The SCOOP/STACK Play | June 2023

Field Overview

Ranking 6th in oil production and 3rd in natural gas production, the SCOOP/STACK play is one of the largest fields within the continental United States. It is primarily a shale play, with the Anadarko and Ardmore basins providing a bulk of the production. Some of the top formations are the Woodford Shale and Hunton Carbonate.

State Drilling Statistics
Total Rigs in Oklahoma- 39 (-3)
Total Rigs in the United States- 675 (-7)
Total U.S. Rigs 10.7% YTD

Basin Highlights

Devon Leads the Mid-Con Pack in ‘Super Pad’ Development

Devon has become a leader in Mid-Con ‘Super Pads’, which are pads that contain wells with more than 3,100 lb/ft of proppant. By contrast, most wells in the Permian Basin contain 2,000-2,500 lb/ft of proppant. According to a recent release from Devon, this can help to reduce breakeven prices by $5/bbl by drastically increasing the per-well EUR. This completion design has been implemented in about 60 of Devon’s Mid-Con wells, representing over 90% of Devon’s wells in the area. Certain case studies like the Hornet development in Blaine County, OK delivered over 4,000 boe/d in the first 30 days of production.

Oil Stocks at Cushing Hub Hit 2-Year Peak

Private oil stocks at the important pipeline juncture in Cushing, Oklahoma have reached their highest level in two years. Increased production from Canada and temporary shutdowns at Midwestern refineries in the region have pushed these inventories higher. Analysts indicate that growing overseas demand for American oil and the end of the refinery shutdowns should reduce the stockpiles in coming months. In mid-June, Midwestern oil stocks had risen to 42.1 million barrels. Nearly 580,000 barrels per day of refining capacity in the region has been offline in the past two months, driving the stockpile increase.

Wife of Justice Alito Leased a Plot of Land in Oklahoma While Judge was Weakening Powers of the EPA

The wife of Supreme Court Justice Samuel Alito, Martha Ann Bomgardner Alito, leased a plot of land in Oklahoma for a 3/16ths royalty to Citizen Energy III while the Justice was working on defanging the EPA. It appears to not be a conflict of interest because Citizen Energy III is not involved in any legal action at present. The Supreme Court recently announced a decision to limit the EPA’s ability to regulate wetlands, interfering with the agency’s ability to enforce the Clean Water Act. In another case, Alito voted to restrict the EPA’s ability to regulate emissions from power plants.

Most Permits By Operator in OK

Rig Count

Oklahoma Oil Production

Oklahoma Gas Production

Click above to subscribe to the RARE
PETRO Podcast Network or visit
www.rarepetro.com/podcasts

The information contained in this newsletter is provided by RARE
PETRO Engineering, PLLC via the following sources unless otherwise
noted:

www.eia.gov
www.drillinginfo.com
www.bhge.com
RARE Petro Analytics