Eagle Ford Shale

Magnum Hunter Resources Issues Update On Eagle Ford Shale Operations

Magnum Hunter Resources (MHR) issued an operational update on the Eagle Ford Shale play in Texas.  The company has approximately 51,664 gross acres prospective for this formation in Texas.

Magnum Hunter Resources reported that the Furrh #2H well produced at an initial rate of 1,270 barrels of oil equivalent (BOE) per day.  The Furrh #2H well was drilled with a lateral of 5,945 feet and completed with a twenty stage hydraulic fracturing operation.

Magnum Hunter Resources reported that the Kudu Hunter #1H well produced at an initial rate of 1,590 BOE per day.  The Kudu Hunter #1H well was drilled with a lateral of 5,751 feet and completed with a twenty stage hydraulic fracturing operation.

Magnum Hunter Resources has ten other Eagle Ford Shale wells in various stages of drilling or completion.  These wells include the Snipe Hunter #1H, Hawg Hunter #1H, Leopard Hunter #1H, JP Ranch #1H, Gonzo North #2H, Southern Hunter #2H, Shiner Ranch #1H, Oryx Hunter #2H, Hippo Hunter #1H and Leopard Hunter.        

The company plans to spend $75 million in capital in the Eagle Ford Shale in fiscal 2011.  This budget will cover 16 gross or 8.4 net wells.

Magnum Hunter Resources is currently producing 9,500 BOE per day and expects to reach production of 10,000 BOE per day by the end of 2011.

U.S. Energy Issues Update On Eagle Ford Shale Operations

U.S. Energy Corp. (USEG) issued an update on its operations in south Texas, where the company is developing the Eagle Ford Shale on its leasehold.  The company is involved with Crimson Exploration (CXPO) in this area.

U.S. Energy Corp. reported that the KM Ranch #1 well is currently undergoing completion operations and results will be released shortly.  The company owns a 30% working interest in this Eagle Ford Shale well, which is located on the Leona River lease in Zavala County.  

U.S. Energy Corp. also announced that the company has signed a second participation agreement with Crimson Exploration to purchase an interest in leasehold in the Eagle Ford Shale.  The leases covered by the agreement are located in Zavala and Dimmit Counties, Texas.

U.S. Energy Corp. will purchase a 30% working interest from Crimson Exploration in 7,186 gross acres.  The leases are all currently held by production and produce 200 gross barrels of oil equivalent per day from the Austin Chalk formation.  The company estimates that the leases contain 44 gross drilling locations, and plans to spud the first horizontal well into the Eagle Ford Shale in October 2011.

Forest Oil Reports On Eagle Ford Shale Operations For First Quarter Of 2011

Forest Oil (FST) issued an operational update on the company’s development of the Eagle Ford Shale in Texas.  The company has 118,000 gross or 109,000 net acres under lease in Gonzales, Wilson, Lee, DeWitt Counties.

Forest Oil reported the completion of four Eagle Ford Shale wells during the first quarter of 2011 with an average 24 hour initial production rate of 733 barrels of oil per day.  The company has two wells awaiting completion and has two wells being drilled on its acreage.

Forest Oil said that a non operated well in the Eagle Ford Shale produced 830 barrels of oil per day during an initial 24 hour period.  The well is now producing 410 barrels of oil per day after 133 days of production, and has produced a cumulative 50,000 barrels since coming on line. Forest Oil plans to add a third operated rig in the play in July 2011.