Clearwater activity snapshot – top wells, licensing trends and production profiles

We’ve used our BOE Intel software to draw a polygon around the core Clearwater fairway (Figure 1) to show some interesting data on activity and production levels in the area.

Figure 1 – Clearwater core “defined area”

Using the main Clearwater area that we have drawn in, we can get the following report produced by BOE Intel:

Figure 2 – Activity report – last 6 months

From that report it is easy to spot a few interesting trends in this area over the last 6 months:

• Licensing activity is down slightly compared to 2022 levels, particularly since May of this year.
• The Clearwater is the dominant formation licensed, with 208 out of 279 licences in the last 6 months.
• Spur Petroleum continues to be the most active licensee (82 licences), followed by Headwater Exploration (60), Tamarack Valley (48), Woodcote Oil & Gas (20) and Baytex Energy (20).
• Spuds have held steady over the last 6 months at 40-47 spuds per month, with the exception of October 2023 which saw 64 spuds.
• Production in the pictured area has grown from 186.5 MBOE/d (87% oil) in May 2023, to 210.3 MBOE/d (87% oil) in October 2023, an increase of ~13% over that period.

GROSS LICENSED PRODUCTION PROFILES

It’s not surprising given the production profile of the Clearwater area as a whole that the production profiles at the corporate level for those Clearwater focused companies also appear to be rising.

Below we have shown the corporate gross licensed production (all wells licensed to the company at an assumed 100% working interest) for Headwater, Spur, and Tamarack Valley. Note that as this is an aggregation of all wells from the public domain, NGL and condensate values won’t show up due to single stream reporting in Alberta.

Nevertheless, these three companies tend to have corporate production that is quite close to gross licensed production at the BOE/d level, so these figures should show good intel on how the start of Q4 is shaping up. Spur and Headwater in particular set new record highs for gross licensed production in the month of October.

TOP CLEARWATER WELLS

At the individual well level, Baytex continues to show the highest rates in the play at Peavine. Using calendar day production metrics (actual volumes produced during the month), we show the list of top 15 Clearwater oil wells based on production from the month of October below.  You can also click on the link below to view the wells all on one map, or click on the UWIs individually to see their location and production profiles on Petro Ninja.

TOP 15 CLEARWATER OIL WELLS (click on map to view more detail)

Of note:

• The top 15 Clearwater oil wells had representation by Headwater (8 wells), Baytex (3), Tamarack Valley (2), Spur (1) and Canadian Natural Resources (1).
• Baytex’s top well at Peavine produced 1,128 bbl/d of oil in October – far and away the highest production rate out of the Clearwater this month.
• Tamarack’s well at Abee was the only well in the top 15 outside of the main Clearwater fairway. This appears to be one of the “fan wells” referenced by the company in its corporate presentation. Tamarack refers to this area in its presentation as Meanook, part of its Southern Clearwater assets.

TOP 15 CLEARWATER OIL WELLS – OCTOBER VOLUMES