A settlement in a natural gas contract has been reached between
Devon Resources Investors and an unnamed natural gas purchaser,
Devon has announced.
The $1.6 million received from the purchaser will be used by
Devon to pay down its bank debt, which at year-end 1987 was $8.5
million, said Marian J. Moon, spokesperson for Devon.
The agreement also allows Devon to seek a buyer on the spot
market for any natural gas not sold to the purchaser, Moon said.
The settlement is for a dispute begun in mid-1986 over natural
gas volumes produced by wells that Devon had an interest in. . .
- A proposed $40 million research project by Conoco Inc. could
save millions of dollars by reducing the number of drilling
platforms required for offshore production of crude oil and natural
gas, the company said.
By improving drilling technology to increase the horizontal
reach of a well, offshore producing companies could reduce their
"If you can do it with one platform instead of two, you could
save millions on your development," said Sondra Fowler, a
spokesperson with Conoco.
The company hopes to get nine other companies involved in the
project, and has begun preliminary discussions with some companies,
she said. The $40 million includes engineering studies and
Horizontal, or directional, drilling is currently performed in
the industry, she said.
"But this is more aggressive than the current record by far, due
both to its angle and the length," Fowler said.
Part of the project is the drilling of a well in the United
Kingdom Sector of the North Sea that would have an angle of 72 to 75
degrees, a true vertical depth of 11,000 to 12,000 feet and lateral
displacement of between 28,000 and 32,000 feet. The most extended
reach well to date was drilled in the BAss Straits offshore
Australia with an angle of 69 to 72 degrees, a true vertical depth
of 7,974 feet and a lateral displacement of 15,082 feet.
Employees in Conoco's Ponca City research and development will
be involved in the development of drilling muds and drilling cuttings
systems for the project, Fowler said.
"Your angle is so flat, you need to get something to remove the
cuttings from the well," she said. . .
- The Oklahoma Corporation Commission's fees , rules and
regulatory power will be the subject of the next meeting of the Desk
and Derrick Club of Oklahoma City, set for 5:30 p.m. Monday at the
Petroleum Club, on the 36th floor of Liberty Tower. …