I have an oil & gas company in dallas texas that is going to launch its oil drilling project this month. They requires an investment of USD 980,000 to begin the project. PPM, Licence and all supporting document is available upon request.
Also, we are also having a natural gas project in Pennsylvania to develop the Marcellus Shale natural gas play. The following is to highlight several historical, geological, productive and financial highlights of the Marcellus Shale. Our shale lease acreage is located in Westmoreland County, PN. (near Pittsburgh). The Marcellus Shale is located in the Appalachian region of the U.S. and is the hottest current natural gas play in North America. The Marcellus is a Devonian-era shale (350-415 million years old.) The hydrocarbon source is from algae and micro-organisms that covered the sea floor. Over time, these sources developed into hydrocarbon (natural gas and crude oil). In our case, natural gas is stored as free gas within the shale. In shales, the rock grains are tight which makes it difficult for gas to pass through. In order for gas to be released the shale must be artificially stimulated or fractured (fraced)
The Marcellus Shale spans a distance of 600 miles, from southern New York thru Western Penn. then into the Eastern half of Ohio through West Virginia. The areal extent of the Marcellus Shale is about 54,000 squares miles, slightly larger than the state of Florida. In comparison to other North American shale developments, the Marcellus is a lower density rock with good porosity, which means it’s filled with more free gas. It is varies in depth but in our area of Penn, should be approximately 9,000 feet.
It is estimated the shale contains approximately 516 TCF at 10% gas in-place recoverable. That equates to 50 TCF. The gas in our area is expected to be dry (methane with little or no formational water). The wells will be drilled approximately 1,000 (80 acre spacing) feet apart or on 40 acre spacing (500 feet apart). We currently has under lease 500 acres (5-10 vertical wells) and another 2,000 acres agreed to purchase. These wells will be drilled vertically to a total depth of approximately 9,000 feet at cost of 1.5 to 2 million dollars per well, depending on completion extent and cost.
It is estimated that to produce 1.25 TCFE (billion cubic feet equivalent) will cost approximately 1.6 million dollars to develop. These costs will be dictated according to natural gas prices and drilling cost per foot along with the extent of well completion operation and could escalate but unlikely decrease. The completion fracing stimulation method is estimated as follows: 200-250,000 pounds of sand mixed with a slick water compound of a million gallons of fluid. The shale formation of these wells will be fraced in two stages.
It should be noted that Atlas Energy recently completed a nearby Marcellus Shale well in Dec of 2008. This well came in at 5mmcfpd and produced over 80 mmcfpd in its first 25 days of reported production.
Average initial rates of production in our area is 2.5 mmcfpd per well.
We can choose to hedge the price received for natural gas production, ranging at prices between 8-10 dollars per MCF. Please respond after reviewing so we can move forward with your larger investors. More info upon request.
Jason
j6face2002@yahoo.co.uk
Posted by Malaysia on 25 March 2009 08:29
Location Kentucky and Pennsylvania (Project)
Category Items for Sale
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