Venoco notes Monterey shale exploration status

By OGJ editors
HOUSTON, Nov. 2
-- Success in exploring for oil in Miocene Monterey shale onshore and off California won’t be measured by any one well, said Venoco Inc., Denver.

Venoco will spend $100 million in 2011 for onshore Monterey work, drilling 22 horizontal and 8 vertical wells, completing the 3D seismic survey in progress, and leasing. The company holds 120,000 net acres that target Monterey shale across more than 30 onshore prospect areas, said Tim Marquez, chairman and chief executive officer.

“It has taken 5 years to complete the regional study, acquire land positions and commence drilling evaluation and development wells … We have made some big advances this year and while we’ve had some disappointments, we have seen nothing from our drilling this year that dampens our excitement about the Monterey opportunity,” Marquez said.

Venoco spent $23 million or 37% capital outlays in the quarter ended Sept. 30 on projects targeting the Monterey shale onshore. The company spud three wells, including its first horizontal well.

Through 9 months of 2010, the company has spud six vertical and two horizontal wells. Three of the six vertical wells were completed and are in various stages of testing, one was completed and is temporarily abandoned and will be evaluated as a water disposal well, one was used as a pilot hole for the first horizontal well that was completed in the third quarter, and one recently reached total depth and will be completed and tested.

One horizontal well was completed in the quarter and tested with a very high water cut that made it uneconomic. The second has been completed and the company expects to begin testing in early November.

Venoco spud its seventh vertical and its third horizontal wells in October and expects to spud another horizontal well in the fourth quarter.

The company plans to scale back Sacramento basin drilling in 2011 due to depressed natural gas prices and its onshore Monterey shale focus. It expects to end 2010 operating two rigs, down from four at present.

Venoco plans 40 wells, 220 recompletions, and 20 fracs in the Sac basin in 2011 and production to be flat to slightly lower compared with the expected 2010 average.

In the 9 months of 2010 Venoco completed two wells at West Montalvo field, performed a hydraulic frac of an offshore Monterey shale well and drilled an offshore Monterey shale well at Sockeye field, and conducted a handful of recompletions at South Ellwood field. It plans to spud a horizontal Monterey shale well at Sockeye before yearend.

Related Articles

Venoco gauges oil at Coal Oil Point, sees further potential

11/13/2013 Venoco Inc., Denver, said it has tested oil briefly from the Coal Oil Point geologic structure in the 3242-19 well drilled northeastward from Platf...

Sacramento basin Guinda frac encouraging

11/12/2007 An early program to frac the Cretaceous Guinda, a zone just below the staple Forbes formation in California's Sacramento basin, has yielded encoura...

Venoco runs six rigs in Sacramento basin

05/17/2007 Venoco Inc., Denver, spud 34 wells in the quarter ended Mar. 31 in the Sacramento basin, where it plans to drill more than 120 wells in 2007.

Veneco acquires fields in California and Texas

03/26/2007 Venoco Inc. recently signed two separate agreements with two undisclosed companies to acquire properties in California and Texas for a combined net...

Denbury to buy field for tertiary flood

11/22/2006 Denbury Resources Inc. has signed an agreement with a Venoco Inc. subsidiary for an option to purchase Veneco's interest in Hastings field, a poten...

Venoco to acquire TexCal Energy

04/04/2006 Venoco Inc., Denver, is to acquire California and Texas producer TexCal Energy LLC for $456 million.

Venoco makes senior management appointments

04/04/2006 Venoco Inc., Denver, named Kevin Morrato vice-president of Sacramento basin operations.

Ridgeway Petroleum appoints chairman

07/27/2005 Ridgeway Petroleum Corp., Calgary independent with helium and carbon dioxide properties in Arizona and New Mexico, appointed Rodney L. Eson as chai...

Venoco sells BMC field, buys Marquez Energy

04/13/2005 Venoco Inc., Carpinteria, Calif., has closed the sale of Big Mineral Creek (BMC) field in Grayson County, North Texas, to BlackWell BMC LP for $45 ...
White Papers

2015 Global Engineering Information Management Solutions Competitive Strategy Innovation and Leadership Award

The Frost & Sullivan Best Practices Awards recognise companies in a variety of regional and global...
Sponsored by

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
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