Transcript Cedar Creek Anticline - Montana Petroleum Association

“Perspectives on Montana’s
Petroleum Industry”
MREA-MPA-MONTAX
“Bridges to the Future” Conference
October 15, 2009
Dave Ballard
President
Ballard Petroleum Holdings LLC
Billings, Montana
Presentation Overview
•
•
•
•
•
Industry Overview and Economic Contribution
Meet the Producers
Producing Areas and Trends
Geologic Elements of an Oil Field
Regional Geology
• Field Examples and the Technology of
Discovery and Production
• Have We Reached Peak Production?
Field Examples and the Technology of
Discovery and Production
•
•
•
•
•
Surface Geologic Mapping
Subsurface Geologic Mapping
Seismic Mapping
Shallow “Tight” Gas Frac Stimulation
Horizontal Drilling and Frac Stimulation
• Waterflood Enhanced Oil Recovery
• CO2 Flood Enhanced Oil Recovery
• Sensitive Environment Operations
Cedar Creek Anticline Oil and Gas Field
near Baker, MT
Cedar Creek Anticline Potential
–
120 miles long by as much as 6 miles wide
–
Over 4 billion barrels of oil in place
• Red River over 75%
• Stony Mountain 10%
• Interlake 10%
• Madison 5%
–
Recovery of over 460 million barrels to date;
11% of oil in place (mainly from Red River)
–
Production from up to 35 different zones
in over 2800 feet of interval
Cedar Creek Anticline, Carter County, Montana
Waterflood Projects as of March, 2008
Pennel B Gross Production
Waterflood
Response
Current Rate
2,746 BOEPD
Downspaced to 40 acres
Encore purchased from
Shell
Coral Creek Gross Production
Waterflood
Response
Encore purchased from
Shell
From: Encore Acquisition Company 8-K Report for 3/4/08
Current Rate
2,341 BOEPD
Enhanced Oil Recovery:
Carbon Dioxide Flooding
Primary Production
Mature Water Flood
Water Injection
Sand with water coating
Isolated oil droplets are
adhered by surface tension
Oil
8 to 16%
Recovery
16 to 30%
Additional
Recovery
CO2 Flood
CO2 Injection
Swelled oil droplets and
droplets spreading out by lower
surface tension
8 to 18%
Additional
Recovery
Schematic of the Carbon Dioxide Process
in the Reservoir
Injection
Alternating cycles of water and CO2 injection
Water
CO2
Water +
Oil
CO2
Production
Mixing
Zone
CO2
+ Oil
+ Water
Oil Bank
CO2 Reserves Potential in the Rockies
Property
Cedar Creek Anticline
Bell Creek
Eland / Stadium
Elk Basin Madison
Total
Net Reserves
Millions of Barrels
197
30
3
34
264
DGC Beulah
North Dakota
CEDAR CREEK
ANTICLINE
Montana
ELAND
ELK BASIN
STADIUM
BELL CREEK
South Dakota
Idaho
Existing CO2 Lines
Lost Cabin
Potential CO2 Lines
Wy o m i n g
Greencore Pipeline (2011)
LaBarge
EAC Operated Fields
Other Fields
Utah
CO2 Sources
Nebraska
Existing Proposed
Nebraska
Power Plants
Ethanol Plants
Coal to Gas or Liquids
Cedar Creek Anticline CO2
Probable/Possible Reserves
in Millions of Net Barrels
Probable
Net CO2
Reserves
Possible
Net CO2
Reserves
Probable & Possible
Net CO2
Reserves
18.9
41.9
60.8
Cabin Creek SM thru RRU8
10.1
11.1
21.1
Little Beaver RRU2 thru RRU8
6.8
17.0
23.8
Monarch RRU4
3.2
0.0
3.2
North Pine SM thru RRU6
11.2
11.0
22.2
Coral Creek RRU4
7.7
0.0
7.7
Pennel RRU4
Cedar Creek/Little Beaver RRU2 thru RRU8
Subtotal other fields
13.3
0.0
52.2
8.4
35.9
83.4
21.7
35.9
135.6
Grand Total
71.1
125.3
196.4
Project
Piloted Field
South Pine SM thru RRU8
Other Cedar Creek Anticline Fields
Note:
The upper Red River (RRU2-4 Zones) are considered probable unless they have been air flooded