Deep Basin Play
supply declining from conventional sources, tight gas clearly is, and will
be, an increasingly important source of natural gas supply in Canada and
the United States. Forward Energy has estimated tight gas production at
30% of total Western Canadian Sedimentary Basin (WCSB) output in recent
gas includes all the gas resources occurring as free gas in the
pores of clastic and carbonate reservoirs in regionally pervasive
continuous gas accumulations.
stimulation and/or advanced drilling technologies are required to
establish economic flow rates and recovery. Within this broad definition,
however, significant variances in reservoir properties occur. High
permeability zones are often referred to as ‘sweet spots’.
There are 3 major
continuous gas accumulations developed in the WCSB that we consider as
tight gas areas: Deep Basin, Jean Marie and Medicine Hat/Milk River. All
of these regions demonstrate recent growth.
WCSB Deep Basin
The Deep Basin region is
the largest and one of very few growth areas in the WCSB. The current
rate of 3.2 Bcfd is more than triple the 1990 rate. Over the 18 year
period, to 2007, the region’s production rate increased at a compound rate
exceeding 7% per year. The Deep Basin plays in aggregate accounted for
19% of all 2007 WCSB output. Forward Energy has characterized the
production performance of zones producing from 14 Deep Basin plays
covering 8 stratigraphic intervals.
Forward Energy’s Play Characterization
Forward Energy process, refined over the past eight years is rigorous,
consistent and complete. Commencing with data collection, the overall
process includes database development, analysis and interpretation, and
ends with output creation. Database and
analysis sub-processes are as follows.
Well Selection and Characterization
As the foundation for the
subsequent analysis, Forward Energy has established a well database.
Although initiated from public data sources (geoSCOUT, et al), many value
added features are incorporated. Years of experience at building similar
databases, combined with innovation, result in enhanced data. These
The outputs from
any phase of the Analysis are a mix of graphical
charts, summary tables, detailed maps and focused
With the recent changes to
regulations, commingling within Deep Basin wells has become a significant
operational process. While well production performance has generally
increased, there has been a coincident loss of precise source play
information. Forward Energy has developed proprietary characterization
processes to identify zones contributing to Multiplay performance.
assessments for unconventional gas are based on gas-in-place, or bottom-up
approaches. In contrast Forward Energy’s resource assessment is conducted
from a successful efforts, or top-down approach. Expectations for
undrilled areas are extrapolated based on existing connections of gas
production, future success rates, successful productivity and downspacing.
Each play, or sub-play is evaluated uniquely.
In the ‘Expected Development’ scenario, a total recoverable resource of
45 Tcf was forecast. This represents an increase of 100% from the 22 Tcf
developed and connected by the end of 2005.
The Benchmarking and Value
phases of the analysis are conducted as confidential and exclusive
projects. Significant value added can be achieved when incorporating
confidential client information on well results/forecasts, capital and
operating cost estimates, facility and infrastructure positions, working
interest positions, etc.
Forward Energy’s consistent
and rigorous study process, combined with our experience and insights are
a preeminent tool for any client evaluating an existing position within,
or considering entry into, the Deep Basin region of the WCSB.