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Michael Filloon  

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  • Halcon Resources - 4th Quarter 2013 Turning The Corner On Risk [View article]
    Thanks Z,

    Great job as always. I don't own the stock, but like it long term. I was happy about the Eaglebine sale as I wasnt really in love with the play to begin with. I think the TMS has more upside, and without getting too far ahead of myself think has more upside than the Eaglebine asset it sold.
    Feb 28, 2014. 08:52 AM | 5 Likes Like |Link to Comment
  • Bakken Update: Oasis' New Acreage Is A Stacked Play With Further Downspacing [View article]
    Slickwater or slick water fracturing is a method or system of hydro-fracturing which involves adding chemicals to water to increase the fluid flow. Fluid can be pumped down the well-bore as fast as 100 bbl/min. to fracture the shale. Without using slickwater the top speed of pumping is around 60 bbl/min.

    The process reportedly involves injecting friction reducers, usually a a polyacrylamide. Biocides, surfactants and scale inhibitors can also be in the fluid. Friction reducers speed the mixture. Biocides such as bromine prevent organisms from clogging the fissures and sliming things up downhole. Surfactants keep the sand suspended. Methanol and naphthalene can be used for biocides. Hydrochloric acid and ethylene glycol may be utilized as scale inhibitors. Butanol and ethylene glycol monobutyl ether (2-BE) are used in surfactants. Slickwater typically uses more water than earlier fracturing methods--between one and five million gallons per fracing operation.

    Other chemical compounds sometimes used include benzene, chromium and a host of others. Many of these are known to be toxic and have raised widespread concern about potential water contamination. This is especially true when the wells recieving slickwater hydro-fracturing are located near aquifers that are being tapped into for local drinking water. However, reports of actual drinking water contamination appear either very scarce or else non-existent. Hydro-fracturing activity is heavily regulated by state agencies.

    In summary, slickwater is a water-based fluid and proppant combination that has low-viscosity. Slickwater fracturing was first used in the Barnett shale. Mitchell Energy introduced the very first slickwater frac that utilized 800,000 gal. of water and 200,000 lbs. of sand as proppant. It is typically used in highly-pressurized, deeper shales, while fracturing fluids using nitrogen foam are more common in more shallow shales and those that have lower reservoir pressure.
    Sep 10, 2013. 10:52 PM | 5 Likes Like |Link to Comment
  • Bakken Update: Halcon Well Results Improve While Kodiak Buys The Best In West Williams County [View article]
    lol wat,

    You may be missing the point of the article. This is a real general idea of revenues/costs/etc. Anyone is free to figure this out anyway they would like. I didn't forget any of those variables, just thought others would figure that out themselves if they wanted to. As for well costs, they are correct. Thanks for commenting.
    Jun 24, 2013. 10:06 PM | 5 Likes Like |Link to Comment
  • Bakken Update: Well In Western Williams County Produces 6-Month Payback [View article]

    Thanks for the comments they are appreciated. If you have any specific issues with this data I would love to hear it. Sounds like you have a lot of experience in oil and gas, so if there is anything specific you would like to address so we can all learn something it would be great. Have a great weekend, and thanks for reading.
    Jun 21, 2013. 08:57 PM | 5 Likes Like |Link to Comment
  • Bakken Update: Whiting's Sanish Well Models To 2 Million Barrels Of Oil [View article]
    Hi Marc,

    These wells are representative of Whiting wells in Sanish Field completed in 2007 and the first half of 2008.
    Jan 11, 2013. 06:25 PM | 5 Likes Like |Link to Comment
  • Bakken Update: EOG Wells Model EURs Over 2 Million Barrels Of Oil [View article]

    Thanks again for the info Mark. I appreciate all the time you spend as well as your criticisms. If you believe these numbers are incorrect feel free to model them for the other readers, as I am sure they would like to see your results. I believe I was fairly specific as to how I believe these wells will continue to produce. Have a great night.
    Jan 9, 2013. 03:09 AM | 5 Likes Like |Link to Comment
  • Bakken Update: EOG Has Several Catalysts For 2013 [View article]

