ENCANA CORPORATION Permian Basin Jeff Balmer, PhD Vice-President & General Manager, Southern Operations
PERMIAN BASIN Premier North American Basin Developing the cube Critical to creating value at industrial scale Reservoir & above-ground benefits Natural extension of our experience & capabilities Type curves increased IP30s &…
ENCANAS PERMIAN ACREAGE Core Position in Midland Basin In the Permian, execution efficiency at industrial scale is going to be critical Industry leader in driving efficiency at scale Martin Howard Cowden Pad Multi-Spread…
ENCANA IS THE 2nd LARGEST PRODUCER Core Midland Basin Producers at a Glance Encana Gross Production vs Peers Midland Basin 80,000 154 Texas Gross Operated Production (BOE/d) 60,000 Midland 40,000 20,000 Encana…
CUBE DEVELOPMENT ABOVE-GROUND BENEFITS Development at Industrial Scale Highly efficient, agile development Multi-well Pads Multi-well pads Higher utilization of services & infrastructure Water Multi-rig, Manage- Multi- Multiple…
CUBE DEVELOPMENT ABOVE-GROUND BENEFITS Practical Infrastructure Solutions Re-occupied infrastructure Multiple wells sharing infrastructure yields RAB Davidson Re-occupied Facilities scale efficiency Continued high utilization of…
CUBE DEVELOPMENT ABOVE-GROUND BENEFITS Effective Water Management Improves capital efficiency and de-risks supply 3 frac spreads per hub Simple and effective catch basin design Martin County Central Water Resource Hub Water hubs pay…
INNOVATION SUCCESS Identifying Optimal Completion Design and Geometry Applying advanced completions to high- density, stacked development Key principles: Tight cluster spacing and optimal hydraulics maximize fracture surface area…
CUBE DEVELOPMENT RESULTS Boosting Permian Productivity Large Scale Development Performance Comparison Accelerated learning 140 ECA leading performance in Average Cumulative Production/well (MBOE)* large scale development Each…
WELL PRODUCTIVITY Encana Wells Outpacing Peer Results 75 Producers with high density stack development Oil Production IP180/1,000ft (bbls/d) 50 25 0 Peer 1 Peer 2 ECA Peer 3 Peer 4 Peer 5 Peer 6 Peer 7 Peer 8 Peer…
Drilling Days vs Depth PERMIAN CAPITAL EFFICIENCY Days 0 5 10 15 20 25 30 Leading Operator 0 2014 Average 2015 Average Measured Depth (ft) 5,000 2016 Average 2017 Average YTD D&C well costs held flat countering inflation…
WOLFCAMP Midland/Upton County 100 Midland/Upton WCA/WCB Type Curve IP180 = 800 BOE/d EUR = 1,100 MBOE D&C = 5.6 MM (incl. advanced completions scope) Cumulative Production (MBOE) Lateral Length = 7,500 75 50 WCA WCB…
LOWER SPRABERRY Martin, Midland/Upton, Glasscock 180 Martin Lower Spraberry Type Curve 160 IP180 = 650 BOE/d Cummulative Production (MBOE) EUR = 1,020 MBOE 140 D&C = 5.4 MM (incl. advanced completions scope) Lateral Length =…
EXPANDING MARGINS Reducing Operating Costs Improving efficiencies Permian Direct Operating Cost Reductions /BOE Company-wide effort 12 Accountability at the operator level Working smarter 10 80% of produced water on pipe 70% of…
MIDSTREAM AND MARKETING OVERVIEW Permian Gathering system links production to Colorado pipeline hubs City Majority of oil production gathered via pipeline with access to multiple physical Pipelines Midland connect to markets…
PERMIAN 5 Year Growth Profile Five Year Production Profile 240 50% of Encanas capital directed to the Permian in 2018 200 Permian production expected to grow 3x 5 year CAGR 25% 160 Quality inventory with scale MBOE/d No…
Loading...
