By:  Bob van der Valk

Crude oil prices will continue to weaken regardless on whether the US raises the debt ceiling.  The connection between the value of dollar on the world market had become less of a consequence on commodity prices after the US oil production has been increasing at a fast rate.  WCS Canadian sour crude is being discounted between $25 and & $27 a barrel FOB Alberta as of today.

The importance of the EIA data is like the Federal government shutting down the NSA and not have the intelligence data gathering ability to keep us secure.  The same applies in the petroleum industry with the EIA-DOE report serving as our weekly intelligence report on which important oil and finished products trading and production decisions are made.  Without it we are back in the dark ages on gathering this type of information.  The API report has been a guide but not used in the same way at the weekly EIA-DOE report with the API report being mostly ignored by the big traders.

The weekly EIA-DOE inventory report has been very important and proven the API inventory numbers wrong numerous times.   The difference is in the methodology on gathering the data between the two reports.  The API is Garbage In; Garbage Out (GIGO) with the major oil companies “voluntarily” supplying data whereas the EIA-DOE requires and spells out mandatory figures to be submitted making it more accurate.  API also does not distribute the report without a paid subscription whereas EIA-DOE distributes theirs on their: http://www.eia.gov/ web site.

Traders use the EIA-DOE inventory report as the “Tale of the Tape” with any changes being taking into account by commodity traders in making their decisions.  They will now be dealing in the dark in making deals.  Any major refinery or pipeline glitches may result in price spikes with traders playing it safe by holding onto barrels they would otherwise be willing to sell.

Oil companies use the report to keep an eye in each other and the EIA-DOE report reveals important data about their competitors they would otherwise not be able to attain legally.  The EIA-DOE report is therefore the guide presenting facts putting rumors to rest on which some of the trades are made.  “Buy on rumors, sell on facts” is the oldest cliché in the trading circle and is alive and well.

During any extended government shutdown we will have more rumors circling around in the petroleum industry without our usual Wednesday morning verification.  Meanwhile the reporting entities are still required to submit their data and we may have an interim report once the shutdown ends.

Bob van der Valk is the Senior Editor of the Bakken Oil Business Journal and can be contacted at: editor@bakkenoilbiz.com

Bismarck, N.D. – The North Dakota Petroleum Council (NDPC) will host the Oil Can! Community Day on Monday, Sept. 16 during its Annual Meeting at the Alerus Center in Grand Forks. The Community Day will include two Bakken Basics Education Sessions, a barbecue, activities for kids, and access to the NDPC Members-Only Showcase.

“We are able to host educational sessions about the oil and gas industry in western North Dakota throughout the year through our Bakken Rocks CookFests and other events, but many residents in the eastern half of the state haven’t had the opportunity to attend these kinds of events,” said Tessa Sandstrom, NDPC communications manager. “By holding our Annual Meeting in Grand Forks, we are bringing the Bakken east and giving residents of the Red River Valley the chance to learn more about the Bakken and ask industry experts about oil and gas development in North Dakota.”

The Bakken Basics Education Sessions are scheduled for 2:30-4 p.m. and 4-5:30 p.m. and will include talks by Ron Ness, president of the NDPC; Lynn Helms, director for the North Dakota Department of Mineral Resources; and Kathy Neset, president of Neset Consulting Service. A community barbecue featuring smoked pulled pork, smoked sausage and BBQ chicken, courtesy of Halliburton, will follow the educational sessions and go until 7:30 p.m. NDPC member exhibits and activities for kids, including a face painter, balloon artist and bounce house and slide will be open from 3-7:30 p.m. Exhibitors include Grand Forks businesses, as well as leading oil and gas producers and service companies operating in the Bakken. A pumping unit, workover rig, wireline truck, crane and ONEOK’s Natural Gas Mobile Museum will also be on display.

The Oil Can! Community Day is free and open to the public. For more information, visit www.northdakotaoilcan.com/events/2013CommunityDay/.

