Multi-Well Pad Will Sink OPEC
The Strangest Looking Octopus
The next energy revolution hitting the United States.
It’s called “the Octopus” because of its many tentacles
that extend from the core body.
Others call it multi-well pad drilling…
One company hit pay dirt with a technological advancement
that promises to propel the U.S. to energy superstar status.
Recently, energy company Encana (NYSE: ECA) completed a
mindblowing 51 wells on one well pad site to drill an entire canyon
in Parachute, CO.
Encana’s pad site is 4.6 acres in size above surface. However,
using its multi-well pad drilling technology, it was able to access
a full square mile of underground resource.
That’s 640 acres underground from a 4.6-acre above-ground pad
Apart from the pad site, the entire canyon remains green and
untouched as if nothing is going on but
the company will drill more gas from this site than it ever has from
any previous well pad.
That’s just one drilling site.
With the Octopus, multiple buried wells can be accessed.
Once it was proven how powerful this technology is, major oil producers began quietly bypassing traditional drilling methods in favor of the Octopus. Last year, Devon Energy (NYSE:DVN) drilled
36 wells from a single well pad site in the Marcellus Shale.
The Octopus is quickly becoming the norm.
The tentacles can stretch in opposite directions st the same time, siphoning oil
And it will put millions of dollars in the pockets of investors
who get in now to secure massive amounts of cash from soaring
U.S. oil production as a direct result of this technology.
It’s easy to see why.
Normally, for a company to drill just four wells using
traditional horizontal drilling, it would need four different pads or land sites, each covering about 7 acres of land. That’s a total of 28 acres of land needed for 4 wells.
The company drills one hole and then breaks down the rig
and hauls it to the next location. The rig then has to be built again
to start drilling the second hole, a process that takes no
fewer than five days…
But the Octopus (or multi-well pad) allows for those same four
wells (and as many as 18 wells, in fact) to be drilled from
the one single site. So one pad equals between 4 and 18 wells.
Even more impressive:
As many as 2,000 acres of shale reservoir can be tapped from
one single drill pad on just 7 acres of land and recover oil and
gas 8x faster than traditional horizontal drilling..