St. Mary Updates Guidance, Provides Operations Update
Denver-based St. Mary Land & Exploration Co. on Thursday updated its guidance for the first quarter and full year 2006 and provided an update of its operations.
Exploration and Development Program During the first quarter of 2006, St. Mary participated in the drilling of 45 conventional wells, of which 44 were completed as producers (98-percent success rate). The company recompleted 24 wells, of which 18 were successfully recompleted (75 percent success rate). At the end of the first quarter, St. Mary was completing 60 conventional wells, recompleting nine conventional wells, and 25 wells were drilling. The Company also drilled 47 wells in its Hanging Woman Basin coalbed natural gas program during the first quarter.
Mid-Continent Region In the Mid-Continent region there was activity on 49 wells during the first quarter with 17 successful completions, two successful recompletions, one dry hole, and 29 wells drilling or being completed at the end of the quarter. There were five successful completions in Northeast Mayfield during the first quarter. Four wells were being completed and three wells were drilling in Northeast Mayfield at the end of the quarter. Completed Atoka/Granite Wash wells in Northeast Mayfield during the first quarter include the Flowers Trust 1-35 (46 percent working interest) completed at 6,500 MCFD and the Mary 1-2 (44 percent WI) completed at an initial rate of 2,000 MCFD. The TGL 1-32 (36 percent WI) was successfully recompleted at an initial rate of 1,200 MCFD in the Atoka and Morrow formations.
In the Centrahoma field, St. Mary recently completed its fifth horizontal Cromwell sandstone well, the Jason K 3-6 (100 percent WI), with an initial rate of 1,300 MCFD. In the Woodford shale, the company is completing its second horizontal well. It is also still evaluating the results of its first horizontal well in the Wapanucka limestone. St. Mary holds 36,000 gross and 20,000 net contiguous acres in the Centrahoma field where it had a successful vertical well program for several years. The company has two rigs committed to the area where it will continue to refine its drilling and completion techniques in each respective formation over the remainder of the year.
Rockies Region During the first quarter there were 48 active wells in the Rockies region, excluding coalbed natural gas wells. Ten wells were successful completions with no dry holes. There were two successful recompletions with one dry hole. Twenty-four wells were completing, four wells were recompleting, and seven wells were drilling at March 31. Included in the active wells count were seven middle Bakken completions in the Williston Basin. These completions included the Pleasant Valley 2-6H (44 percent WI) completed at a rate of 390 BOPD, the Anvik 16-18H (65 percent WI) completed at an initial rate of 330 BOPD, and the Lyle Pederson 2-17H (63 percent WI) completed at an initial rate of 200 BOPD.
St. Mary completed 11 and drilled 47 wells during the first quarter in its Hanging Woman Basin coalbed natural gas program in the northern Powder River Basin. Seventy-one wells were at various phases of completion at the end of the quarter. St. Mary had 154 wells producing as of March 31, with 16 of those in the dewatering stage. Current gross production is approximately 3,700 MCFD.
ArkLaTex Region Ten wells in the ArkLaTex region were completed as producing wells during the first quarter, with no dry holes. Fifteen wells are being completed and six are drilling. In the Terryville field, the Colquitt No. 1-Alt (60 percent WI) was completed at a rate of 2,500 MCFD. The Keris No. 9 (22 percent WI) in the Box Church field was recompleted at a rate of 2,300 MCFD. In Elm Grove, the EGP 19-2 Alt (19 percent WI) was completed at a rate of 1,600 MCFD. As of the end of the quarter, three wells were drilling and five wells were completing in the Elm Grove field.
Gulf Coast/Permian Region
The first quarter activity at the Judge Digby field included the
completion of the Ivy J. Major #7 (11.5 percent WI) at a rate of 50,000 MCFD and the recompletion of the Ivy J. Major #4 (11.5 percent WI) at a rate of 40,000 MCFD. The SM 24-1 ST, in which St. Mary has a royalty interest of 21 percent, is producing at 15,000 MCFD after going on production in late January 2006.
- St. Mary to Focus Efforts in Rocky Mountain Region (Mar 18)
- St. Mary Maintains Borrowing Base at $900MM (Mar 18)
- St. Mary Updates Status of Rocky Mountain Divestitures (Jan 08)