Anadarko Petroleum (APC) held a conference call on November 2, 2010, to discuss the company’s earnings report for the third quarter of 2010. During the call, Anadarko Petroleum made comments on its operations in the Niobrara Shale.
“In Laramie County, Wyoming, we spud our first operated horizontal well in the oil-focused portion of the Niobrara play. The completion activity is expected to commence in the next couple of weeks. We've also drilled four vertical test wells in the play. We drilled about 500,000 gross acres, and enjoy very attractive economics due to our ownership of the minerals in perpetuity by virtue of our land grant position. We also completed the acquisition of 160 square miles of 3D seismic here, and we expect to increase our activity in the play by adding additional rigs in 2011.”
“John, what the early data suggest is that you can make some pretty decent rates out of reasonable perm and porosity, matrix perm and porosity. And we have quite a few Niobrara wells in Wattenberg proper that are in the oil window or in the high condensate-rich window. And they have very little fractured permeability. And so our sense is that, yes, we can make some decent rates as long as the matrix is good.”
