by Pops » Sun 25 Mar 2012, 09:32:28
The Practician wrote:Anybody have the info on how many times more capital intensive a single offshore deepwater well is compared to a bakken well? Doesn't seem fair to compare them otherwise, and 500 times more expensive for a deepwater rig doesn't seem all that unreasonable to me.
Whipple says exactly that in the next sentence.
The point is to make the comparison to what we - at least most of us, picture in our heads as a "gusher" of oil. To read the PR, the Bakken is sprouting gushers on every quarter section. The reality is that even the best wells start at only 1,000b/d, drops 65% the first year, 35% the second & 15% the third and winds up, as OF & Whipple say, around 100b/d.
Whipple says the cost is 3x that of a conventional onshore vertical well and quotes "someone" as saying the eroi is only 6. He also quotes the EIA as saying ALL US shale will peak at 1 million b/d in 2020.
It's better than nothing, but it definitely ain't a gusher.
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The legitimate object of government, is to do for a community of people, whatever they need to have done, but can not do, at all, or can not, so well do, for themselves -- in their separate, and individual capacities.
-- Abraham Lincoln, Fragment on Government (July 1, 1854)