The NDPC Annual Meeting will run from Monday, Sept. 16 to Wednesday, Sept. 18, and will feature a keynote address from legendary Notre Dame coach, Lou Holtz. An agenda and costs for attending the full meeting are available at https://annualmeeting.risprojects.org. Members of the media wishing to attend may contact Tessa Sandstrom at tsandstrom@ndoil.org or 701-557-7744.

Since 1952, the Petroleum Council has been the primary voice of the oil and gas industry in North Dakota. The Petroleum Council represents more than 420 companies involved in all aspects of the oil and gas industry, including oil and gas production, refining, pipeline, mineral leasing, consulting, legal work, and oil field service activities in North Dakota, South Dakota, and the Rocky Mountain Region. Our members produced 98% of the 243 million barrels of oil produced in North Dakota last year. For more information, go to www.ndoil.org.

BISMARCK, ND – The North Dakota Petroleum Council (NDPC) today announced that legendary Notre Dame football coach Lou Holtz will provide a keynote address during the NDPC’s Annual Meeting to be held Wednesday, Sept. 18 at the Alerus Center in Grand Forks, ND. Holtz took his Notre Dame teams to nine straight New Year’s Day bowl games from 1987 through 1995 and remains 11th on the NCAA all-time win list for Division I-A coaches.

“The petroleum industry has had incredible success in helping our economy and our country, and I am delighted to be joining the North Dakota Petroleum Council and its members in Grand Forks,” said Holtz. “There are a great deal of similarities between being a coach and one of the many industry leaders who have seized this tremendous opportunity to help move our state and nation forward. Just as on the athletic field, the ability of leaders to adapt, find solutions for evolving challenges and issues, and capitalize on opportunities makes for a winning proposition.”

“We are excited to have a legend like Coach Holtz join us at our 32nd Annual Meeting,” said Ron Ness, president of the NDPC. “Coach Holtz’s record as a coach demonstrates his ability to motivate others, and there is no doubt his talk will be an inspiration for our attendees and the leaders of our state and the industry.”

Also joining Holtz as a featured speaker at the Annual Meeting will be Statoil’s General Manager of North America, Bill Maloney; Burlington Northern Santa Fe’s CEO Matt Rose; and North Dakota Gov. Jack Dalrymple.

In addition to the business meeting on Wednesday, Sept. 18, this year’s Annual Meeting will feature a Community Education Day and BBQ on Sept. 16. The event will be free and open to the public and will include two Bakken Basics Education sessions, which will be held from 2:30-4 p.m. and 4-5:30 p.m. in Ballrooms 4 and 5 in the Alerus Center. A free BBQ will be held from 5-7:30 p.m. and the community is invited to attend and visit the Members Only Showcase, which will be open from 3:30-7:30 p.m.

“We are excited to take our Annual Meeting to Grand Forks this year and showcase the support, products and services that many of the businesses in the Red River Valley provide for the Bakken,” said Terry Kovacevich, NDPC chairman and regional vice president for Marathon Oil. “Many business leaders in eastern North Dakota have capitalized on the opportunities provided by the petroleum industry in western North Dakota, which has created jobs and helped the economies of communities from Pembina to Wahpeton.”

NDPC members will also have an opportunity to showcase their products and services during a Members Only Showcase to be held for Annual Meeting attendees on Tuesday, Sept. 17. For a full schedule and agenda of speakers, visit https://annualmeeting.risprojects.org/agenda.aspx. 

Since 1952, the Petroleum Council has been the primary voice of the oil and gas industry in North Dakota. The Petroleum Council represents more than 420 companies involved in all aspects of the oil and gas industry, including oil and gas production, refining, pipeline, mineral leasing, consulting, legal work, and oil field service activities in North Dakota, South Dakota, and the Rocky Mountain Region. Our members produced 98% of the 243 million barrels of oil produced in North Dakota last year.  For more information, go to www.ndoil.org.

