Pantheon Resources PLC, London, has finalized a contract with Kinder Morgan Inc. for subsidiary Kinder Morgan Treating LP, Houston, to build and operate a 15-MMcfd natural gas processing plant in Polk County, Tex., that will process production from onshore wells in East Texas jointly owned by Pantheon and partner-operator Vision Resources LLC, also of Houston.
With the pad, tap-in points, permits, and pipeline procurement already completed, installation of Vision Operating Co. LLC’s dedicated Polk County plant is scheduled to begin in early August, Pantheon said.
Once fully commissioned, the gas plant initially will process output from the partnership’s VOBM No. 1 and VOBM No. 3 wells in Polk County, both of which are targeted for first production by mid-September.
The plant also will process feed from the VOBM No. 2H well, also in Polk County, pending future testing and start of production from that well in the future, according to Pantheon.
While the partnership previously attempted to drill VOBM No. 2H horizontally, Eagle Ford sandstone at the location was too hard and abrasive for the procedure, leading to a series of equipment failures as well as cost and schedule overruns that forced suspension of the well in September 2016, Pantheon said in a Mar. 31 investor report.
Alongside announcing the gas plant, Pantheon also confirmed it has booked a rig, crew, and related equipment to hydraulically fracture VOBM No. 2H to remediate skin damage believed to have occurred during the previous horizontal drilling campaign.
Pending the absence of third-party delays, hydraulic fracturing at the well is scheduled to begin in August, the company said.
Earlier testing on a 12/64-in. choke showed VOBM No. 1’s flow rate at about 1,500 boe/d, while testing for VOBM No. 3 on a 10/64-in. choke indicated rates from 244-740 boe/d, according to a May 27 presentation from Pantheon.
Pantheon has a working interest of 50-58% in several projects in East Texas’s Tyler and Polk counties.
Contact Robert Brelsford at [email protected].
