Contact hails Kakwa Montney tight gas-liquids well results

Oct. 16, 2013
Contact Exploration Inc., Calgary, said completion of its fourth operated horizontal Middle Montney formation tight gas-liquids well extends the scope and magnitude of the company’s East Kakwa project in Alberta.

Contact Exploration Inc., Calgary, said completion of its fourth operated horizontal Middle Montney formation tight gas-liquids well extends the scope and magnitude of the company’s East Kakwa project in Alberta.

The horizontal 5-23-63-6w6 well averaged 3.7 MMscfd of gas and 815 b/d of condensate in the last 24 hr of a 170-hr flowback period against anticipated gathering system pressure of 2,000 kPa.

Contact said the 5-23 well continues to demonstrate a high ratio of condensate to natural gas production from the Kakwa Montney play, averaging condensate at 195 bbl/MMscf for the entire test. The well’s total depth is 70-100 m vertically deeper and wellsite 2 miles farther west than any other Contact-operated Kakwa well.

Encouraged by the initial rates, the company cautioned that they are not necessarily indicative of long-term performance or of ultimate recovery.

Contact plans to release 30-day initial production rates from other Kakwa wells, the results of which are expected to be more reflective of longer-term performance.

Facilities and pipeline work are starting to provide for tie-in of production from the 5-23 well into company-operated infrastructure, including the 16-7-63-5w6 compressor station and condensate stabilization facility. Construction of the 16-7 facility with start-up set for December.

Contact continues to improve the design of its Kakwa operated wells. The company spudded its fifth operated Kakwa well at 16-25-63-5w6 on Sept. 10, 2013, and reached a total depth of 4,680 m after 33.5 days of drilling, a 25% reduction in drilling time from other Contact-operated Kakwa wells. Production casing is being run, and completion will start in November.

Contact signed a 1-year drilling contract that secures a rig for use at Kakwa. The rig will spud the next 25% working interest Montney well at the 16-8-63-5w6 surface location toward a bottomhole spot at 16-17-63-5w6 in November.