Eni SPA and Quicksilver Resources Inc. have unveiled the results of the first horizontal well drilled under a West Texas joint exploration agreement.
The Stallings No. 1H well in Pecos County began flow-back on Aug. 15 at a rate of 750 b/d, 90% oil, on a restricted choke. The well was drilled to a vertical depth of 7,400 ft and completed with a 2,900-ft lateral in the third Bone Spring interval. Quicksilver operates the well with a 50% interest, alongside Eni (50%).
The well is the first drilled under a joint venture deal signed by the companies in May 2013. The agreement calls for the joint evaluation, exploration, and development of a 52,500-acre area in Pecos County. Quicksilver is serving as operator.
The initial phase of the program calls for acquiring 3D seismic and drilling up to five exploration wells. Eni is set to cover 100% of the drilling, completion, and seismic costs-up to $52 million-in exchange for 50% interest in the acreage.Following the initial investment, all future costs will be shared equally by the two companies.
Drilling was under way at the second joint venture well in late August. The Mitchell No. 1H is being drilled 4.5 miles north of the Stallings No. 1H and targets a combined section of the Bone Springs and Wolfcamp formations.
It is expected to be completed with a 5,000-ft lateral.
