Enverus Blog

Insights across the energy value chain

Carrizo recently presented at the Johnson Rice and Company Energy Conference on their shale operations, including their 58,000 acre Niobrara program.  They discussed how they took a look at the gassy Niobrara a few years back but weren’t impressed enough to buy in.  It wasn’t until EOG blew it open with the Jake well that they got the ball rolling.  They have a standard for acreage to be purchased based on a formula taking into account thickness, porosity, and resistivity which, because there have been vertical penetrations all through the Niobrara, can be determined with historical well logs.

They estimate $3.4MM to drill and complete, much less than say the Eagle Ford or Haynesville.  A large amount of that will come from the use of swell packers.  Days to drill will be about 15.  One other nice stat, they got in for less than $300 per acre.  That same acreage now is worth an order of magnitude higher.

Here is a map of the Weld County Colorado permits filed since September 2010.  Of the 276, most are in Wattenberg, but a good amount have been issued in the northern area by companies such as EOG, Carrizo, Noble, Slawson and PDC.

 

Carrizo’s Niobrara Plan

Here is a slide form their Credit Suisse presentation showing their lease position.

Carrizo’s Niobrara Plan

Check back to the Niobrara blog for more news and analysis, and the DNA Niobrara Unconventional Update for all things Niobrara, all thats needed is a Drillinginfo login.

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