olddog573

I heard Chesapeake will not be leasing any more land in Sabine. Will be pulling out this week due to land prices. :wah: Hope it's only a rumor!

Seems like they wouldn't want to lease if they didn't think, think being the key word, there was gas there. Just my two cents.

here is article with sabine parish and rusk county flows:

TOiland
Investor
Haynesville Play 80% Leased; Bossier Expands Potential: Petrohawk's Wilson
Article By Steve Toon
Published Jun 11, 2008
Haynesville-shale player Petrohawk Energy Corp. is "well beyond" its last announced position of 150,000 acres in the play and the leasing is 80% complete, according to president and chief executive Floyd Wilson, but the emerging Bossier formation potential could expand the play even further, he predicts.
Wilson spoke at Oil and Gas Investor's Energy Capital Investment Symposium in Houston on Wednesday.
"We'll buy all the land that we can beg, borrow or steal," he said. "We'll go back to the market if we have to because you don't get an opportunity like this very often. We're right in the middle of it and we already have a lot of land."
Already the company is in a position to drill for decades, he said, and not "ratty" locations where success is hit or miss. "These are places where we can drill thousands of wells with no dry holes." Petrohawk has three rigs running at present and plans to have 10 by year-end.
The company is estimating reserves of 5 billion cubic feet per well at a well cost of $5 million with 150 billion cubic feet recoverable per section. With production tests on eight wells, Wilson said the recoverables "calculate better per section than the Barnett does."
Since April lease costs have escalated to $10,000 to $15,000 per acre for a typical three-year, 75% net-revenue-interest lease and into the $2O,ooos for deeper rights extending beyond the three-year time frame.
"If the play goes gold, it's going to be $40,000 to $50,000 per acre in three years."
And do the economics of the play justify such lease costs? "For sure," he said without pause. "We haven't seen anything yet to dampen our enthusiasm for the play. Hence our spending activities over the last month or two increasing to hundreds of millions of dollars per week."
Growing data on the Bossier formation, however, which lies just above the Haynesville shale, is adding a newfacet to the play, he said, possibly expanding the size of the play south in Louisiana and further west into East Texas beyond the boundaries of the Haynesville. The Bossier comes into play where the Haynesville gets thin and could be just as good as the Haynesville.
Although some reports have interchanged the terms for the Haynesville and Bossier trends as synonymous, Wilson makes a distinction that they are overlapping but separate trends.
"The Bossier is just picking up speed and may double the size of the overall area," Wilson said. "The Bossier seems to be very real, all the way over to Rusk County" in East Texas. "It's going to go quite a ways over there."
He said Petrohawk will continue leasing as far west of the northern Louisiana epicenter of the play as research indicates. "Our focus has been the Haynesville and it still is, but we have certainly shifted gears over the past two months to try to pick up leaseholds in the Bossier play as well."
He reports of a BP Pic test well in RusK County flowing at 26 million cubic feet per day. Shell tested a vertical well on the southern edge of Sabine Parish, he said, at 3 million per day from the Bossier and another 3 million from the Haynesville that commingled for a total of 4- to 6 million cubic feet per day.
"From a vertical well bore that is almost unheard of from a shale well," he said.Shell Oil and EnCana hold half a million acres in the southern region of the Haynesville and Bossier plays, he indicated. "When Shell and EnCana got into the play it was a Bossier shale play for them, and the Haynesville came with it. Chesapeake (Energy Inc.) started out looking for Bossier and found the Haynesville potential was huge."
East Texas lease holders targeting the James lime and Travis Peak trends are "looking pretty prospective now for Bossier," he adds.
Wilson said the play is breaking so fast that it will cause bottlenecks in rigs and takeaway capacity in a year or so. He expects 100 rigs running by mid 2009, up from five at the beginning of 2008, and horizontal rigs with top drives will become scarce.
"You're going to have a huge traffic jam of people hauling rigs up into this area over the next couple of years."
Getting the anticipated gas out of the area and into an interstate pipeline is going to be an issue as well. If you've got a lot of wells coming in at 5- to 15 million cubic feet a day, you could get this field up to a Bcf (billion cubic feet) a day rather quickly. If it gets to a Bcf, there's not that much capacity there."
Another pipeline will need to be built to handle the capacity, he said, as the existing infrastructure is

coastal land services is another representing encana and shell.

LINK

no rumor. published yesterday.

they missed it by 15. guess they need to be paying attention to tigerdroppings.

Northern sabine.

tiger in okieland, what you hearing about T11N R10&11W area of desoto parish? Grey area or money area?

Anyone hearing any price ranges for leases in the Southern DeSoto and Northern Sabine Parish areas in the past week? I've been out of pocket for the past several days, and in this crazy market, I know I probably missed another "big move" in prices.


4500-7000

OK, why is there so much press information out there about the Haynesville with so little well production information excluding the Penn Virginia Fogle 5-H well in Harrison County? I know of two wells in Sabine Parish that were and are being drilled to the Haynesville. They are Olympia Minerals and Murry in Pleasant Hill. I know of another in Red River Parish that was supposed to be a good well.

Although they're not going to the Haynesville, there are now other well sites being made in North Sabine for exploration.

I understand that some companies would want to pump their investors for more money by leaking or publishing some information as Petrohawk did by letting the cat out of the bag and Penn VA releasing their information. However, with all the other activity going on, seems like there would be more production information out there than just one well in Texas.