Don't forget all those areas got pockets of bad terrain and karsting.But I think most of the landowners know that.If yer drillin wells ya gotta be willing to perfect,refine and sometimes change your techniques and completions so that if you hit paydirt you maximize the recovery.Just an opinion.
Ya also gotta figure that if one has Erath acreage and it ain't leased out by now that the geology and geography after a solid 3-d seismic work up concluded the potential of the area.Thats how we did it at Kerr McGee. If the 3-d were bad then all the big boys wouldn't be in Erath. Would they? Goes to show that Stan and crew are on to something real big.Just an opinion.
RBC sounds like your turf is in a real good gas window area. I know I read over the years where some doubters like 'badranch' etc had a bit of an issue by not getting their acreage leased out but by and large the real players are now in Erath and they can smell gas and dollars. Just a matter of time before the science gets perfected and a whole bunch of folks get rich. Just an opinion.
We will find out as XTO has a permit to drill the Leyendekker about 3 miles east of Infinity northern leases and west of EOG southeastern Erath leases. By the way I see where DTE just filed two new permits in eastern Erath.
You know RBC that some of the players are avoiding pockets of Erath because the geography is heavily karsted and probably not too suitable for drilling. You also got to figure that some of the landowners got a real extreme opinion of the upside of their acreage. All told you just got to see how the lay of the land works out with the ranchers and set up some good win-win deals. Thats the way we used to do it with Kerr McGee in Oklahoma. Just an opinion.
Where's the beef?
You talk a good game, but CHK spent $1.8 billion more than their operations generated in the first half of 2007. You claim they spent less than they generated but I have no evidence of that. I have the Form 10-Q as my evidence, what do you have? A tiny noodle in your hands is what you have. LOL
IFNY is outspending its cash flow, which is positive. This is typical of E&P firms. I personally think they should concentrate on getting the Rockies buyer in place and JV partner in place for Texas. The play is coming their way down there - even Lang Haul backs me up on that - and I think they need to position themselves as having an attractive parcel of land to buy or partner up on.
Hmm, let's change the subject or employ age-old aliases, why don't we, instead of just fessing up that you are a liar and you got caught.
You are just a sissy short and you know it.
elmo wrote:" The play is coming their way down there - even Lang Haul backs me up on that - and I think they need to position themselves as having an attractive parcel of land to buy or partner up on."
You are sorts like cat urine....no matter how hard you scrub, you'll never be gone. I would not back you up, one because you are a blithering idiot, and two because that's false. While other companies are making wells in other parts of Erath County, there has been no good wells made in the acreage south of Hwy 377 and north of Hwy 67. This happens to be the exact place IFNY has acreage. They have goat pasture under lease, they won't make a consistent set of good wells out here, ever, because the reservoir isn't good enough. On one well they happen to hit a set of natural fractures, but its a crap shoot whether they can find a natural fracture system like that again. So far, IFNY has rolled the dice 24 times and come up lame on 23 of them.
In addition, the one fact you forgot is that they have already shopped this to everyone who would listen. Nobody bit the first time, and now IFNY has taken the "potential" value away by drilling 5 of the absolute worst wells in the whole county. It's kinda like trying to sell a used car that's belching smoke and stalling, and telling everyone its a gem. The idiots at IFNY should have never drilled those five wells, they should kept the "potential" tag out there.
No I won't back you, and never have. I think you have a tough time tieing your shoes in the morning and playing tennis without a helmet, let alone understanding oil and gas and what makes a play or an E&P company. Remember, IFNY is not running a stock, they are running a laughing stock.
Have a good Labor Day, ELMO, and get a job.
The key for a growing E&P is the amount of reserves found for the CAPEX expended. This what all should be looking for. Right now several E&P's are not justifying their CAPEX via the drill bit. CHK seems to be at least holding its own.