conocophillips continue their programthey are bringing in more...

conocophillips continue their program

they are bringing in more rigs in 2010 and announced recently that their 2010 exploration, that will be extensively explained in early 2010, has plans for a program of exploration in the eagleford..

as much as there is strong disbelief in the claims by adi and the jvp of their being any credibility to the sugarkane, oddly enough the massive corporate conocophillips is absolute in going forward.. they hold sugarkane both east and west of the adi acreages

if you think that hilcorp was talking some 10 wells for 2010 and conocophillips are moving in also, adi is rated a valuation expressing about a 10% chance of success by the market.. but the value is dropping which makes it a great opportunity for me in the these ground hog days

i am not so sure that conoco and hilcorp are moving on their acreages on such a minscule hope, i think jim mulva was not putting his reputation on the line unless they had something there, conoco would not even mention the play, a nd i thin kthey would have sold it off like they are are other plays if they did not rate it big time.. sure to shrink your business and grow with new exploration needs pretty good planning and assets.. sugarkane is part of that as he said last month

CEO Jim Mulva says ‘shrink to grow’ move is in response to the global recession and fewer reserve finds

Year-to-date E&P production up more than 5 percent

Highlights Include:

# Third-quarter earnings of $1.5 billion, or $1.00 per share, a decrease of 71 percent, compared with the same period in 2008

# E&P production up more than 5 percent year to date, with international crude oil projects adding approximately 130,000 BOE per day

# Ramp up of SAGD oil sands projects with quarterly production of more than 50,000 BBLs per day and approval to expand the Christina Lake development

# Exploration success with the Tiber discovery and Eagle Ford shale play,

# San Francisco hydrocracker commissioned in late September



so in light of his views on the eagleford and the 1500 bopd bordovsky well in the sugarkane.. the markets yawns! adi is ignored as having any potential at all..

permits are appearing now as expected..


in live oak, just a few miles west of adi acreages the next conocophillips sugarkane well to get a permit is the eskew north well

http://webapps.rrc.state.tx.us/DP/drillDownQueryAction.do?fromPublicQuery=Y&name=ESKEW%2BNORTH&univDocNo=485868707

that leaves them kunde 4 and eskew east and now eskew north to yet be completed in live oak

in de witt county the conocophillips vertical well they drilled, maraldo, has got a permit for a lateral completion put in a few days back

http://webapps.rrc.state.tx.us/DP/drillDownQueryAction.do?fromPublicQuery=Y&name=MARALDO%2BA403&univDocNo=485873962


happy to see the sp drop and i am hoping for some real good prices by the end of the week.. there is no guarantee these wells will be fracced, adi said its "likely" a dec 09 start could be in the planning.. imho they dont know for sure at all..


no trade of any volume in aut for some time, its mainly adi thats falling away from that .18 region..

so fingers crossed the prices will get under .10 in the near term,, with world markets jittery its really a game of how far these exits will push the sp down and will they get into real good territory for me before anything happens..

wont take much volume to get back to .10 imho