From dry holes
, to blowouts, to sketchy money men among a cast of other colorful oil patch characters, his story delivers a step-back-in-time look at a bygone era in an ever-evolving global industry--and he has a sage perspective to share on its future as well.
Although nonconventional plays enjoy higher probabilities of success (i.e., no dry holes
), the potential upside is generally limited compared with conventional, and the fully loaded breakeven price per produced barrel often well exceeded $50 in the lowest cost basins.
were drilled on the crest of the Qatar peninsula which, on geological maps, appears as a large closed anti-cline.
In Arkoma, there are a lot of dry holes
. "The bottom line is the old conventional gas accumulations are small, discrete targets.
Exploring for oil and gas is like gambling: it's all about playing probabilities, and using technology and skill to improve the odds.Until a well is bored into the ground - possibly thousands of feet below the surface, at a cost of millions or even tens of millions of dollars -- it is impossible to know for sure whether it will find hydrocarbons in commercially producible quantities.Some exploratory wells prove to be "dry holes
" or "dusters".
This existing Vernon shallow well field provides stable, low decline, long life production with low operating costs and the potential for the drilling of over 150 additional wells with a very low risk of dry holes
, stated the company.
We and the E&P industry are well aware of the statistics of early dry holes
drilled in the major fields around the world in order to bring them on line.
"It doesn't take many $10 million dry holes
to chase away investors."
I've dug more dry holes
than a regiment of gophers.
Part of the problem was created by the industry's amazing success record which has minimized geologic risk associated with the shale play, resulting in very few dry holes
being drilled, he says.