By:  Bob van der Valk

Traffic on the interstate highways and rails has become part of the way modern way of life.  Rail tanker car traffic hauling crude oil increased in multiples over the last five years and will continue to do so every year until more infrastructure is build to handle all of this new found oil.   Additional crude oil production in the Williston basin, within the Bakken Shale Formation is going at full speed on our way toward make our country energy secure.

The US and Canada rail systems are currently being over utilized with the lack of infrastructure reaching the point of having major accidents.  The one in Lac-Mégantic near Quebec on Saturday, July 6th killed up to 53 people along with destroying most the small village.  Railroad tracks laid over 100 years ago are still being used today but with higher and heavier traffic than for which they were originally designed.

The 70 thousand barrels of Bakken sweet light crude oil was being shipped via rail from Trenton, North Dakota to Saint John, New Brunswick with eventual delivery destination of the Irving Oil refinery.  World Fuel Services had title to the crude oil and 50 thousand barrels were lost in the derailment caused by human error.   The MM&A engineer had stopped the 102 chain of rail cars without setting the brake.  While he walked to town to get some rest the train rolled backwards eventually derailing and exploding into a fireball killing people and destroying most of the town.

You may not like pipelines or fossil fuels but the most efficient and safest way to move the highly volatile sweet Bakken Oil crude oil is by pipeline. Increased hauling of crude oil with our overused and in some cases antiquated rail system may well turn out to be “Hell on Wheels”.

The town of Lac-Mégantic near Quebec Canada was named for the lake near which it is located and was named by the Amerindian Abernaki tribe.  It means “Place Where the Fish Are Held” and Lac is the French word for Lake. The small village is about 20 miles north of the Maine border
As environmental disasters go, the explosion Saturday, July 6, 2013 of a runaway crude oil tanker train is a major catastrophe. One thousand people were forced to evacuate the immediate area. Quebec’s environment minister reported 26,000 gallons of crude oil spilled into the Chaudière River and could possibly reach Quebec and the St. Lawrence River before too long.

The derailed 72-car train belonged to MM &A, which is a subsidiary of Illinois-based multinational Rail World, and was carrying North Dakota shale oil extracted by hydraulic fracturing to the massive Irving Oil refinery in the port city of Saint John in New Brunswick, Canada.   They refine the crude oil into gasoline and diesel.  Irving then uses pipelines to ship their finished products to the Northeast US as well as supply Canadian petroleum distributors.

The Wall Street Journal reported in their March 2013 article,  the US rail system moved 9,500 carloads of crude oil in 2008 and surged to 233,811 carloads in 2012. During the same period, the total number of spills and accident increased exponentially. A derailed train accident spilled 714 barrels of crude oil in western Minnesota in March 2013 on frozen land.  But, this accident resulted in a quick and efficient clean up with the railroad skating by without doing much damage to the environment.

Application for the Keystone XL pipeline permit was first filed with the US State Department in late 2008. Since then, the amount of oil being shipped on rails has risen 24-fold mostly shipped mostly on the Burlington, Northern, and Santa Fe (BNSF) railroad owned by Berkshire Hathaway.  Warren Buffett, the Oracle of Omaha and main stockholder of Berkshire Hathaway, has been am ardent supporter of BOLD Nebraska, which is blocking the Keystone XL from being recommended through Nebraska.  The second application is waiting for recommendation by the US State Department for an eventual final up or down decision from President Obama.

Earlier this year Jane Kleeb, the Director of Bold Nebraska, stated the Keystone XL pipeline would be build over her “dead body”.  The problem there is a possibility resulting in more dead bodies, hopefully not hers, if the Keystone XL pipeline does not receive its approval to build the necessary northern leg from Alberta, Canada to Steele, Nebraska.

Baker, Montana will be the location for an on-ramp into the Keystone XL pipeline to be utilized to ship a minimum of 100 thousand barrels per day of Bakken crude oil to the Gulf Coast of the US.  The total capacity of the pipeline is 830 thousand barrels with most of the oil in the pipeline coming from Alberta, Canada in the form of oil sands crude oil also called bitumen.  It is heavier than light sweet crude oil and is the type of heavy sour crude oil used in most US oil refineries to crack into gasoline and diesel fuel as well as other products.

