Wolfcamp Shale - Devon Energy (DVN)

By Tim - http://oilshalegas.com

Wolfcamp Shale Update - Devon Energy (DVN)

Devon Energy (DVN) provides an update on drilling for oil in the Wolfcamp Shale located in the Midland Basin.

We only recently began drilling on the 92,000-net-acre Wolfcamp shale position that we have established in the Southern Midland Basin. We brought 4 Wolfcamp Shale horizontal wells online in the fourth quarter, with the best well delivering a 24-hour IP of 935 barrels of oil equivalent per day. The results of our wells, combined with industry results around our position, give us confidence and consistent economic results in this play. We are continuing to fine-tune our drilling and completion techniques and have just finished drilling our first 7,100-foot lateral, which included a 30-stage completion. This well is just starting to flow back. We'll keep you posted and updated on our progress.

http://blackberrystocks.blogspot.com/

http://oilshalegas.com/wolfcampshale.html

Devon Energy (DVN) - Permian Basin Update

By Tim - http://oilshalegas.com

Devon Energy (DVN) is currently drilling for oil in the Permian Basin, Midland Basin, and the Bone Spring Shale play. Devon Energy (DVN) is one of the leaders in the Bone Spring Formation.

In the Permian Basin, Devon increased oil and natural gas liquids production 22 percent compared to the fourth-quarter 2010. Liquids production accounted for nearly 75 percent of the 53,000 equivalent barrels per day produced in the Permian Basin during the quarter.

The company completed eight operated Bone Spring wells within the Permian Basin in the fourth quarter. Initial daily production from the eight wells averaged more than 600 Boe per day per well.

From the recent conference call - February 2012

Mark Gilman - The Benchmark Company, LLC, Research Division

Okay. My follow-up, Dave, relates primarily to the Bone Springs in the Permian, an area where, in the recent past, results have been pretty good. I wonder if you could update us. I didn't hear you specifically mention Bone Springs activity in your review of the quarter.

David A. Hager

Well, we've had a number of good Bone Springs wells in the quarter. I think we highlighted, actually, in the earnings release that we had a number of good Bone Springs wells on the order of around 600 barrels a day or so that we achieved out there. I think we had 8 wells average more than 600 barrels per day, 8 operated wells in the fourth quarter that achieved more than 600 barrels a day so we're seeing very good results out there. We see a good inventory of opportunities sitting out there. We estimate we probably have 350 to 400 locations remaining in the Bone Springs just on our existing inventory and will probably drill somewhere around 80 this year. So again, you can see 4- to 5-year inventory of Bone Springs opportunities.

http://blackberrystocks.blogspot.com/

http://www.oilshalegas.com/permianbasinoil.html

http://www.bonespring.com

Mississippian Oil Play - Devon Energy (DVN)

By Tim - http://oilshalegas.com

Devon Energy (DVN) provides an update on the Mississippi Oil Play located in Oklahoma.

In the Mississippian oil play located North Central Oklahoma, the partnership has now secured approximately 230,000 net acres. We drilled our first vertical well in the second quarter of last year to gather data and have since drilled our first horizontal Mississippian producer, yielding very encouraging results. The Matthews 1H was brought online in the fourth quarter and achieved a 24-hour sustained IP rate of 960 barrels of oil equivalent per day, of which greater than 80% was oil. Through the first 30 days of production, the well averaged 590 barrels of oil equivalent a day. These results are among the best reported in the play to date. And with an API gravity of around 40 and low sulfur content, this appears to be some of the best-quality crude oil in the lower 48. We are obviously very encouraged with these results and plan to drill or participate in approximately 15 Mississippian wells by year end.

http://blackberrystocks.blogspot.com/

Cardium Shale - Alberta Canada Oil Field - Devon Energy (DVN)

By Tim - http://oilshalegas.com

Devon Energy has also confirmed positive results in the Cardium Shale oil field. Located west of Alberta Canada, the Cardium Shale is a new emerging oil field.

On the exploration front in Canada, we continue to evaluate the oil and liquids-rich potential of numerous play types across our more than 4 million net acres. Our most encouraging results from our 2011 program came in at the Ferrier Area where we are targeting cardium oil. We drilled 8 wells in the area and saw 30-day IP rates as high as 940 barrels of oil equivalent per day.

