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Chesapeake’s Anadarko Basin Gas Well Hits Production Milestone

by Kenneth E. DuBose on July 19, 2011

Chesapeake’s Buffalo Creek 1-17 well in the Anadarko basin surpassed 60 Bcf of production. I would be willing to bet this has made some very happy landowners. Over $65 million has been paid to land owners since the well was completed in 2002.  I’m guess the families that live in the boundaries of this unit aren’t working quite as hard as they were prior to 2002. Almost 9 years into the wells productive life, it is still producing 8 mmcfd of gas. That’s multiples bigger than the average gas well completed onshore in the US.

“Oklahoma City-based Chesapeake said the Buffalo Creek 1-17 well in the Anadarko Basin in Beckham County recently surpassed cumulative gross production of more than 60 billion cubic feet of natural gas.”"Chesapeake began drilling the well in the Cunningham Sand of the Deep Springer formation in May 2002 and started selling gas from the well that December. The well produced an average of about 41 million cubic feet of natural gas per day during its first two years and is still producing about 8 million cubic feet of gas a day.”

“The company has spent about $9.9 million to drill and operate the well, which has produced total gross revenue of about $320 million. Of that, about $65 million has been paid to royalty owners and $15 million has been paid in state severance tax.”

Read the full news release at Forbes.com

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