The southern leg has already started construction from Steele, Nebraska to Cushing, Oklahoma with President Obama taking credit for accelerating the approval process for this section.   It was a great photo opportunity for President Obama during the last Presidential election.  Only one problem the southern leg did not need his approval.  Only pipelines between countries have to go through the process of being reviewed and recommended for approval to the President.

The disaster at Lac-Mégantic should be a wake up call for this Administration to do the right thing and approve the permit for construction and operation for the full length of the Keystone XL pipeline to be approved without delay.

Video by Lac-Mégantic resident Adrien Aubert, who filmed the blast on July 6, 2013.

Opinion Article

“Phelim We Hardly Knew Ye”

By: Bob van der Valk
Dateline: Terry, Montana
June 27, 2013

This opinion article deals with FrackNation as a pro-hydraulic fracturing for oil & gas documentary. Comments, other than my own, were made by individual landowners in the Pennsylvania area where the controversy about hydraulic fracturing had its inception.

Bob van der Valk

FrackNation’s Phelim McAleer has been able to hit Josh Fox’s Gasland and Gasland Part II movies with his best shot making his points about hydraulic fracturing not being the cause for underground water contamination.   Neither is the methane produced by the drilling process resulted in any of the health problems purportedly suffered by land owners where the drilling has been done.

For the last two years Phelim McAleer has made it his life’s calling chasing Josh Fox around the country peppering him with embarrassing questions about ridiculous charges being made in the original Gasland movie.  Gasland was nominated for an Oscar as the Best Documentary of 2010.  Most, if not all, of the charges made by emotionally and financially driven opponents to hydraulic fracturing drilling for natural gas have been debunked by Federal and State agencies, which became involved by reacting to the public attention Gasland initially received.

Recently Phelim McAleer has been showing his FrackNation up against Gasland Part II.  This is leading up to the HBO-TV premiere of Gasland Part II on July 9, 2013. FrackNation will be shown again on AXS-TV July 10, 2013 both of them will get high viewer ship for both cable channels.

What has been lost in this conversation about hydraulic fracturing is the US becoming energy secure once again of having to import crude oil from countries with governments hostile to our way of life. Neither Josh Fox nor Phelim McAleer one have oil industry experience and are continuing this unnecessary raucous to promote themselves.

Sherry Hart

After the Binghamton, New York, February 10, 2013 showing of FrackNation a question was asked by Craig Stephens addressing Phelim McAleer, the producer of FrackNation, about the December 15, 2010 “Dimock Consent Order and Settlement Agreement” (COSA): http://files.dep.state.pa.us/OilGas/OilGasLandingPageFiles/FinalCO&A121510.pdf

Similar to what has happened since the beginning of the Dimock saga, the actual contents and findings of the COSA frequently get overlooked while pro-drillers and drilling opponents continue to banter with each other about the water being poisoned, no it wasn’t, etc.   Phelim’s brief answer to Cabot’s move to settle was that it was a case of corporate business as usual and happens all the time.  Partly true, but anyone who has been following the Carter Road allegations and its resulting mounds of paperwork and legal filings for the last couple of years are familiar with a few things above and beyond his answer:

The PA DEP claimed identification of the migrating gas as being from Cabot’s wells primarily using “presumptive guilt”, based only on proximity to the well, and explains their findings in a the original COSA dated November 4,2009 (http://www.marcellus-shale.us/pdf/Cabot_Consent-Order_11-4-09.pdf) which states starting in January 2009 PA DEP collected samples from water wells providing water to 13 homes which showed elevated levels of dissolved methane as well as identified combustible gas in the headspaces of seven of those water wells.