This could be a sign of things to come. One thing is for sure, Forest Oil (FST), Exxon Mobil (XOM), and ConocoPhillips (COP) are drilling for oil in the Cardium as well.

http://www.oilshalegas.com/cardiumshale.html

http://blackberrystocks.blogspot.com/

Niobrara Shale - Devon Energy (DVN)

By Tim - http://oilshalegas.com

Devon Energy (DVN) is currently drilling for oil in the Niobrara Shale Formation located in Colorado and Wyoming.

In the Niobrara, industry results to date have been mixed and somewhat challenged in some areas, but we are still in the early stages of evaluating our acreage. However, we recently completed our first well in the Turner formation on our Niobrara acreage with encouraging results. After being online for 22 days, the Waterbuck 2342 had averaged 427 barrels of oil equivalent per day. In addition to the Niobrara and Turner formations, we expect to drill Cordell, Mowry and Frontier wells in our Powder River and DJ Basin acreage this year. In total, we expect to have 35 wells drilled here by year end.

http://blackberrystocks.blogspot.com/

http://oilshalegas.com/niobrarashale.html

Cana-Woodford Shale - Devon Energy (DVN)

By Tim - http://oilshalegas.com

Devon Energy (DVN) provides a drilling update for the Cana-Woodford Shale located on Oklahoma.

Moving now to the Cana-Woodford Shale in Western Oklahoma. Our Cana gas plant was back fully operational in December, following repairs of the damage incurred last May from a tornado. This helped us achieve our target exit rate for the Cana of 275 million cubic feet equivalent per day. Fourth quarter net production increased 83% over the year-ago quarter to a record 250 million cubic feet of gas equivalent per day, including 3,100 barrels of oil and 7,400 barrels of natural gas liquids per day. This significant liquids contribution, combined with our low acreage and royalty costs, enable us to generate strong full-cycle returns in the current commodity price environment.

In 2012, we plan to invest some $870 million of capital and drill nearly 200 wells in Cana. Our Cana activity will be focused in the oil and natural gas liquids-rich portion of the core area. Liquids should represent almost 40% of the production stream generated by the 2012 capital program. Cana oil and liquids production is expected to grow over 85% to an average of 16,000 barrels per day in 2012.

From a reserves performance perspective, Cana was a leading growth area for the company in 2011. Extensions, discoveries and performance revisions at Cana accounted for 160 million barrels of oil equivalent of additions. At year end, we had 328 million equivalent barrels booked in the Cana-Woodford. With almost 2 billion barrels equivalent of risked resource potential and more than 5,000 risked locations remaining, we expect Cana to deliver many more years of highly economic production and reserves growth.

http://blackberrystocks.blogspot.com/

http://oilshalegas.com/woodfordshale.html

Bone Spring Shale - Devon Energy (DVN)

By Tim - http://oilshalegas.com

Devon Energy (DVN) is currently drilling for oil in the Permian Basin, Midland Basin, and the Bone Spring Shale play. Devon Energy (DVN) is one of the leaders in the Bone Spring Formation.

In the Permian Basin, Devon increased oil and natural gas liquids production 22 percent compared to the fourth-quarter 2010. Liquids production accounted for nearly 75 percent of the 53,000 equivalent barrels per day produced in the Permian Basin during the quarter.

The company completed eight operated Bone Spring wells within the Permian Basin in the fourth quarter. Initial daily production from the eight wells averaged more than 600 Boe per day per well.

From the recent conference call - February 2012

Mark Gilman - The Benchmark Company, LLC, Research Division

Okay. My follow-up, Dave, relates primarily to the Bone Springs in the Permian, an area where, in the recent past, results have been pretty good. I wonder if you could update us. I didn't hear you specifically mention Bone Springs activity in your review of the quarter.

