Monday, December 28, 2009

[Top 10] #4: Mid-Bossier Shale – “The Stacked Play”

Remember that old Reece’s Peanut Butter Cup commercial, “two great tastes that taste great together?” That’s what the Haynesville and the Middle Bossier Shales represent to me.

While the Mid-Bossier might go by other names, it is the shale formation directly above a large swath of the Haynesville Shale. It was formed about 30 million years after the Haynesville and has somewhat different boundaries. Although they are the same types of geologic formation (not different like chocolate and peanut butter), their juxtaposition creates a wonderful stacked play for many land owners who have two huge natural gas formations beneath their feet.

The Mid-Bossier became a topic of conversation this summer when EnCana featured it in an analyst presentation.  Since then, other producers have shared information and a few have drilled wells into the shale.  Because it is shallower than the Haynesville Shale, the Mid-Bossier likely will not be developed in large scale until producers secure their leases in the deeper Haynesville Play.  While several producers suggest that it is not as rich a formation as the Haynesville, it is still a very significant find and will keep the drilling activity in north Louisiana and east Texas humming for a long time.

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