By OGJ editors
HOUSTON, Oct. 12 -- Liquids-rich plays in the Williston basin Bakken and Anadarko basin Woodford Cana will consume 92% of capital spending by Continental Resources Inc. and will drive the company’s growth for the next 5 years.
Continental, which set a $1.36 billion capital budget for 2011, expects to increase production 30% next year to 20.6 million boe.
The company has built its inventory to 864,559 net acres in the Bakken play, up 47,707 net acres in the quarter ended Sept. 30. About 72% of the acreage is derisked and in the development mode. The company operates 21 rigs.
Continental also holds 73,000 acres in the Colorado-Wyoming Niobrara shale play, up 13,929 net acres in the quarter, and an industry-leading 251,000 net acres in the Woodford Cana play.
The company completed 26 gross operated Bakken wells in the quarter with an average 1-day production test of 995 boe/d. The wells are in Dunn, McKenzie, and Williams counties, ND.
Production rates and wellbore pressures clearly indicate that the Middle Bakken and Three Forks zones are isolated from each other. Continental is producing the wells under restriction to conserve the energy resource and minimize flaring.
Continental said it and other operators are just beginning to understand the productive potential of the Anadarko Woodford, which the company called an “enormous, liquids rich shale resource play.”
The industry, which is running 32 rigs, has built the play to 124 horizontal completions. Continental plans to add two rigs by yearend 2010 to the six it is running. The company noted that some wells have potential in as many as 12 uphole zones, including Pennsylvanian Morrow-Springer.
The Dana 1-29H well in Grady County flowed 2.5 MMcfd of gas and 88 b/d of oil on initial test as the company’s third and most productive completed well in the southeastern part of the play. The well validated “the productivity and scope of the play from Dewey County in the northwest through Canadian County to Grady County in the southeast, a span of approximately 100 miles.”
Bakken, Woodford Cana plays drive Continental's budget
By OGJ editors