David A. Hager

Well, we've had a number of good Bone Springs wells in the quarter. I think we highlighted, actually, in the earnings release that we had a number of good Bone Springs wells on the order of around 600 barrels a day or so that we achieved out there. I think we had 8 wells average more than 600 barrels per day, 8 operated wells in the fourth quarter that achieved more than 600 barrels a day so we're seeing very good results out there. We see a good inventory of opportunities sitting out there. We estimate we probably have 350 to 400 locations remaining in the Bone Springs just on our existing inventory and will probably drill somewhere around 80 this year. So again, you can see 4- to 5-year inventory of Bone Springs opportunities.

http://blackberrystocks.blogspot.com/

http://www.oilshalegas.com/permianbasinoil.html

http://www.bonespring.com

Cardium Shale - Devon Energy (DVN) Hits Oil in Canada

By Tim - http://oilshalegas.com

November 6, 2011 - Devon Energy (DVN) has released an update on drilling in the Cardium Shale located in Canada. The Cardium Shale is an emerging oil shale play which we will start to hear more about in the coming years, especially if oil prices hit record highs.

Cardium Shale wells produce 770 BOE per day

"Also in Canada, Devon completed 19 exploration wells targeting oil and liquids-rich opportunities across its more than 4 million net acres in the Western Canadian Sedimentary Basin. The company tied in 10 of these wells to production in the third quarter. This activity was highlighted by results in the Ferrier area where the company commenced production on three Cardium wells with initial production averaging 770 Boe per day per well."

Shale News

OilShaleGas.com

Wise County, Texas: Barnett Shale Update

By Andrea: http://oilshalegas.com

The following companies began drilling new wells in Wise County, Texas in the Barnett shale this week:

-Devon Energy Production (DVN): 2 horizontal wells

-E.C. Stryker, Decatur: 1 vertical well

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com

Johnson County, Texas: Barnett Shale Update

By Andrea: http://oilshalegas.com

The following companies have begun drilling horizontal wells in Johnson County, TX in the the Barnett Shale this week:

-Chesapeake Operating (CHK): 3 horizontal wells
-Devon Energy Production (DVN)
-EOG Resources (EOG)
-XTO Energy (COH)

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com

Denton County, TX: Barnett Shale Update

By Andrea: http://oilshalegas.com

The following companies have begun drilling horizontal wells in Denton County, Texas in the Barnett Shale this week:

-Devon Energy Production (DVN): horizontal off Swafford Road, north of Farm Roads 156/407.
-Williams Production Gulf Coast L.P., Fort Worth: horizontal off Red Rock Lane, south of I-35W/Texas 114.

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com

Devon Energy Corp. (DVN): Avalon Shale Update

By Andrea: http://oilshalegas.com

Devon Energy Corp (DVN) has been building a position in the Avalon Shale play recently. To date, they have assembled 235,000 perspective net acres in this conensate and liquids-rich gas play. Although they are still in the early evaluation of the play, initial drilling results indicate an attractive, repeatable play with outstanding economics. The best wells Devon Energy has drilled to date, have IP-ed at over 500 barrels of condensate per day, 500 barrels of NGLs per day and 3 million to 5 million cubic feet per day of gas. Well costs in the play run between $3.3 million and $4 million. Devon expects Avalon wells to have average IPs of 300 barrels of condensate per day, 300 barrels of NGLs per day and 2 million cubic feet of gas per day in the heart of the play. They expect per-well recoveries to average over 600,000 barrels of oil equivalent. They believe Avalon shale has great return potential and they plan to participate in 32 Avalon wells by the end of 2010, 20 of which they will operate.

As of June 30, 2010 Devon assembled more than 700,000 net acres of leasehold targeting the Avalon Shale, Bone Spring, Wolfberry and other conventional formations. Devon is currently running 11 rigs to de-risk and develop its Permian Basin acreage position.

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com

Devon Energy Corp. (DVN): Woodford Shale Update

By Andrea: http://oilshalegas.com

Devon Energy Corp. (DVN) released a positive update on the Woodford shale located in western Oklahoma. They are currently in the process of acquiring a significant amount of additional acreage in this play. Most of this new acreage is primarily term and located in the liquids-rich portion of the play. They are currently running nine operated rigs and will bring additional rigs into the play over the next few months to secure the term acreage.

Devon Energy continues to relay excellent results from Cana-Woodford and believes that the field offers some of the best economics among gas plays in North American shale. In the second quarter, they brought 10 operated wells online with average 24-hour IP rates of 6.8 million cubic feet equivalent per day, including 86 barrels of condensate and 350 barrels per day of NGLs.

