Commingled Production from Deep Basin Plays Wild River region, western Alberta Bob Dixon and Dave Flint Forward Energy gy Group p Inc. September 2009
Forward Energy Group Inc. Capabilities Play Selection is the Key Decision Play focus Play Investment Plan Supply characterization Prospect Exploration Competitor benchmarking Resource assessment Seismic Program Value…
Commingled production increasing EUR C Connected t dbby D Deep B Basin i Pl Play Deep Basin tight gas 2,500 plays are the largest Cardium Dunvegan current source of Cadotte Viking Gas Viking Oil unconventional gas in Bow…
Agenda Deep Basin tight gas Commingling regulation Wild River study area Deep Basin plays Trends by play Commingled production: Multiplay Plays targeted and completed Success rate Development p density y Operator…
Commingling Regulation Single pool and segregated pool production permitted Commingling production in wellbore from two or more pools l required i d llengthy th application li ti and d regulatory l t approvall June 2003: EUB…
Fort St John 80 All Deep Basin Plays Development Wild River Wild River region g Entity 2 2 9 Tcf 2.9 13.0 Tcf EUR selected to examine 6M Grande 5M Connected 2000 - 2008 70 Prairie Multiplay characteristics 70…
Plays in Wild River 100/06-21-056-23W5/00 100/07-21-056-23W5/00 100/14-21-056-23W5/00 A…
Deep Basin wells by penetration R26 R25 R24 R23 R22 R21W5 Wild River Region Wells Drilled T59 T59 2423 wells p penetrating g at least 1 Deep Basin Play to T58 T58 year end 2008. 386 wells targeted only to T57 T57 Cardium…
Wild River EUR Connected EUR Connected by Deep Basin Play Play, 95% of EUR connected Wild River Region 600 2000-08 Cardium Notification DE 2 Dunvegan Cadotte Viking Gas 500 Spirit River Bluesky Total EUR connected Gething…
Wild River EUR Connected, 2000-2008 EUR by Deep Basin play in wells connected 2000-2008 Total EUR connected Wild River Region was 2,900 Bcf Cardium 425 Dunvegan 15 Multiplay wells Cadotte Viking 52 accounted for 1459 Bcf -…
Wild River Gas Production Trends Production g growth S l Gas Sales G Production P d ti by b Deep D Basin B i Play, Pl continued to April 2008, Wild River Region 800 Cardium peaking at over 700 700 Dunvegan MMcfd (22% of…
Wild River Production Profiles by Play S l Gas Sales G Production P d ti by b Deep D Basin B i Play, Pl Multiplay M lti l production d ti h has 400 Wild River Region grown dramatically to 350 Multiplay Nikanassin MMcfd…
Gas Well Connections Wells Connected by Deep Basin Play, Play Total annual 250 Wild River Region connections in Wild Multiplay Nikanassin River grew rapidly to Cadomin Gething 351 in 2006, before 200 Bluesky Spirit River…
EUR per Well by Year Onstream EUR per Well, Wild River vs Deep Basin EUR per Well, Selected Wild River Plays 3.0 4.0 2.5 Multiplay R per Well, Bcf Cadomin 2.0 3.5 Cardium EUR All wells cutoff 1.5 3.0 1.0 er…
All Deep Basin Plays: EUR per Section EUR p per Section for all Deep Basin plays from T59 wells connected 2000 to 2008 cutoff applied T58 Up to 25 Bcf per section connected over 9 years T57 One township with no Deep Basin EUR…
Multiplay: EUR per Section Commingled g p production from multiple Deep Basin T59 plays Spatial trends reflect the T58 geological trends of component plays, completion and T57 commingling practices, infill drilling density,…
Deepest Interval in Multiplay Wells Deepest Interval Penetrated by Deep Basin Multiplay Wells Wells W ll completed l t d as Onstream 2000 to 2008 - Wild River Region Multiplay (commingled Cardium multiple Deep Basin plays) are…
