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Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources

Unconventional Gas Resources · May 8, 2013 · 30 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 1
    Extending the Montney Fairway North Montney Resource Play GeoConvention 2013 Calgary, Alberta By Olwen Wirth, Peter Bastian and Simin Sadeghi May 8, 2013 1
  2. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 2
    Key Messages Activity has been accelerating since 2008 and encompasses an area that continues to expand Three completion intervals, all demonstrating commercial rates Production and gas analysis data show increasing liquid yields…
  3. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 3
    Montney Play Types BC AB Conventional Unconventional Fractured/Faulted Conventional and Unconventional infilling North Montney FORT ST. JOHN HUDSON'S HOPE Ap p ro x DAWSON CREEK im at Unconventional e…
  4. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 4
    Montney Play Evolution BC AB First Year on Production 1961-2000 2001-2005 2006-2008 2009-2011 North Montney 2012-2013 FORT ST. JOHN HUDSON'S HOPE Unconventional App oxr DAWSON CREEK Fairway area im at e…
  5. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 5
    Net Porous Montney BC AB BC AB North Montney 94G 94H NE BC activity has been focused in the areas with thick porous rock: 94A Regional North Montney Heritage and North Montney A pp rox FORT ST. JOHN The next series…
  6. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 6
    North Montney Type Log A-10-J/94-B-9 Four mappable stratigraphic -150 SP GR 50 0.25 NPLS_CALC DPLS_CALC -0.05 ILD zones: dominant lithology is 25 150 0.25 -0.05 1 1000 siltstone Upper Three completion zones, all Montney…
  7. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 7
    Activity in North Montney 155 wells have production or have been tested in this area Total current production is 200 MMcf/d 67 wells currently drilling or recently rig released App roxi (blue) m at e E dge 116 newly licenced…
  8. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 8
    North Montney Is Over-Pressured Upper Montney Pressure Gradient Lower Montney Pressure Gradient App App roxim roxim ate ate Ed g Ed g e o e o f th f th e D e D efor efor med med…
  9. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 9
    Liquid Yields Are Higher To The NE Liquids Rich Gas Increasing liquid Cond Jedney 50+ bbls/MMcf yields generally NGLs to the NE related to thermal maturity Beg OGC report OGC Pentane Plus Line 10 bbls/MMcf 35+ bbls/MMcf…
  10. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 10
    Gas in Place Montney Free Gas Montney Sorbed Gas 180-280 Bcf per square mile 40-80 Bcf per square mile App App roxim roxim ate ate Ed g Ed g e o e o f f the the De f De f o rm o rm…
  11. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 11
    North Montney = World-Class Resource Total gas in place is between 230 and 360 Bcf/square mile 20 on UGR land 0 We have delineated 250 600 TCF of resource on map area (2,300 sq mi) UGR lands: 43 Tcf gross, App…
  12. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 12
    Production Continues to Grow Feb 2013: 1.7 Bcf/d from over 1,200 wells 98.5% from horizontal wells 12
  13. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 13
    North Montney A Big Contributor North Montney now 19% of total unconventional Montney 13
  14. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 14
    Well Performance at North Montney Three completion zones are being developed concurrently (Upper, Middle, Lower) Includes some of the best wells in the entire Montney unconventional play Typical well completion design now 1,500+ m…
  15. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 15
    North Montney Performance is Impressive 15
  16. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 16
    North Montney HZ Well Performance 100,000 Average of All Montney Horizontal Wells Average-Well Gas Rate, Mcf/day per Well Average of All UGR Montney Horizontal Wells 18 wells in UGR average 1,217 wells in All Montney average…
  17. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 17
    Montney Completion Study What is the relationship between well performance and key completion parameters Completed lateral length Stages and perf clusters Frac fluid type and volume Sand volume To answer this question, we analyzed…
  18. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 18
    Where did we look CARIBOU 94G 94H TOWN BLAIR GUNDY 94A DAIBER BLUEBERRY CYPRESS W GUNDY KOBES Approx 94B GRAHAM imat e E dg e ALTARES of the WILDER De for MONIAS me SEPTIMUS d…
  19. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 19
    What kinds of wells did we look at 19
  20. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 20
    Did completions change with time 20
  21. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 21
    Things to Consider Weve identified over 1,200 horizontal wells in the regional unconventional Montney play area of NE BC So far, we have only looked at 35% of those wells Selection bias Incomplete dataset In spite of this, we are…
  22. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 22
    Evaluation Methodology Statistical analysis of production indicators correlated to key completion parameters Regression using multivariate methods What is our proxy for well performance Highest average gas rate over a 12 month…
  23. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 23
    Results of Completion Study We are seeing definite trends in the data Weve looked at this before, but this is the first time we are seeing trends we can believe in What looks important Stages and perf clusters Relates to fracturing…
  24. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 24
    Example Single Variable Regression * - Slickwater dataset 24
  25. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 25
    Multi-Variate Regression The Right Way Model R2= 0.82 * - Slickwater dataset 25
  26. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 26
    What about the scatter So far, we are seeing trends that indicate the relative influence of completion parameters on well performance The model does have scatter. Why Single-parameter regression doesnt factor in other parameters in…
  27. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 27
    Completion Study Whats Next Analyze the completions of the entire Montney unconventional fairway 1,200+ horizontal wells Eliminates sampling bias It is a thorough and complete analysis of the data We can evaluate other parameters…
  28. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 28
    Key Messages A World-class Resource 600 Tcf of resource in place (27 Tcf net on UGR lands) Three stacked completion intervals, all of which have demonstrated commercial rates Includes some of the best wells in the entire Montney…
  29. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 29
    Acknowledgements Many thanks to UGR technical team Cassie Blieske, for mapping, graphics, and creative contributions John Jochen, for his extensive review and analysis of the pressure data in the North Montney area Simin Sadeghi,…
  30. Extending the Montney Fairway North Montney Resource Play – Unconventional Gas Resources – slide 30
    Thank you Questions 30

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