barnett shale road to recovery
TRANSCRIPT
WHAT IS GOING ON IN THE BARNETT SHALE TODAY
2008
2012
Moderate Drilling Continues in Tarrant County (Urban) Drilling Has Slowed Outside of Tarrant; Production Saltwater Oil Drilling Increasing in North Part of Barnett Combo Play
New 75 Unit Windmill Farm Under Construction in Jack County
OIL & GAS RIG COUNT FOLLOWS THE
MARKET
Since Mid-2008 to Current : Natural Gas Drilling Down , Oil Drilling Up 76%
0 250 500 750 1000 1250 1500 1750 2000 2250
Johnson
Tarrant
Parker
Hood 200720082009201020112012
2012 2011 2010 2009 2008 2007
Johnson 103 420 578 625 1438 1425
Tarrant 533 1854 1784 1405 2030 1492
Parker 96 144 118 181 449 494
Hood 45 63 53 76 311 369
2012 Permits thru July 2012
Permits Issued in the Active Core
Counties
Consolidated Maintenance Sections
• Better Access To And Sharing Of Resources
• Greater Flexibility • Can Assist Others and Still
Have Home Base Covered • Increases Efficiency and
Consistency
Allows You To Reposition Project Crews To Rehab An Area That Can’t Wait For A Project (Cement Stabilization)
REPAIR FAILURES AS QUICKLY AS POSSIBLE
Typical Maintenance Repair: Bomag 4% Cement into Existing Base, Cap with HMAC or Seal Coat
• Use Pothole & Base Repair Contracts To Hit Hot Spots
• Partner With Counties To Address County Road Intersections
• Watch Your Edges For Drop Offs
• Use Drag Box for Rut Filling • HMAC Intersections With Heavy
Track Turning
Ralph Garza “Drive your roads daily and stay on top of problems while they are still manageable. Don’t wait or you can lose the road”
WORK WITH YOUR LOCAL DPS OFFICERS
• Built Several New Weight Stations • DPS Can Help You With Mud On The
Road Problems (Shakers Help A Lot)
OTHER STRATEGIES • Shift Cat 1 Funds to Effected Areas (Defer
Preventative Maintenance In Non-Effected Areas) To Rehab Pavements
• Shift Strategy 105 & 144 Funds to Effected Areas (Defer Preventative Maintenance in Non-Effected Areas) To Provide Extra Materials and Contracts To Hold The Roadway Together and Address Safety Issues
• Standardized Driveway Permitting; Address Mineral Rights vs. Surface Rights
• Revise Your Pavement Designs To Handle Additional Truck Loading
• Require TIAs for Saltwater Disposal Facilities • Standardized Utility Permitting • Widen and Stabilize Shoulders (Provide Lateral
Support For Pavement Edges)
• Shortage of Personnel & CDL Drivers - ???
The Technological Advancements in Horizontal Drilling and Hydraulic Fracturing That Has Allowed Energy Companies the Economic Feasibility to Extract Shale Oil and Shale Gas And Is Here to Stay. Horizontal Drilling and Hydraulic Fracturing Will Move From Oily To Gassy Parts of a Shale Formation Following Slightly Behind The Trend of the Oil/Gas Ratio.
The US Energy Information Administration Forecast:
Using Current Technology NG Prices Need To Be between $5-$6/mcf To
be Profitable.
• NG Prices are determined largely by supply and demand. Currently there is a glut of NG and prices are less than replacement cost.
• Important factor affecting NG prices will be cumulative production of shale gas wells. (How quickly will the production curve decline).
2020 ???
SHOULDER STABILIZATION
• Heel Out 18” – 24” Next to existing shoulder.
• Fill with 8”- 10” Flexbase or Pugged RAP Using Truck or Widener.
• Compact • Seal