Brigham Exploration First Quarter 2000 Operational Update.Business Editors & Energy Writers AUSTIN Austin. 1 City (1990 pop. 21,907), seat of Mower co., SE Minn., on the Cedar River, near the Iowa line; inc. 1868. The commercial and industrial center of a rich farm region, it is noted as home to the Hormel meatpacking company, whose Spam Town museum , Texas--(BUSINESS WIRE)--May 11, 2000 Brigham Brigham may refer to the following: Place:
a North American term commonly used to describe heifers close to term with their first calf. natural gas discovery in its Anadarko Basin The Anadarko Basin is one of the most prolific natural gas reserves in North America, with ultimate gas production in excess of 100 trillion cubic feet of gas.[1] External links
References 1. province and a successful development well at Brigham's Home Run Field in its Texas Gulf Coast province. First Quarter 2000 Operational Results Brigham spud a total of eight wells during the first quarter in which it retained an aggregate average working interest of 34%. Seven of these wells have been completed and one has been plugged. Brigham's first quarter drilling was concentrated in its 3-D seismic projects in the Anadarko Basin and Gulf Coast provinces and targeted primarily natural gas exploration and development objectives. On a net basis, approximately 70% of these wells were located in the Anadarko Basin and 30% were in the Texas Gulf Coast. Brigham operated 92% of the net wells it participated in during the first quarter. Since the end of the first quarter, Brigham has spud four additional wells in which it has retained an aggregate average working interest of 59%. One of these wells is currently being completed, one well has been plugged and two wells are currently drilling. Brigham estimates its average net daily production volumes during the first quarter 2000 were approximately 17 million cubic feet of equivalent natural gas (MMcfe), 61% of which was natural gas. Excluding producing properties sold by the Company in mid- mid- pref. Middle: midbrain. 1999, Brigham's estimated net production volumes for the first quarter of 2000 increased 20% from the adjusted net volumes produced in the first quarter of 1999 and 4% over actual fourth quarter 1999 volumes. Net production growth in the first quarter 2000 was somewhat lower than management expected primarily due to delays in first production and lower stabilized sta·bi·lize v. sta·bi·lized, sta·bi·liz·ing, sta·bi·liz·es v.tr. 1. To make stable or steadfast. 2. rates from the Palmer State No. 2 confirmation well in the Home Run Field in Brooks County, Texas Brooks County is a county located in the U.S. state of Texas. As of 2000, the population is 7,976. Its county seat is Falfurrias6. Brooks is named for James Abijah Brooks, a Texas Ranger and legislator. Geography According to the U.S. , and declines in production volumes from a recently completed Frio well in Brazoria County, Texas Brazoria County is a county in the U.S. state of Texas located on the Gulf Coast within the Houston–Sugar Land–Baytown metropolitan area. Its county seat is Angleton, and its largest city is Pearland. As of the 2000 U.S. . As a result, Brigham estimates that its average net daily production rate at the end of the first quarter 2000 was approximately 18 MMcfe per day. Anadarko Basin Activity As previously announced, Brigham had a significant Springer discovery in its Anadarko Basin core province during the first quarter. This Springer discovery began producing to sales on May 2, and is currently producing at a pipeline curtailed rate of approximately 3 million cubic feet (MMcf) of natural gas and 310 barrels of oil per day. As pipeline capacity is increased over the next two to four weeks, Brigham intends to produce the well at an unstimulated rate of approximately 5 MMcf of natural gas and 400 barrels of oil per day, or 4.1 MMcfe per day net to the Company's approximate 56% revenue interest. Also in the Anadarko Basin, Brigham is completing another Morrow mor·row n. 1. The following day: resolved to set out on the morrow. 2. The time immediately subsequent to a particular event. 3. Archaic The morning. discovery in its Arnett Project, the Anne 5 No. 1, where the Company retains a 45% working interest. Drilled to a total depth of 11,000 feet, this Morrow discovery is expected to be tested and completed within the next 30 days. Brigham plans to spud four wells in its Anadarko Basin projects during the second quarter, including a deep Hunton test that offsets a currently producing well that has produced over 15 Bcfe to date. Brigham currently retains a 69% working interest in this proved undeveloped location, which would confirm a large 3-D imaged fault block with over 50 Bcfe of gross unrisked reserve potential. Gulf Coast Activity In its Texas Gulf Coast province, completion operations have recently begun on the Brigham-operated Palmer State No. 3 development well, which is an offset to the Company's successful Home Run Field confirmation well, the Palmer State No. 2. The Palmer State No. 3 encountered the prospective Vicksburg objectives approximately 130 structural feet high to the Palmer State No. 2. Recently acquired wireline logs and rotary Rotary can refer to:
