South Texas shale play gaining interest.by Eric Fox
St Mary land and exploration is currently drilling its first horizontal well in the eagleford shale and in 2009 the company plans to drill 4 more wells on its acreage.
The company also discussed an important deliniation that it discovered in the play.St Marys acreage has land north of the edwards reef trend,and said that the shale is at a shallower depth in this area,which means the wells will be less expensive to drill.
___________________________________________________ St Mary land and operational update 4th august 2009.
Eagle ford shale- St Marys plan was to drill 4 wells on its 100% owned aceage and participate in another 4 wells in joint venture acreage.
As previuosly announced st mary successfully tested the eagleford shale in the briscoe G1h well drilled on 100% working interest acreage.St Mary is currently completing the second well in this programme,the galvan ranch 1H (100%wi). This well was drilled to a measured depth of 14300ft with a 5000ft horizontal lateral and is being completed with planned 17 stage completion.
The company is currently drilling its 3rd well,the Briscoe AR1H(100%w/i).Results from the companies testing programme to date,include lower than anticipated drilling and completion costs and a production stream that includes higher value natural gas liquids and condensate,have encouraged the company to expand the programme beyond the 4 wells on 100% w/i acreage origionally envisioned for 2009.
St Mary now plans to have one operated drilling rig running continuously for the rest of 2009 on its 100% w/i acreage with expectation that 6 aditional wells will be drilled by year end.
Whilst this acreage is in northern webb county it certainly provides encouragement for the commercial viability of the eagle ford shale both on and north of the edwards reef trend.
Antares seismic data clearly shows that from the francis dilworth2 well the eagle ford shale as you progess north is found at much shallower depths.If successful this will have a significant impact on drilling and completion costs.
Just my insite into where we are currently at.
All the best.
AZZ Price at posting:
25.0¢ Sentiment: Buy Disclosure: Held
