New Brunswick field due link to M&NE gas line

Dec. 12, 2005
The McCully gas field, where six wells underwent a battery of nine frac jobs in October and November, is now sufficiently productive to justify a connection to the Maritimes & Northeast Pipeline system to New England, said the operator, Corridor Resources Inc., Halifax.

By OGJ editors
HOUSTON, Dec. 12 -- The McCully gas field, where six wells underwent a battery of nine frac jobs in October and November, is now sufficiently productive to justify a connection to the Maritimes & Northeast Pipeline system to New England, said the operator, Corridor Resources Inc., Halifax.

Corridor Resources plans to meet with its 50-50 partner, Potash Corp. of Saskatchewan, early in 2006 to map strategy toward applying to the New Brunswick government and Public Utilities Board for approvals to build gathering lines, a gas plant, and a 30-mile connection to M&NE.

McCully, with more than 1 tcf of gas in place in the Mississippian Hiram Brook formation near Sussex, NB, has been producing 2 MMcfd of gas to a local market through two wells since April 2003. All 12 wells have encountered gas.

A 13th well is drilling now, and more wells likely will be drilled and treated by the time production begins as early as the end of 2006, Corridor said.

Frac fluids remained to be recovered at several wells, but flow rates ranged as high as 5.7 MMcfd of gas at the O-66 well at the end of test flow periods after frac. The rates were much improved from pre-frac rates, Corridor said.

The company said it will reserve sufficient quantities of gas for present and future requirements of PCS and any other competitive markets in the Sussex and Havelock areas.

Except for the first two wells, McCully will represent New Brunswick's first modern sustained hydrocarbon production. It will be the first production since Stoney Creek oil and gas field ceased operation in 1991. Another operator is attempting to return Stoney Creek field to production (OGJ Online, Oct. 6, 2005).