MDU Resources Group (MDU) has 65,000 net acres under lease that are prospective for the Niobrara Shale. The acreage is located in Goshen and Laramie Counties in Wyoming, and the company estimates that it has 100 future drilling locations based on utilizing 640 acre spacing.
MDU Resources Group said that the acreage is leased with five year terms and five year renewal options. The company plans to spend $13 million in capital in 2011 to develop this acreage, including two wells to test the Niobrara Shale during the second half of 2011. If the well results are positive, MDU Resources Group will drill twelve horizontal Niobrara Shale wells in 2012.