Southwestern Energy announces Fayetteville shale play in Arkoma basin

By Alan Petzet
Exploration Editor
HOUSTON, Aug. 18 -- Southwestern Energy Co., Houston, said it has accumulated a large acreage position in and east of the Arkoma basin fairway in Arkansas to pursue dry gas in Mississippian Fayetteville shale.

Southwestern has completed four vertical wells in various thicknesses in the shale, found at 1,500-6,500 ft, and obtained flows of 150-500 Mcfd after 10-20 days of tests. The shale is believed to be 50-325 ft thick.

The company is not comfortable with early estimates of gas in place, recoverable volumes, or appropriate well spacing. It is not sure how the formation will respond to fluids. It said it will probably try horizontal drilling this year but could not estimate horizontal well costs or appropriate horizontal lengths.

Fayetteville is the geological equivalent of the Caney shale found in the Oklahoma Arkoma basin and the Barnett shale in the Fort Worth basin of North Texas. Fayetteville gas content is 60-220 scf/ton compared with 100-200 scf/ton for the Barnett, Southwestern said.

The Fayetteville gas is close to 1,000 Btu/Mcf and contains no troublesome impurities or liquids. The shale has not been thought of as a traditional producing zone in the Arkoma.

Southwestern has hiked its acreage position to 455,000 undeveloped acres as of early August from 343,000 acres at yearend 2003. Beyond that, the company controls 120,000 net developed acres that are held by conventional production in the traditional Arkoma fairway. Average primary term of the undeveloped acreage exceeds nine years.

The company has been studying the Fayetteville and the shallow Wedington sandstone member of Fayetteville since 2001 in an attempt to learn why gas recoveries varied so widely from the Wedington, which has only been commercial in a localized area along the northern rim of the fairway. It concluded that some gas attributed to the Wedington actually came from the surrounding Fayetteville shale (see map, OGJ, June 5, 1989, p. 66).

Fayetteville core samples obtained in 2002 "indicated encouraging data relative to total organic content, thermal maturity, and total gas content which Southwestern believes compare favorably to other productive shale gas plays, including the Barnett shale," the company said.

These analyses and extensive geologic mapping led to the leasing effort that began in early 2003.

Southwestern recently completed four vertical wells to the Fayetteville in Franklin, Conway, and Van Buren counties, Arkansas. All four confirmed the predicted lateral extent of the formation and responded to nitrogen fracs. Gas sales will start shortly.

The company has acquired $18.5 million in leasehold. Its 2004 capital outlay in the play is $20 million, including $8.5 million for 20 total wells. One or two could be horizontal wells.

Related Articles

Southwestern agrees to second Marcellus acquisition this month

12/23/2014

Southwestern Energy Co., Houston, has agreed to acquire 20% of the Marcellus shale assets belonging to Statoil ASA for $394 million.

Countries, oil and gas firms launch methane taskforce at UN meeting

10/20/2014 Governments of major producing countries and six multinational oil and gas companies formed a methane emissions reduction taskforce during the Unit...

Southwestern Energy to acquire Marcellus, Utica assets for $5.375 billion

10/16/2014 Southwestern Energy Co., Houston, has agreed to acquire assets in the southern Marcellus shale and a portion of the eastern Utica shale in West Vir...

Southwestern Energy to acquire Niobrara acreage for liquids-rich play

03/07/2014 Southwestern Energy Co., Houston, has agreed to purchase 312,000 net acres in northwest Colorado targeting oil, natural gas liquids, and natural ga...

Southwestern Energy appoints senior vice-president

10/29/2008 Southwestern Energy Co. has appointed Jeffrey B. Sherrick as senior vice-president, exploitation, of its subsidiaries SEECO Inc. and Southwestern E...

Kinder Morgan, ETP form Fayetteville pipeline JV

10/01/2008 Kinder Morgan Energy Partners LP (KMP) and Energy Transfer Partners LP (ETP) announced a 50:50 joint venture, Fayetteville Express Pipeline LLC, to...

XTO Energy expanding its Fayetteville shale acreage

04/07/2008 XTO Energy Inc. agreed to acquire 55,631 net acres of Fayetteville shale leasehold acreage, including producing properties, from Southwestern Energ...

3D seismic guides Arkoma Fayetteville play

08/02/2007 Drilling and 3D seismic surveying are ramping up in the Arkoma basin Fayetteville shale gas play in Arkansas.

Fayetteville shale flow hits 155 MMcfd

05/01/2007 Southwestern Energy Co., Houston, said its gross gas production from the eastern Arkoma basin Fayetteville shale play in Arkansas was 155 MMcfd as ...
White Papers

Three Tips to Improve Safety in the Oil Field

Working oil fields will always be tough work with inherent risks. There’s no getting around that. Ther...
Sponsored by

Pipeline Integrity: Best Practices to Prevent, Detect, and Mitigate Commodity Releases

Commodity releases can have catastrophic consequences, so ensuring pipeline integrity is crucial for p...
Sponsored by

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New chall...
Sponsored by

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by

Asset Decommissioning in Oil & Gas: Transforming Business

Asset intensive organizations like Oil and Gas have their own industry specific challenges when it com...
Sponsored by

Squeezing the Green: How to Cut Petroleum Downstream Costs and Optimize Processing Efficiencies with Enterprise Project Portfolio Management Solutions

As the downstream petroleum industry grapples with change in every sector and at every level, includin...
Sponsored by

7 Steps to Improve Oil & Gas Asset Decommissioning

Global competition and volatile markets are creating a challenging business climate for project based ...
Sponsored by

The impact of aging infrastructure in process manufacturing industries

Process manufacturing companies in the oil and gas, utilities, chemicals and natural resource industri...
Sponsored by
Available Webcasts


OGJ's Midyear Forecast 2015

When Fri, Jul 10, 2015

This webcast is to be presented by OGJ Editor Bob Tippee and Senior Economic Editor Conglin Xu.  They will summarize the Midyear Forecast projections in key categories, note important changes from January’s forecasts, and examine reasons for the adjustments.

register:WEBCAST


Predictive Analytics in your digital oilfield - Optimize Production Yield and Reduce Operational Costs

When Tue, Jul 7, 2015

Putting predictive analytics to work in your oilfield can help you anticipate failures, plan and schedule work in advance, eliminate emergency work and catastrophic failures, and at the same time you can optimize working capital and improve resource utilization.  When you apply analytic capabilities to critical production assets it is possible to reduce non-productive time and increase your yield.

Learn how IBM's analytics capabilities can be applied to critical production assets with the goal of reducing non-productive time, increasing yield and reducing operations costs.

register:WEBCAST



On Demand

Cognitive Solutions for Upstream Oil and Gas

Fri, Jun 12, 2015

The oil & gas sector is under pressure on all sides. Reserves are limited and it’s becoming increasingly expensive to find and extract new resources. Margins are already being squeezed in an industry where one wrong decision can cost millions. Analyzing data used in energy exploration can save millions of dollars as we develop ways to predict where and how to extract the world’s massive energy reserves.

This session with IBM Subject Matter Experts will discuss how IBM Cognitive Solutions contribute to the oil and gas industry using predictive analytics and cognitive computing, as well as real time streaming for exploration and drilling.

register:WEBCAST


The Alternative Fuel Movement: Four Need-to-Know Excise Tax Complexities

Thu, Jun 4, 2015

Discussion on how to approach, and ultimately embrace, the alternative fuel market by pulling back the veil on excise tax complexities. Taxes may be an aggravating part of daily operations, but their accuracy is crucial in your path towards business success.

register:WEBCAST


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected