Saturday, February 2, 2013

Mercer County Update

Continental Resources apparently has decided against another well in Mercer County, at least for now. Continental applied to the North Dakota Industrial Commission (NDIC) last month to create and establish an overlapping 640-acre spacing unit comprised of Section 31, T.146N., R.89W. in Mercer authorizing the drilling of one horizontal well. The matter was continued and put on the February docket, but a notice to dismiss was received on 1/15/2013.

In the fall of 2009, Continental completed the Traxel 1-31H well (#17877) located north of Golden Valley (SESW 31-146N-89W). It was the first well to be completed in Mercer County and raised speculation that drilling interest may be moving outside the state's highly active Bakken formation areas in McKenzie, Mountrail and Williams counties. The Mercer well reportedly was drilled into the Lower Lodgepole Formation, which lies above the Bakken. More

In its first month (10/2009), the Traxel well produced 202 barrels of oil, according to NDIC data. The total peaked at 1,376 barrels in 12/2009 and fluctuated between zero barrels and 600 barrels in the following months. For September 2012, there was no production reported from the well. In Ocotber 2012,  275 barrels were reported, but in November the total dropped again to zero. 

Aside from Continental, the only company that has shown interest in Mercer County is XTO Energy, which was issued a permit in October 2008 (#17716 see below) but was allowed to expire. Since the Continental well completion, there has been no activity in the county. 

#17877  -  CONTINENTAL RESOURCES, INC., TRAXEL 1-31H, SESW 31-146N-89W, MERCER CO., 300' FSL and 1450' FWL, WC, WILDCAT, 'Tight Hole', 2271' Ground, API #33-057-00036, (Approved: 12/10/2008)

#17716 – XTO Energy Inc., Wolfer 31X-29, NW NE Sec. 29-145N-90W, Mercer County (Permit expired)

Source: North Dakota Industrial Commission 

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