of Plays Perforated in Multiplay Wells Count of Deep Basin Plays Perforated in Multiplay Wells Onstream 2000 to 2008 - Wild River Region 3 Plays or more: 75% of the Multiplay 1 wells that penetrate to 2 the Cadomin or deeper…
EUR per Well, by Count of Plays Perfed Average EUR/Well EUR/Well, by No No. of Plays Perfed Multiplay Wells, Wild River Region, Onstream 2000-2008 Withi Within ffocus area, 3.0 Average, Multiplay wells (0.25 Bcf cutoff) = 1.78…
Plays Perforated in Multiplay Wells Frequency of Perforated Intervals by Deep Basin Play Cadomin completions Multiplay Producing Wells - Wild River Region anchor the Multiplay Cardium 17% wells (90%) Dunvegan 43% Cadotte Viking…
Drilling Activity to Cadomin Wild River Well Status by Year Rig Released Countt off wells C ll ddrilled ill d tto Cadomin penetrations in the Wild River Region Cadomin or deeper by 350 Not Producers, status year rig-released Not…
% of Cadomin penetration wells producing W ll Status Well St t byb Year Y Rig Ri Released R l d Column shows % of Cadomin penetrations in the Wild River Region wells drilled to Cadomin 100% or deeper that are 90% producing by…
Sections Drilled to Cadomin Wild River Sections Drilled T59 Wells penetrating Cadomin or deeper and drilled by year end 2008: 1807 T58 901 sections with one or more Cadomin T57 penetrations. Average 2 wells/section T56…
Sections Drilled to Cadomin by Year S ti Sections Status St t byb Year Y First Fi t Drilled D ill d Countt off sections C ti drilled d ill d Cadomin penetrations in the Wild River Region 175 to Cadomin or deeper by…
% of Cadomin-penetration sections producing S ti Sections Status St t byb Year Y First Fi t Drilled D ill d % off sections ti d drilled ill d tto Cadomin penetrations in the Wild River Region 100% Cadomin or deeper by year…
Development Density Wild River Development Density T59 701 sections with Deep Basin gas producers, Cadomin p penetration with EUR cutoff (78%) T58 50% of the sections developed with 2 or more D Deep B Basin i gas producers…
Initial Producer and Infill Drilling Initial Deep Basin Producing Wells and Infill Wells Drilling D illi ffor th the fi firstt D Deep Wild River Region Basin well in a section 300 90% 6th producer in section 5th producer in…
Wild River Operators EUR Connected by Top 9 Current Operators, Operators Analysis based on All Plays, Wild River Region, 2000-2008 current operator 800 700 Includes wells with 600 minimum onstream 500 years 2000-2008 d, Bcf…
Wild River Portfolios by Play EUR Cardium Most operators Connected, Dunvegan have Multiplay as by Top 9 Cadotte Viking largest focus Spirit River Current Bluesky Operators Operators, Gething Wild River 500 Cadomin Notable…
EUR per Well by Operator EUR per Well Connected by Top 9 Current Wild River Multiplay Operators, Multiplay, Wild River Region, EUR averaged 1.78 minimum YOS 2000-2008 3.0 300 Bcf/well (2000-08) 2.5 250 Operators A and B, n…
Wild River Summary Multiplay wells are the largest source of EUR in Wild River Multiplay wells are drilled to evaluate all eight Deep Basin intervals p y wells are commonly Multiplay y completed p in three or more p plays y…
Implications of Multiplay Strategy For Development in other areas The Multiplay strategy developed in the Wild River region will be applied more frequently over the greater Deep Basin area Establishment and expansion of DE 2 and…
Commingled Production from Deep Basin Plays Wild River region, western Alberta dave.flintforwardenergy.ca (403) 261-1018 bob.dixonforwardenergy.ca (403) 261-1019 Main: (403) 214-0066 September 2009