n. 1. A wall that forms the side of something. 2. A side surface of an automobile tire, between the edge of the tread and the wheel rim. Noun 1. cores indicate that the Palmer State No. 3 encountered 113 feet of net pay with greater than 18% porosity porosity /po·ros·i·ty/ (por-os´it-e) the condition of being porous; a pore. po·ros·i·ty n. 1. The state or property of being porous. 2. in the Lower Vicksburg. These results compare favorably fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. to the currently producing Palmer State No. 2 well, which encountered 44 feet of net pay with greater than 18% porosity in the Lower Vicksburg. The Palmer State No. 2 is currently producing at a stabilized rate of approximately 9 MMcfe, or 2.6 MMcfe net to Brigham's revenue interest, at a flowing tubing pressure of 3,900 pounds per square inch Noun 1. pounds per square inch - a unit of pressure psi pressure unit - a unit measuring force per unit area . Brigham expects to begin production testing of the Palmer State No. 3 within the next 10 days, followed by fracture fracture, breaking of a bone. A simple fracture is one in which there is no contact of the broken bone with the outer air, i.e., the overlying tissues are intact. In a comminuted fracture the bone is splintered. stimulation operations on productive intervals in the well. Brigham anticipates that the next development well in the Home Run Field will spud by July. Brigham plans to spud six wells in its Texas Gulf Coast projects during the second quarter, including the Dinn No. 2 in its Caliente Project in Duval County, Texas Duval County is a county located in the U.S. state of Texas. In 2000, its population was 13,120. It is named for Burr H. Duval, a soldier in the Texas Revolution who died in the Goliad Massacre. The seat of the county is San Diego6. , where the Company retains a 50% working interest. Based on dip-meter and 3-D seismic data analysis, this well is an updip proved undeveloped offset to the Brigham's 1998 Dinn No. 1 Wilcox discovery, and will test a structure with approximately 50 Bcfe of gross unrisked reserve potential. Management Comment Bud Brigham, the Company's chairman, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. and president, stated, "Soon after the close of our financing transactions in late February, we began in earnest ear·nest 1 adj. 1. Marked by or showing deep sincerity or seriousness: an earnest gesture of goodwill. 2. Of an important or weighty nature; grave. See Synonyms at serious. our 2000 drilling program. Results to date are encouraging, highlighted by our recently completed Springer discovery in the Anadarko Basin and our currently completing Palmer State No. 3 development well in the Home Run Field. "While we experienced disappointing results in two of our bright spot tests during the quarter, these are trends that have experienced significant recent 3-D seismic-driven drilling successes. We therefore remain optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op about our deep inventory of amplitude-related prospects in the Texas Gulf Coast." Mr. Brigham continued, "We are early in our 2000 drilling program, and our recent successes are just beginning to impact our production volumes. The currently producing Palmer State No. 2 will fully impact our second quarter production, and our Springer discovery and Palmer State No. 3 well will fully impact our third quarter volumes. "In addition, we plan to spud 10 wells in our Anadarko Basin and Gulf Coast projects during the second quarter. Based on our recent and current well completions, combined with our accelerating 2000 drilling program, we expect to deliver sequential growth in quarterly production volumes during the remainder of 2000." About Brigham Exploration Brigham Exploration Company (www.bexp3d.com) is an independent exploration and production company that applies 3-D seismic imaging and other advanced technologies to systematically explore and develop onshore on·shore adj. 1. Moving or directed toward the shore: an onshore wind. 2. Located on the shore: an onshore beacon; an onshore patrol. adv. domestic natural gas and oil provinces. Forward-Looking Statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. Disclosure Except for the historical information contained herein, the matters discussed in this news release are forward looking statements that are based upon current expectations. Important factors that could cause actual results to differ materially from those in the forward looking statements include risks inherent in exploratory drilling activities, the timing and extent of changes in commodity prices, unforeseen engineering and mechanical or technological difficulties in drilling wells, availability of drilling rigs, land issues, federal and state regulatory developments and other risks more fully described in the company's filings with the Securities and Exchange Commission.
BRIGHAM EXPLORATION COMPANY
DRILLING ACTIVITY BY REGION
Gross Net WI%
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Anadarko Basin Wells Completed 3 1.9 63%
P&A Wells 0 0.0 0%
Wells Drilling 0 0.0 0%
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Total Wells Spud 3 1.9 63%
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Completion Rate 100% 100%
Gulf Coast Wells Completed(a) 4 0.4 10%
P&A Wells 1 0.5 46%
Wells Drilling 0 0.0 0%
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Total Wells Spud 5 0.9 17%
----- --- ---
Completion Rate 80% 46%
West Texas Wells Completed 0 0.0 0%
P&A Wells 0 0.0 0%
Wells Drilling 0 0.0 0%
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Total Wells Spud 0 0.0 0%
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Completion Rate 0% 0%
Overall Wells Completed 7 2.3 33%
P&A Wells 1 0.5 46%
Wells Drilling 0 0.0 0%
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Total Wells Spud 8 2.7 34%
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Completion Rate 88% 83%
(a) Includes three wells drilled and completed in the Esperson Dome dome, a roof circular or (rarely) elliptical in plan and usually hemispherical in form, placed over a circular, square, oblong, or polygonal space. Domes have been built with a wide variety of outlines and of various materials. Project in which Brigham retains an approximate 1.5% net profit interest before project payout pay·out n. 1. The act or an instance of paying out. 2. A percentage of corporate earnings that is paid as dividends to shareholders. and a variable 12%-20% back-in working interest after project payout depending upon attainment of certain investment return thresholds. |
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