Blue Ridge Mountain Resources Inc. (BRMR) said Monday two step-out wells in the Utica Shale retrograde condensate window of Washington County, OH, have de-risked about 6,700 net acres and are performing above expectations.
The wells were drilled in 2014 by Magnum Hunter Resources Corp. before the company filed for bankruptcy and rebranded last year as BRMR. The Farley 1304 and 1306 wells were drilled with average lateral lengths of 5,600 feet and completed in December. Sales started in January, and the wells have averaged a combined 11 MMcf/d of natural gas, 660 b/d of condensate and 760 b/d of natural gas liquids on controlled flowback.
BRMR said the condensate yield of 60 bbl per MMcf of natural gas is higher than the 20 bbl per MMcf expected in the area. Only 22 Utica wells have been permitted in Washington County to date, according to the Ohio Department of Natural Resources. That’s compared to nearly 3,000 Utica wells that have been permitted throughout eastern Ohio. Based on initial results, the company said there is potential development of 40-50 gross wells.
Another two dry gas wells in Monroe County, OH -- the Ormet 11-15 and the Ormet 7-15 -- came online last month and are producing a combined average rate of 18 MMcf/d.
The company is running two rigs in southeast Ohio, where it’s drilling another seven Utica wells on two pads in Monroe County. Sales from those wells are scheduled to occur by the end of the year. It is also completing a six-well Marcellus Shale pad in Tyler County, WV, with first production expected in June.
BRMR currently produces 100 MMcfe/d across 119,000 net acres in Ohio and West Virginia. BRMR is traded over-the-counter.