Like father like son ?There is big debate going on in the Shale basins called the parent child issue . The basic idea is that all the shale basins have been extensively drilled . The really productive zones have been identified and drilling has concentrated in these zones . They locate a pad where 6 or 8 wells can be drilled but only drill 2 wells . These wells have 20 or 30 frac stages and are extremely productive . The recoverable reserves are projected as if all the subsequent weels drilled on that pad will have the same performance . Its turning out that the original wells are drawing reserves out of where the subsequent wells were to go . This may have a tremendous effect on the value of the land , resource estimates , and pojected production .
This may be why Warren Buffet is dipping his toes in Suncor .Suncor has decades of continous , reliable reserves .