A well in Grady County, Okla., represents a 25-mile southeast extension of the Anadarko basin Cana Woodford horizontal oil play, said Continental Resources Inc., Enid.
Continental is drilling an offset to the Lambakis 1-11H extension well, which has been producing since late May and continues to flow at 4.2 MMcfd of 1,350-Btu gas and 110 b/d of oil with a shallow decline. Its initial rate was 5.4 MMcfd and 160 b/d.
The well, completed in 10 stages over 4,200 ft at 15,000 ft true vertical depth, proves up a further 15,000 net acres in the southern part of the company’s 90,000 net acre Southeast Cana holding. The lateral was landed in a siliceous zone that is thick in the southern part of Southeast Cana and may present multiple horizons for drilling, Continental said.
The well’s rich gas brought a realized price in May of $6.25/MMcf, compared with a Nymex posted price of $3.95, the company noted.
Continental is running 11 operated rigs in the northwest part of the Cana Woodford play, two in Southeast Cana, and one in the Arkoma basin Woodford play and plans to hike its operated rig count by the end of 2011 in the Anadarko Woodford, where it has a 270,000 net acres.
The company averaged 4,031 b/d of oil equivalent in the quarter ended June 30, 50% higher than the previous quarter. Recent drilling times have been 40 days, 43% faster than the 2010 average, and recent completions are in Custer, Blaine, and Dewey counties.