CHALK PLAY TOPS GULF COAST HORIZONTAL SCENE

Horizontal drilling in the Cretaceous Austin chalk of Texas still dominates news of U.S. Gulf Coast horizontal action.

In spite of a significant decline in horizontal drilling in Texas-the Texas Railroad Commission reported a 15 unit decline in the number of permits to drill horizontal wells during the third quarter-operators in East and South Texas continue to expand plays and develop new ones.

The Cretaceous Buda may be gaining some respect as a horizontal target in Texas.

Elsewhere on the Gulf Coast, Mississippi soon will see more action on the horizontal drilling front.

TIDE WEST BUSY

Tide West Oil Co., Holdenville, Okla., made successful completions 25 out of 27 times in drilling the Austin chalk horizontally.

Its most recent completion, 1 Ralph, is in Dimmit County, Tex., 90 miles southwest of San Antonio.

The well flowed 1,324 b/d of oil and 870 Mcfd of gas through a 1/2 in. choke with 750 psi flowing tubing pressure from a 1,760 ft horizontal lateral. Tide West said at present production rate the well will pay out in about 30 days.

The company holds a 94% interest in the well and has four more locations on the 1,700 acre Brundage prospect, in which it holds a 61% working interest. A second well is planned in 60-90 days.

About 40 miles east, Tide West's 1 Wilson Ranch in LaSalle County, 18 miles east-southeast of Dilley, flowed 1,268 b/d of oil and 780 Mcfd of gas through a 40/64 in. choke with 220 psi flowing tubing pressure from an undisclosed interval in Austin chalk. The Pearsall field well was drilled about 7,800 ft vertically and 4,300 ft horizontally.

The operator reported the well produced about 10,000 bbl of oil prior to conducting the 24 hr initial potential test.

Tide West holds a 50% working interest in the well and is drilling a second well on its 3,920 acre Wilson Ranch lease. The company said as many as eight more locations are available on the lease.

Meantime, Union Pacific Resources Co., Fort Worth, Tex., and Nuevo Energy Co., Houston, purchased 62.5% and 12.5% interest respectively in the LaSalle County, Tex., Haley prospects of Bellwether Exploration Co., Houston.

Bellwether will retain the remaining 23.75% interest in the prospects, which encompass about 11,000 net acres.

Union Pacific will operate the initial test, which is to drill to 11,000 ft and was to spud Nov. 15. Bellwether said Austin chalk and Buda will be evaluated in the hole for possible horizontal drilling on the prospects.

LONGEST DUAL LATERAL

Gemini Exploration Co., Austin, Tex., completed a horizontal Austin chalk producer in Pearsall field via two laterals with a total combined horizontal displacement of 8,183 ft.

Eastman Christensen, which provided horizontal drilling technology for the well, said it is the longest dual lateral drilled hole in the state.

Gemini's 3 Shiner Ranch, Frio County, flowed 2,808 b/d of oil, 936 Mcfd of gas, and 17 b/d of water through a 48/64 in. choke with 455 psi flowing tubing pressure from Austin chalk. The well produced a total of about 36,000 bbl of oil while drilling. The first well bore was kicked off at 7,005 measured depth (MD) and drilled to 11,206 ft MD. The second radial was drilled to 11,415 ft MD.

FIRST SHOT FIELD

Chesapeake Operating Inc., Oklahoma City, completed two more horizontal Austin chalk wells in First Shot field, Gonzales County, Tex.

Chesapeake's 1-H Bankhead, drilled to 11,090 ft, flowed 1,053 b/d of oil and 600 Mcfd of gas through a 48/64 in. choke with 150 psi flowing tubing pressure. The well produced 25,660 bbl of oil in its first 45 days.

The 4-H E.E. Smith flowed 1,244 b/d of oil and 750 Mcfd of gas through a 30/64 in. choke with 375 psi flowing tubing pressure. MD is 13,018 ft. In its first 50 days on line the well produced 19,704 bbl of oil.

Chesapeake now has eight wells producing in First Shot field and production is about 3,500 b/d. Three more wells are in progress, and another 15 wells are planned in the field next year.

GIDDINGS FIELD

Columbia Gas Development Corp., Houston, reported a recompletion in Giddings field, southwestern Burleson County.

Its 1-H Alvin Kucera flowed 1,056 b/d of 46.7 gravity oil, 960 Mcfd of gas, and 167 b/d of water through an open choke with 260 psi flowing tubing pressure from an open hole interval in Austin chalk at 7,610-8,850 ft.

It was drilled to 8,550 ft MD, 7,851 ft true vertical depth (TVD), and has a horizontal displacement of 1,053 ft. Maximum angle of deviation is 93.6.

