EOG wildcat taps into Goodland Lime oil

An EOG Resources wildcat in East Texas flowed at an average of 235 barrels per day of oil over its first 20 days and a privately held operator has launched its own exploration programme in the new trend, writes Noah Brenner.

Records from the Texas Railroad Commission show that EOG stored 4707 barrels of oil on location between 12 October and 31 October before asking for state approval to sell some of the production. Local sources indicated that natural gas from the well was flared.

The Cowan 1H was drilled vertically to about 8800 feet with a 4500-foot lateral by the Helmerich & Payne rig 417 in Smith County, according to state records.

Initially listed as targeting a “wildcat” formation, drilling logs filed with the state revealed the target as the Goodland Lime and possibly the overlying Kiamichi shale. It was the first horizontal well to target the possible new play, though the US independent initially drilled a vertical stratigraphic well for research.

EOG started building its position along the borders of Anderson, Smith, Henderson and Cherokee counties in spring 2012 using a handful of shell companies to conceal its interest.

To date, EOG has not received a permit to follow up the Cowan 1H well with an appraisal.

However, privately held junior Jamex is drilling ahead on a test of the Goodland Lime in Anderson County. The company brought in the Big 6 Drilling number 9 rig to drill the Herrington 1 well as a vertical well to a maximum depth of 12,500 feet.

Texas-based Jamex also has a permit to kick off a 6000-foot horizontal leg from the existing vertical Herrington wellbore.

The Goodland Lime is a more popular conventional target farther to the east along the border with Louisiana, while the Kiamichi shale is a little-explored formation that is widespread across East Texas and has been compared to the prolific Eagle Ford shale based on some of its geologic characteristics.

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