The economics of gas wells in the Horn River Shale of northeastern British Columbia, Canada must be excellent. Why? Imagine the cost of bringing in rigs and equipment to this remote area, with its harsh climate and lack of supporting infrastructure. Gas produced from shale, via horizontal drilling and constantly improving hydraulic fracturing technology are key elements to this success.
Peter
Horn River drilling, gas plant take shape
By OGJ editors HOUSTON, Apr. 22 -- (source)
EnCana Corp., Calgary, and its partner Apache Corp., Houston, have adopted a more efficient way to develop gas in the Horn River basin shales of Northeast British Columbia, EnCana said.
The companies hope to be able to drill fewer wells by increasing the number of fracs per horizontal leg to as many as 14 from the eight initially planned.
The companies will drill 12 wells in 2009, down from 20 originally planned.
EnCana is to build the Cabin gas processing plant 60 km northeast of Fort Nelson, BC, on behalf of industry co-owners that are major landholders in the basin. Its first phase is due in service in the third quarter of 2011. Initial capacity is 400 MMcfd, and the plant will be expanded in stages as the basin's gas production grows.
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