to use recycled water for our slickwater fracs because it saved on disposal costs and freshwater costs, but the RRC started regulating the storage and treatment of produced water to the point where it was no longer economical for us. Our well results were as good to slightly better with a produced water blend. We think it provided some clay stabilization. The problem with it was inconsistency. We had to test our frac water daily to see which friction reducers and FR breakers worked best. We would also have to run a pH buffer occasionally to get the FR to yield.

http://www.wsj.com/articles/apache-has-high-hopes-for-new-oil-field-discovery-in-texas-1473245702

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Apache Corp.[url=http://quotes.wsj.com/APA][/url] says it has discovered the equivalent of at least two billion barrels of oil in a new west Texas field that has the promise to become one of the biggest energy finds of the past decade.

The discovery, which Apache is calling "Alpine High," is in an area near the Davis Mountains that had been overlooked by geologists and engineers, who believed it would be a poor fit for hydraulic fracturing. It could be worth $8 billion by conservative estimates, or even 10 times more, according to the company.

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