Yangarra Resources Ltd T.YGR

Well Costing. Drilling vs. Completions

[margaritaman]

Any folks out there familiar with how costs are typically allocated for the drilling portion vs the completions portion. YGR states they can bring on a 2 mile well for about $3.2M. How much of that cost is for drilling and how much is completion?

[kavern23]

It really depends but I think YGR is at 1 to 1.2m for drilling and 2m for completions on a cardium well. But a company like peyto would be reverse for alot of their wells in that peyto would spend more on drilling and less on completions for total well cost. Cardium are frack ed quite hard in alot of intervals. Deeper zone NG wells like Wilrich are not fraced like that. Westbrick energy has a

[kavern23]

What helps keep costs down for YGR in Ferrier/chambers for completion costs is start of north sask river is right there....lots of close water to frac. But for artis doing duvernay near red deer..have to lay water pipes in ditches for miles to get water on location to frac...that can add up costs quickly.