MUR & SAB

CC:n skriptistä:

"We have drilled the first 2 appraisal wells of the 6 well program in Southern Alberta to target the actual Bakken formation. Both wells have been completed and are being evaluated. It's very early days for us, but I'm pleased that the wells have flowed within our expectations. We will continue to add acreage in this new play as it fits with our understanding."

Blake Fernandez - Howard Weil Incorporated

No, that's perfect. Thank you -- thank you very much for the comprehensive answer. The second one -- and I'll just keep a quick one here. The Southern Alberta wells, do you have any details you'd like to share on the IP rates or EURs you're seeing?

David Wood

Blake, really -- not really because we're still trying to lease, but I will tell you that, and I've said this before, if we can get wells that are better than 200 barrels a day to start, then I would regard that as being good. And I would say that the first 2 wells would get into that bucket. What we need to do, we see some performance from those wells from initial flow and then put a pump on and see how they produce. But kind of the keys for me looking at the play are: do we have water, which we don't. And the second thing, to see what kind of pressure is in the play. And I think where water is, is going to be patchy. So some parts of the geography's going to have water and some not. I think that's one risk factor. And the second one is some areas are going to have more overpressure than others. And so you would expect better rates in some areas than others. So I would say at this early stage, from what we've seen, it's encouraging. But it's not an Eagle Ford, I will say that.

Evan Calio - Morgan Stanley

Got it. Can you also give us an update -- your acreage position, any update in Eagle Ford or Alberta, Bakken? I know you mentioned that you're looking to accumulate, position more acreage there and kind of when you may be in a position on the Exshaw to share data with the Street, when do you expect that?

David Wood

Yes, I think we need to run, other than to -- in answer to Blake's question, I'd rather not go any further there. I'd like to add some more acreage, but I would say I'm not so sure that I would add the acreage in the places that I was going to want to add the acreage prior to the well results. And really that's the whole purpose of drilling these 6 wells is to get comfortable as to what the risk factors are and where the trends are going. So we have north of 150,000 acres now in that play, and I see us being able to add some more. But in light of well information that we've got now and other wells that we're going to drill, it may change a little bit the direction of where we would pick up acreage.

Raymond Deacon - Pritchard Capital Partners, LLC

David, I was just curious, where do you think you can get your -- I know it's very early in the Alberta Bakken, but is $3 million to $4 million a reasonable level for wells there, do you think?

David Wood

For well cost? The ones that we've been drilling now, we've had a lot of science, and we talked about this before and -- cutting cores, drilling them straight and vertical and then turning with a heel tie [ph]. That's not the most efficient way, but our guys have done a great job with the first couple of wells and they've gone really, really well. So I think if we line this out, so we just drilled the well horizontal, straight into the Bakken, I think well costs here should be quite attractive. So yes, I see a good way forward there.