Nexen Inc. (TSX:NXY)announced they have completed three new wells on their Horn River property bringing their total to five. The Company stated these five wells are on-tream and producing between 15 and 20 million cubic feet per day and that their current land position of 88,000 acres contains 3 to 6 Trillion cubic feet (“Tcf”) of gas. Nexen states their land position could support 500 to 700 wells.
Nexen and other company have also been realizing significant cost reductions and horizontal drilling and fracturing technology and methods continue to improve. In a company press release (link below) Nexen’s President and Chief Executive Officer, Mr. Marvin Romanow stated:
“We are making excellent progress in reducing costs and increasing well productivity on our Horn River shale gas acreage with more upside still to come. We are currently in the process of developing a winter drilling program that will continue to advance our understanding of this resource and allow us to make more progress on costs and well productivity. We view the Horn River basin as one of the largest and most prolific shale gas plays on the continent – an observation with which many others agree.”
Press Release: Nexen Announces More Horn River Shale Gas Success