Columbia originally drilled the well vertically and completed it in December 1981, gauging 212 b/d of 45 gravity oil and 140 Mcfd of gas from Austin chalk at 7,346-7,938 ft. Total production since its first completion is 124,000 bbl of oil and 299 MMcf of gas.

PEARSALL BUDA PAY

Oryx Energy Co., Dallas, completed a horizontal lower Cretaceous Buda limestone well in Pearsall field, southeastern Zavala County, Tex.

Its 5 John B. Baggett A, 9 miles southeast of Loma Vista, pumped 78 b/d of 37 gravity oil, 358 Mcfd of gas, and 105 b/d of water from open hole at 7,258-11,044 ft. Petroleum Information reported the hole, kicked off at 6,550 ft, has total horizontal displacement of 4,037 ft,

The well is Oryx's second producer in Zavala County, the first producer on the 328 acre lease, and the company's first well to produce from Buda, PI said.

At last report the operator had not permitted other horizontal Buda wells in the field.

EAST TEXAS

East Texas horizontal drilling activity continues to be brisk, with Maersk Energy Inc., Houston, completing its sixth producer in Brookeland field.

Maersk's latest Brookeland Producer is the field's eighth horizontal well, PI reported.

Its 5 ARCO in Sabine County flowed 1,260 b/d of 43.6 gravity oil, 2.6 MMcfd of gas, and 326 b/d of water through a 26/64 in. choke with 1,285 psi flowing tubing pressure. It was completed in Austin chalk open hole at 8,358-8,746 ft. MD is 12,652 ft, TVD 9,362 ft.

Maersk's fifth well in the field, 4 ARCO in northern Newton County, flowed 866 b/d of 41' gravity oil, 1.9 MMcfd of gas, and 902 b/d of water from open hole at 9,297-13,237 ft MD.

Maersk has stepped out 2 miles east of the field, staking the 1 Temple-inland wildcat in Sabine County. Plans are to drill to 11,750 ft MD.

PI said this Austin chalk play could extend from northern Jasper County, where Exxon Co. U.S.A. is waiting on a completion rig at 1 Temple Industries, about 20 miles east-northeast into Southeast Sabine County where Maersk is drilling 1 Big Sand Creek Unit U.S.A.

ARCO apparently has extended horizontal production in Brookeland field southwest into Northeast Jasper County.

In October the operator filed a request with TRC to remove as much as 15,000 bbl of oil from tanks at 1 ARCO Fee A-246, PI said. The well, permitted to 13,500 ft MD, is 5 miles southwest of horizontal Austin chalk production in Brookeland field.

COTTON VALLEY, BUDA

In East Texas' Panola County, Exxon staked 4 Nellie Owens, a Carthage field well projected to Jurassic Cotton Valley at 9,700 ft MD.

Site is about 2 miles southwest of Exxon's first Cotton Valley horizontal test, 4 W.R. Banks, which at last report was drilling below 3,100 ft.

Meantime, Fleet Petroleum Partners, Houston, has permitted the third horizontal attempt in the Robertson County, Tex., portion of Kurten Buda field.

The 1 Benbow is 11 miles southeast of Hearne and 2 1/2 miles northeast of the first successful horizontal attempt in the field. Projected MD is 7,700 ft, targeting Buda.

Union Pacific Resources Co. drilled the first successful horizontal well in the field. PI said 1 John Hancock was completed in June flowing 405 b/d of 38.5 oil, 1.868 MMcfd of gas, and 1,322 b/d of water from Buda open hole at 7,454-13,261 ft.

UPRC has set casing at 7,730 ft in a second horizontal well in the field, 2 John Hancock. At last report the operator was waiting on a completion rig, PI said.

MISSISSIPPI ACTION

Reach Exploration Inc., Dallas, signed a contract with Southeastern Oil Co., also of Dallas, calling for Reach to fund the drilling of three horizontal chalk wells before yearend, reenter a horizontal Cretaceous Wilburn sand well, recomplete a lower Cretaceous producer, and drill 15 horizontal chalk wells in 1992 in Pickens field of Yazoo and Madison counties, Miss. Reach said it will spend $38 million on the project the next 30 months.

Pickens field has produced more than 20 million bbl of oil from Wilburn sand and 1.8 million from upper Cretaceous Selma chalk. The companies peg remaining reserves at 25-30 million bbl of oil.

Southeastern said it agreed to purchase 100% of Oryx Energy Co.'s 4,600 acre leasehold in the field, and Reach also will provide the capital cost of development. Southeastern owns 9,473 acres in the area.

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