Post by
MyHoneyPot on Dec 31, 2023 9:16am
Technology is making a difference, you need the right dirt!
I was recently talking to the CEO of POU and he told me longer wells mean predictable improved in Well Type Curves and production.
Shale firms have also tried to eke out extra output by concentrating the smaller number of rigs on only the most promising well sites and boring much longer laterals.
Looking at plays like NVA pipestone, it is only 32,000 acres and then compare it value to a play like Kelt Wembley/Pipestone,118,000 acres.
Kelt has a lot more opportunity to drill longer, more efficient, more economical and better producing wells that exploit more of the resource in place.
Oak is another play area where they have the same opportunity with amost 200,000 acres, and 300 sections of land.
It seem that companies with long wells and a large amount of reserves associated with each well good production practices become more important.
I have heard of choking the gas and producing more liquids up front.
The issue is really how long are these horizontial wells that they are drilling, 2000-2400 meters was pretty well standard. Now with 4800 meter wells more efficiency and better wells with longer economic viability.
Kelt has plays that have the scale and quality reserves majors are looking for.
Very cheap, and all their capital is going into increaseing production and growning resource and NAV value per share.
IMHO