This week saw SEECO file 33 drilling permits for new horizontal shale gas wells. This included 28 permits for the Fayetteville Shale and 5 permits for the Moorefield Shale. The Moorefield shale is a relatively new play within the well known Fayetteville Shale gas field. It exhibits many characteristics of an ideal gas shale with sufficient thickness to allow for horizontal drilling and completion. SEECO will drill 4 of its Moorefield Shale wells in Township 9 North, Range 8 West. The proposed wells cross unit between sections 23 and 25 of 9 North, 8 West in White County, Arkansas. The permit numbers are: 47872, 47873, 47874, 47875. For more information on the wells, search these permit numbers on the Arkansas Oil and Gas Commission Document Imaging System Here is the area of the proposed Moorefield Shale wells:
It appears SEECO will also test the Moorefield Shale in Cleburne County Arkansas. See permit number 47702. The proposed Cleburne County Arkansas Moorefield Shale well is located here:
In South Arkansas, only one permit came through this week. C12 Arkansas Oil, LLC applied to drill for oil in the Smackover formation in Union County Arkansas.
Completions this week were slim. XTO completed a single Fayetteville Shale well. Smackover Drilling completed a Cotton Valley oil well in Union County Arkansas for 74 barrels a day of 38 degree API oil. Quanico recompleted a Tokio formation oil well for 2 barrels of 32 degree API oil per day.
With oil prices climbing, expect oil well permitting to increase. Natural gas remains in a slump. Expect that only SEECO will continue to drill gas in North Arkansas. The other two major players, XTO and BHP, have no permits outstanding this week.
The Arkansas weekly oil and gas drilling report is a service of Arkansas Oil and Gas Lawyer Mark Robinette. Mark Robinette practices oil and gas law throughout Arkansas. View the Arkansas Oil and Gas Commission’s weekly report here.