Drilling Milestone Reached by Trident Resources
Trident Resources Corp. (TRC) announced a significant operating milestone has been recently achieved in the Corbett Creek -- Ft. Assiniboine Mannville coal bed methane ("CBM") field area located in north central Alberta. TRC's drilling department, through its subsidiaries, Trident Exploration Corp. and Fort Energy Corp (collectively "Trident"), has operated the drilling of 650,000 meters or 2,100,000 feet of horizontal and multi-lateral horizontal drilling in the 1st commercial Mannville CBM gas field in Canada.
Trident has led the CBM industry in coal horizontal and multi-lateral horizontal drilling and completion innovation over the last 4 years. Trident's operated well design and drilling and completions techniques have allowed this field to reach economic success. These practice improvements have resolved a broad spectrum of issues, achieving some of the lowest operating costs for Mannville CBM wells in Canada. With an average annual operating netback in 2007 of approximately $22/BOE for Trident-operated fields in the Mannville CBM area, management anticipate further improved economic results in 2008 as natural gas sales prices have lifted significantly over 2007 levels. These operational results, not unlike major oil sands and heavy oil development projects, take years of focused effort to achieve. The Mannville coal is widely considered to be one of the largest unconventional gas resources remaining to be tapped in Alberta.
Trident's long standing innovative operating philosophy has also created a significantly smaller "footprint" in the overall field development by drilling the required producing gas wells from a single surface location pad to efficiently develop 4 sections of land at a time. The Trident operated pad footprint is approximately one 17th the size (at 3.6 ha or 8.8 acres) of a conventional drilling and facilities footprint (at approximately 62 ha or 152 acres) while achieving the same output. This dramatically reduced footprint is achieved by drilling up to 12 gas producing multi-lateral horizontal wellbores in the Mannville coal seam, 4 near vertical "motherbore" wellbores, and usually 1 water disposal well to re-inject produced salt water from a single surface pad that also concentrates the well level gas processing facilities that require a single pipeline to produce to one of the 5 Trident operated gas plants in the field area.
During 2007 Trident, averaged 48 Mmcf/d of working interest sales gas from its northern Mannville CBM field area and 45 Mmcf/d from its southern Horseshoe Canyon coal CBM field area. In 2008, Trident has 2 operated rigs currently drilling in the north and has just concluded an operated rig drilling program in the south. The southern Horseshoe Canyon CBM field area is expected to resume after the spring break up.