After the COSA was established, Cabot hired an independent consultant to perform a separate investigation.  According to a review of data on the same exact wells determined to be problematic by PA DEP, Robert W. Watson, Ph.D./P.E. and Associate Professor Emeritus of Petroleum and Natural Gas Engineering and Environmental Systems Engineering, etc. concluded that Cabot was using procedures for drilling, casing and cementing wells even at that time which met or exceeded the requirements of the Pennsylvania Oil & Gas Act, were adequate to protect the drinking water, and which did not cause or allow methane migration into the drinking water. (http://www.cabotog.com/pdfs/Dr_Bob_Watson_WhitePaper_101010.pdf – page 2 and again in the Conclusion on page.

Based upon those findings, and mostly those findings alone, because all of the water supplies were within 1,300 or less feet of a Cabot well and because those wells were drilled within the preceding six months, PA regulations deem a determination of guilt can be made.  (page 3-4, articles J-K): The Pennsylvania Oil & Gas Act: A Summary of Statutory Provisions dated March 2009, Section 208: Protection of Water Supplies (58 P.S. § 601.208) (page 4) states, in part, “There is a refutable presumption that a polluted water supply located within 1,000 feet of a well is caused by the well.” http://law.psu.edu/_file/aglaw/SummaryOfPennsylvaniaOilAndGasAct.pdf  This Summary was written prior to pre-drill tests becoming mandatory, which if anything could well be the most important lesson learned in Dimock.

Other information that could be pertinent is in the legal filings of the lawsuit itself:

1) The Dimock litigants fired their original lawyer when another better known litigation firm offered to take them on as clients.  They walked out leaving $650,294.18 in legal fees unpaid. 2) When the revised COSA was finalized, settlement amounts of the plaintiffs totaled $2,234,160. (2011-11-30 2010 COSA Settlement amounts.jpg).  Amounts of the settlement varied depending on individual property appraisals.  These funds were put into an escrow account to be claimed by December of last year.  There were no restrictions put on this money; it was free for them to collect and they could still continue with their lawsuit and water deliveries would continue.  (2011-12-16 DEP and Cabot Rev Consent Order and Settlement Agreement.PDF)
3) Their original lawyer caught wind of this settlement and put a lien on the escrow account for the outstanding fees the litigants had not paid. (2011-01-12 Motion to demand fired attorneys fee.pdf)
4)  All those persons within the determined effected area and not involved in the lawsuit, claimed their money.  None of the litigants did because doing so would mean paying their first lawyer.  This got muddled in their lies of how Cabot was forcing them to sign non-disclosure agreements and quit the lawsuit… all of which is written into the contract that the money is theirs – no restrictions on it.
5) In August, most of the litigants settled, but do have to abide by a gag order regarding the settlement amounts or findings.  Also, the money contained in the escrow account set up per the COSA goes back to Cabot.  Thus Dan Dinges statement, “The aggregate value of the settlements are not a material item with respect to Cabot’s financial statements,” (statement found in the Philly.com article referenced below.)   I believe there is currently only one remaining holdout, Ray Kemble, who spoke to the Philadelphia Inquirer soon after the settlement offers were made and accepted by the majority of the litigants.  He mentions what his settlement offer was and it appears it was pretty close to the same amount originally offered him in the COSA. (Per Philly.com: http://articles.philly.com/2012-08-27/news/33403570_1_susquehanna-county-town-cabot-oil-baby-drill) “Kemble is angry at just about everybody – Cabot, regulators, his own lawyers, and his ex-wife, who accepted the settlement, thereby reducing the amount offered to him. He said he would only see $79,000 from the deal, after legal fees.”  His ex-wife was entitled to half the amount offered, thus twice the amount Kemble states he was offered is $158,000.  Originally the COSA provided for a settlement offer of $185,712.00.
6) Thus, it appears the litigants were offered just slightly less the amount originally offered without having to access the funds that had liens on them, probably due to lawyer’s cuts, etc.  Settlement discussions began soon after the third set of water test results were released showing, once again, the water tested within acceptable drinking water standards.

This is why Phelim’s response fell far short and was merely the tip of the proverbial iceberg.

