Apache Corporation (APA) is actively developing the various Granite Wash and has disclosed the development of the Canyon Wash at the Bivins Ranch project in Texas. The company has a 75% interest in 122,000 net acres here.
Apache Corporation said that the Bivins #401, the company’s initial well into the Granite Wash produced at an initial rate of 720 barrels of oil per day and has produced a cumulative 42,000 barrels of oil over the last nine months. The company estimates that the Bivins #401 Canyon Wash well will have an estimated ultimate recovery (EUR) of 175,000 barrels of oil.
Apache Corporation is conducting a seismic evaluation of 235 square miles of the Canyon Wash and plans a multi rig development program in 2012. The company said that the average well will cost $3 million and return from 25% to 42%.
Apache Corporation plans to drill six wells in 2011, and 100 wells from 2012 to 2015 into the Canyon Wash at the Bivins Ranch project.