Second quarter net production from Cana-Woodford averaged a record 105 million cubic feet of equivalent per day, included in 1,000 barrels per day of condensate and 3,000 barrels of NGLs. This was up 43% on a sequential-quarter basis.

They initiated an in-field [ph] pilot program at Cana-Woodford to help them better understand optimal well spacing. This was a joint project with another operator that consisted of nine total horizontal wells being drilled and completed within one square mile. Five of these wells were spaced at 500 feet apart and the other four wells at 660 feet apart. Excluding the first well in the section that had been producing for some time, the average 30-day IP from the eight new wells was 5.4 million cubic feet equivalent per day, including 46 barrels of condensate per day and 245 barrels of NGLs per day.

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com

Avalon Shale Update: Devon Energy Corp. (DVN)

By Andrea: http://oilshalegas.com

Devon Energy Corp. (DVN) announced that they are starting to build a position in the Avalon shale in their 2010 2Q earnings call. They have assembled 235,000 perspective net acres in the condensate- and liquids-rich gas play. While they are still in the early evaluation of the Avalon shale play, their initial drilling results prove to show an attractive, repeatable play with outstanding economics. They best wells Devon has drilled to date in the Avalon shale have IPd at over 500 barrels of condensate per day, 500 barrels of NGLs per day and 3 million to 5 million cubic feet per day of gas. Well costs in the Avalon shale run between $3.3 million and $4 million. Devon expects Avalon wells to have average IPs of 300 barrels condensate per day, 300 barrels of NGLs per day and 2 million cubic feet of gas per day in the heat of the Avalon shale play. They expect per-well recoveries to average over 600,000 barrels of oil equivalent. Devon plays to participate in 32 Avalon wells in 2010, 20 of which they will operate.

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com

Devon Energy Corp. (DVN): Permian Basin Update

By Andrea: http://oilshalegas.com

Devon Energy Corp. (DVN) announce in their 2010 2Q earnings call that they have been actively acquiring acreage in the Permian Basin. In their Wolfberry light oil play in West Texas, they added 58,000 net acres since the beginning of 2010 and they now have 200,000 prospective net acres in play. They have four operated rigs running and they drilled 26 wells during the 2nd quarter. The 2nd quarter activity included their best well to date, known as the Helen Crump B. They well provides over 500 barrels of oil equivalent per day.

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com

Devon Energy Corp. (DVN): Granite Wash Update

By Andrea: http://oilshalegas.com

Devon Energy Corp. (DVN) is stepping up their position in the Granite Wash and plans to drill 16 Granite Wash wells by the end of 2010. President and CEO John Richels reports:

"Although we have not talked much about our Granite Wash position in the past, we delivered some very encouraging results there during the second quarter. We brought two Devon-operated Granite Wash wells online with an average 24-hour IP of 29 million cubic feet equivalent per day, including 585 barrels of oil or condensate and 1,330 barrels of NGLs. With the recent success in both the Cherokee and Granite Wash A sands, we are stepping up our activity in the area. We currently have two rigs running in the play and plan to add a third rig that we will move from the Barnett later this month. We have an inventory of about 150 Cherokee and Granite Wash A locations and 200 additional undrilled locations and other Granite Wash formations. Since we hold our position in the Granite Wash with existing production, we are under no pressure to drill. However, given the attractive rate of returns generated by these wells in this environment, we are reallocating capital to this play. We now plan to drill 16 Granite Wash wells this year."

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com

San Augustine County, TX: Bossier Shale Update

By Andrea: http://oilshalegas.com

Devon Energy Corp. (DVN) announced that they brought their first Bossier shale well online in the second quarter of 2010 with a 24-hour IP of about 8 million cubic feet per day.

Devon Energy engages in the exploration, development and production of natural gas and oil. They operate mainly in the mid-continent area of central and south United States. They also operate oil and gas properties in the provinces of Alberta, British Columbia and Saskatchewan, Canada.

For more shale updates, visit: http://blackberrystocks.blogspot.com

For more stock updates, visit: http://daytradingstockblog.blogspot.com