Continental extends Cana Woodford to southeast

By OGJ editors

Continental Resources Inc., Enid, Okla., posted a 25-mile southeast extension of the Anadarko basin Cana Woodford play with completion of a well in Grady County, Okla.

The Lambakis 1-11H validates the company’s geologic model for the Southeast Cana and extends it 25 miles south of previously known Anadarko Woodford horizontal production. The well adds 15,000 net acres in the southern part of the 90,000 net acre Southeast Cana area, Continental said.

The well is producing 1,350-Btu gas, which in May had a realized price of $6.25/MMcf, compared with Nymex’s posted price of $3.95. Lambakis has been producing since late May and continues to flow at 4.2 MMcfd of gas and 110 b/d of oil, showing a shallow decline curve.

The Lambakis lateral section was completed in 10 stages over a total length of 4,200 ft at 15,000 ft true vertical depth. The lateral was landed in a siliceous zone, which in the southern portion of the Southeast Cana is very thick and may present multiple horizons for drilling, the company said.

Continental’s Anadarko Woodford production in the quarter ended June 30 was 4,031 boe/d, 50% more than in the 2011 first quarter. The company participated in completing 28 gross, 9.9 net wells in the latest quarter, of which 11 gross, 7.6 net were company operated.

 The company completed other notable operated wells in Blaine, Dewey, and Custer counties. Several operated wells were drilled in 40 days each, 43% faster than the 2010 average. Continental has 14 operated rigs in the Oklahoma Woodford, with 11 in Northwest Cana, two in Southeast Cana, and one in the Arkoma Woodford, and will increase its operated rig count in the Anadarko Woodford by yearend.

Continental has 324,273 net acres leased in the Oklahoma Woodford, including 270,529 net acres in the Anadarko Woodford portion of the play, where it continues to acquire acreage.

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