Robin Fehrenbach Scala 

Are you hearing that Phelim is actually on the other side?  Or is it a setup so both can profit from the argument and their respective films?  Having met and argued with Josh Fox even before his film came out, I know he is a liar and expect no truth to ever come from his mouth.

It was later that I was contacted by Magdalena Segieda, who is the Director and Producer of FrackNation, in an effort to find people in my area who were drilled and would talk on camera for the film. I met her first and we made some initial contacts, then Phelim and the film crew came out and spent a whole day in my house getting possible scenes with me and Sherry Hart talking about our issues and showing us working the boards and contacting landowners and politicians. (Of all those hours we appear for exactly 2 seconds maybe, which we were happy about).

HBO is trying to justify their financial backing of Gasland and Part II (and Fox in general) so it seems like a good time to spread information, which could be used against Phelim or make him seem like he is just as bad as Fox.

 I also provided money to be executive producer and was involved from before the film was a film. There IS one way to prove who is right, and that is to follow the money. If HBO is really paying for ANYTHING they could prove it. But they won’t.  I trust HBO less than a guy sitting on a street corner with a hat waiting for spare change. Ask them to prove it. They can’t.

By the way, HBO DOES NOT put up those posters.  Phelim does and has since the beginning. It started from his first argument with Josh, where he asked if Josh knew about methane being in the water since the dawn of time, and Josh said, “It is not relevant”

Game On!

Now Phelim makes sure that if Gasland Part II is being shown, FrackNation is also being shown in the same town, biting at the bit for the debate with Josh, but there’s no point holding his breath!

At least HBO did not pay for FrackNation or any part of it or any advertising for it. They DID pay for Gasland and Part II and are now sucking eggs over it.

I never read the account about the arrest of the Julia Mineeva, the former Russian TV anchor, at the premiere of Gasland Part II or if her arrest for trespassing was a set up.  I do know that Josh Fox set up his own arrest (complete with his cameras rolling) at a committee hearing in the House of Representatives so he could use it in Gasland Part II.

The only reason I feel I can stand up for Phelim (though I could be wrong…it is always possible to be wrong) is due to his behavior on all other occasions where I have been with him or them, watching how they react.

See, I am the type who would make the movie and then go broke because I did not attempt to make money for travel and distribution. The movie would then be a waste of time and investor money.

I would hope that Phelim is making SOME kind of money so he does not go broke (as I would, which is stupid) trying to get the word out.

If anyone is being a money hog and pretending to actually care, it is Josh Fox, who will admit it to anyone everywhere except when asked during a screening.

Being a landowner in PA and NY, I felt like I hit the lottery when Phelim and company contacted me to help make the movie. I had no way to educate the public on my own and attempts to find a spokesperson died after speaking to an agent for an hour while finding out what it would cost to get the person I wanted.

Bob van der Valk

FrackNation exposed Josh Fox for the publicity seeker he is. The oil industry needs to have a serious discussion about the urban lies being spread by the likes of Josh Fox. Phelim did a good job on FrackNation and accomplished just that. He is a journalist and should have stuck to bringing out the true facts about hydraulic fracturing.  But we need an independent journalist to tell the true story on how to go about making the US energy secure. The next frontier will be in California with the Monterey Shale Formation coming into play. Their potential reserves of oil & gas is 3 times bigger than Marcellus, Eagle Ford & the Bakken combined.

Robin Fehrenbach Scala

You just explained your position so it makes total sense to me. Phelim has become the story.

Thanks for continuing our conversation until I could “get it”.

Bob van der Valk

God bless the USA!

This editorial was written with the assistance and input of:

• James Asbury – Mansfield, Pennsylvania
• Robin Fehrenbach Scala – Factoryville, Pennsylvania
• Sherry Hart – Tunkhannock, Pennsylvania

Disclosure: Bob van der Valk, Robin Fehrenback Scala and Sherry Hart donated funds to the Kickstarter program and are credited as Executive Producers of FrackNation.