    That is the tough thing about figuring out a true realized price/barrel needed to keep programs going, as there are so many different estimations. Not long ago some of the companies with higher costs did need close to $80/bbl, but costs have really pulled back. Back when Newfield pulled Bakken dollars and put them to work in the Uinta, it probably needed $80/bbl (Long laterals cost $12.5 million for them specifically), but Newfield has always used the best stuff and lots of it. $80 might even be stretching it. This is why they had some real nice results. Also, this number changes a lot from an area like the Sanish Field to Brigham's Roughrider area. Right now the middle of the line number is $60/barrel, where areas like Mondak are higher as the results have not been good at all in that area in my opinion. The realized price needed is probably heading lower (in my opinion) as there is still room for further cost decreases. 2013 should see better Bakken results, but the story will continue to be getting the oil on the rails and to areas that are importing Brent. This in concert with continued decreases in costs should provide for better bottom line numbers. I think the bigger operators will benefit more from this, but would love to see companies like KOG and TPLM get oil to the east and west and not the south. This is just a guess on my part, but if we get enough oil to the east and west coasts (and Canada) it could affect the price of Brent some. Historically, OPEC has opened up production to push down the price of oil when US production increases, but I don't think OPEC has the ability to do this given it is already pumping pretty close to capacity. One thing to remember is that the Bakken is around $60/bbl, but the oil window of the Eagle Ford is much less. Look for prices needed in the Granite Wash, Wolfcamp, Barnett Combo, Mississippi Lime, and Niobrara to head upward as the price of NGLs continues to pull back. It would be nice if the administration would support an export plan.
    Dec 9, 2012. 06:33 PM | 5 Likes Like |Link to Comment
  • Bakken Update: Q1 2012 Reported Earnings [View article]

    Im not trying to beat Kodiak's stock price down, thats up to the company and the economy.
    May 4, 2012. 10:14 AM | 5 Likes Like |Link to Comment
  • Bakken Update: The Three Forks Has Huge Potential [View article]

    The abbreviations used most in this article are:
    IP=Initial Production
    This is a term for the amount of resource that is produced over a given time. In general IP rate means the first day or 24 hours, but is not always included. You may see 30-day IP rates which is an average per day of the amount of resource over the first 30 days. 60-day and 90-day are also common, with 90-day being much more important from a total resource standpoint.
    Boe/d=Barrels of oil equivalent per day. This may be written in Bo/d or just barrels of oil per day. The first seems to give a better idea of total production as natural gas and liquified natural gas are also in the formula.
    The last you might want to know about is EURs=estimated ultimate recovery, which is the total amount of resource garnered through the life of the well. So 500 MBoe=500000 barrels of oil equivalent.
    Apr 10, 2012. 03:57 PM | 5 Likes Like |Link to Comment
  • The Frac Facts [View article]
    I would agree with you and believe if this technology was embraced, we would see some very positive things. Its too bad this stock has been pulled down with other oil services, I don't think the market trully understands this company.
    Feb 10, 2012. 05:19 PM | 5 Likes Like |Link to Comment
  • How Eagle Ford Compares To The Bakken [View article]

    I do believe that the condensate window is a little better than the Bakken based on these Eagle Ford wells being short laterals and generally cost in the $7 million range. If some of these company estimates are correct and EURs are in the 600-1000 Mboe range, then these wells could very well be more profitable than the best Bakken wells. These companies will have to prove these numbers are possible first, and it could take a while to see what longer term production numbers tell us. Have a great night.
    Jan 21, 2012. 12:40 AM | 5 Likes Like |Link to Comment
  • Bakken Update: What To Buy In 2012 [View article]
    Hi Scott,
    I think the downgrade has more to do with reaching Northland securities price target than anything else. I still own an average size position in my portfolio, and would add to it around $8.50/share, but I don't think I will see that as I think WTI pricing is headed up. If Kodiak continues to execute and sees big improvements from 30 stage fracs, then the stock could double this year (but I think they will get bought before year end). I will be real interested to see what fourth quarter earnings brings. God bless you and your family also.
    Jan 1, 2012. 02:58 PM | 5 Likes Like |Link to Comment
  • Offshore Oil: Companies With the Largest Increase From 52 Week Lows [View article]
    Mr. Banks,
    Please elaborate, which lies about the oil sector?
    Jul 13, 2011. 10:54 AM | 5 Likes Like |Link to Comment
  • 10 Oil Stocks With Low PEG Ratios [View article]
    I am sorry, It looks as though I was a bit simplistic in my explanation, of this company's management. You are totally correct with respect to its locations. These are all exciting areas that have huge upside. Thank you for the info on why their missed estimates, I appreciate it.
    Mar 24, 2011. 09:28 PM | 5 Likes Like |Link to Comment
  • Uranium Mines in Wyoming Coming Closer to Production in 2011 [View article]
    Its interesting the Russia is currently buying up uranium, since they are pulling 65% of current usage in 2013. Great job Jeb, I really enjoyed the article.
    Jan 15, 2011. 03:02 PM | 5 Likes Like |Link to Comment