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Photo by Renae Mitchell, Oil & Gas Industry Photographer

Nicknamed the Mile High City because of its elevation, Denver was established in 1858 just east of the Rocky Mountains as a mining town during the Pikes Peak Gold Rush. Originally known as Denver City, the city was named after Kansas Territorial Governor James W. Denver. At the time, the area was part of Kansas Territory. Later, Denver City’s name was shortened to Denver after it became the capit al of the Colorado territory, which was created in 1861. Completion of the Denver Pacific Railroad in 1870 that linked Denver to the transcontinental railroad enabled Denver to prosper as a supply and service hub.

ENERGY IMPACT

While gold mining brought the first settlers to Denver, companies that are part of the air transportation, telecommunications, aerospace, and manufacturing industries are also found in Denver today. A number of oil and gas companies are also present in Denver, including Halliburton, Noble Energy Inc., Anadarko Petroleum Corp., EnCana Corp., EOG Resources Inc., and GE Oil & Gas.

Innovation in multi-stage hydraulic fracturing and horizontal drilling technology has allowed the oil and gas industry to begin exploring Colorado’s unconventional resources. These resources include shale and tight sands within three basins. Of these plays, the Niobrara currently is the most active, according to a report by the Institute for 21^st Century Energy. Some analysts have estimated the Niobrara, which is mainly a liquids-rich play, to hold reserves of approximately 2 billion barrels of recoverable oil reserves, according to the Colorado Oil & Gas Association.

Unconventional oil and gas activity in Colorado created 77,600 jobs in the state in 2012, according to the second part of a report by the Institute for 21^st Century Energy into the impact of unconventional resources on the U.S. economy. The number of jobs in Colorado supported by shale activity will grow to 121,398 in 2020 and 175,363 in 2035. Unconventional oil and gas activity contributed value-added economic activity of more than $11 billion in Colorado last year; that contribution is estimated to grow to more than $26 billion by 2035.

The nine-county Metro Denver and northern Colorado region ranked fourth for fossil fuel energy employment and seventh among the nation’s 50 largest metros for clean technology development concentration in 2012, according to the Metro Denver Economic Development Corporation. The energy industry cluster employs more than 44,000 people in the area, and the state of Colorado ranked tenth in fossil fuel energy jobs. Energy research centers and universities such as the National Renewable Energy Laboratory and the Colorado School of Mines are also found in the Denver area.

The energy industry not only has impacted Denver’s economy in real life, but in prime time as well – the popular 1980s TV soap opera, “Dynasty” followed the lives of a wealthy oil family living in Denver.

CITY HIGHLIGHTS

Denver residents can enjoy an active lifestyle, thanks to the city’s proximity to the ski resorts and outdoor recreation opportunities in the Rocky Mountains, as well as the city’s golf courses, dog parks, swimming pools and tennis courts. Not surprisingly, Denver’s access to outdoor recreation opportunities means its residents are among the healthiest in the United States. In 2011, Forbes magazine ranked Denver fifth among America’s Top 20 Healthiest Cities. The city’s overall good weather, performing arts and cultural opportunities, panoramic view of the Rockies and excellent schools make Denver an ideal place to work.

Residents and visitors can glimpse the city’s past at historical sites such as the Molly Brown House – the home of the Unsinkable Molly Brown, an American socialite and philanthropist who survived the sinking of the Titanic – to Denver’s Four Mile Historic Park, which features the city’s oldest standing structure and exhibits of pioneer life in the West. Other landmarks and attractions include Colorado’s state capitol building, the U.S. Mint and Elitch Gardens, an amusement park located in downtown Denver. The city offers something for everyone, from art and science museums to performing arts and sporting events to its aquarium, zoo and botanical gardens.

Author: Karen Boman

Retrieved 8 May 2013. Rigzone.

See KLJ in the April/May BAKKEN OIL BUSINESS JOURNAL

KLJ, a multi-disciplinary engineering and planning firm, is proud to announce that the company has been recognized as one of the nation’s Top 500 Design Firms by Engineering News Record (ENR). “This is an outstanding achievement for KLJ and evidence that we are positioned well strategically and have a great team who will continue to lead us to future successes,” said Chief Executive Officer Niles Hushka.

The Top 500 Design Firms list, published annually in April, ranks the 500 largest U.S. based designs firms, both publicly and privately held, based on design-specific revenue. Companies engaged in general contracting specialty contracting, engineering, architecture, planning and studies are ranked through an annual survey. The rankings are then divided into specific market categories

KLJ was ranked 16th in the Nation for telecommunications, as the 76th largest designer in the United States and as the 110th largest firm in the United States. The rankings established KLJ as the highest ranked firm that originated in the region.

“The accomplishment is a great way to begin our 75 year anniversary. We have taken calculated risks which have proven to be successful and we will continue to be a leader in the industry” said Hushka.

Since 1938, KLJ has provided multi-disciplinary engineering-based solutions for national, large-scale operations, with the local expertise to drive projects forward and deliver successful results. As an employee-owned firm with a focus on innovation and hard work, we help clients succeed by developing lasting infrastructure that responds to the social, civic and economic needs of our communities. KLJ currently has 18 office locations throughout North Dakota, South Dakota, Minnesota, Montana and Wyoming. For more information about KLJ, visit www.kljeng.com.

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We spoke with Burr Silver, CEO, Olympic Exploration & Production Company this week who took part in an exclusive interview sharing his views on the importance of mapping the extent, contribution and distribution of both reservoirs to accurately determine sweet spots and fully exploit both resources.

See A Preview Of The Interview Below:

Why is it important to accurately map the extent, contribution and distribution of the Bakken and Three Forks reservoirs to determine sweet spots?

If the Bakken/Three Forks is in fact an unconventional play, a well drilled anywhere in the Williston Basin where the Bakken is mature will recover 80 to 100,000 BO. Of course this is insufficient reserves to make the play profitable. However, if you have accurately mapped the members of the Bakken/Three Forks, you will have a better chance to predict sweet spots. Elm Coulee Field is an excellent example where facies mapping of the Bakken middle member along with production from vertical wells isolated a sweet spot. However, production from Bakken/Three Forks is a result of the sum of the history of the Williston Basin. For example, Antelope Field is a Bakken/Three Fork sweet spot caused by maximum flexure on a Laramide structure. Another possible natural fracture play could be produced by collapse of BOS members into salt voids caused by the solution of the Prairie Evaporite. So in that case, the Prairie Evaporite and age of the solution front would have to be accurately mapped.

Download The Full Interview Here

If you have any questions related to the summit, then please do not hesitate to call (1) 800 721 3915 or email info@american-business-conferences.com

If you are interested in joining E&P and Solution Provider peers at this unique event, and haven’t already registered, then secure your place online here today.

On behalf of American Business Conferences, I look forward to welcoming you to the Bakken and Three Forks Completions Congress 2013, returning to Denver on May 13-14.

By:  Bob van der Valk

Bakken crude oil production in North Dakota was up back up in February to a record 779,000 barrels a day. “The record likely will be shattered repeatedly this summer”, said Lynn Helms, director of the North Dakota Department of Mineral Resources, ” A dozen more rigs have been added to the arsenal drilling in the state” .

Helms forecasted, during his press briefing in Bismarck, ND on April 16, 2013, these numbers to go even higher in the summer and said: “Those middle five months of the year will see a big surge in production,” Crude oil production took a hit in the months of November 2012 thru January 2013 due to the extreme harsh weather conditions during those months shutting down most new drilling activity.

The Tale of the Tape:

New all-time high for production: 778,176 barrels per day — compared to February 2012: 737,787 barrels per day. That’s a five percent increase.

The number of producing wells is also at a new all-time high: 8,492

Permitting:

• March:     218
• February: 185
• January:   218

Comments:

The number of completions is well above the threshold needed to maintain production so oil production rate rose sharply, up 5.6%. The number of well completions doubled in February, over January, to 170.

The NDIC estimates that at the end of January there were about 375 wells waiting on completion.

Link: the Director’s Cut at the NDIC home page