Operations
Operations

Our success comes from a deep understanding of the reservoir characteristics and access to the latest available drilling, completion and production technology to create natural conductive flow paths that enable access to hydrocarbons.

The New Source Difference: Specialized Production Processes

We use proven methods to produce oil and liquids-rich conventional resource plays. Our success comes from understanding the reservoir characteristics and using the latest available drilling, completion and production technology to create natural conductive flow paths that enable access to the hydrocarbons within. This advanced recovery technique makes it highly economical to produce from these reservoirs.

Along with horizontal and directional drilling, high-volume electric submersible pumps are used in our wells to reduce the hydrostatic pressure in the reservoir and pull water, gas and oil in a way that enables those formations to release oil and liquids-rich natural gas.

Specially designed separators installed on production pad sites separate out the water, gas and oil in a way that enables the hydrocarbon-bearing formations to release oil and liquids-rich natural gas. The water is sent to accredited disposal facilities through private transportation infrastructure. The natural gas flows into a gathering system and then to processing plants, while the oil is transported to the nearest pipeline.

With the implementation of specialized processes, we have the ability to potentially develop a new class of large-scale reservoir systems. Other reservoirs with high water saturation have been identified in the regions in which we currently operate, and we believe they exist in many other areas in which hydrocarbons have customarily been produced. Large reservoirs previously thought to be too high in water saturation to be productive potentially can be opened up to full-scale development involving the drilling and completion of hundreds of wells in a reservoir that can cover thousands of square miles.

Resource recovery relies upon exploitation of the reservoir through development versus exploration. This allows production utilizing the following steps:

  • Understanding the reservoir characteristics through complete geological analysis, extensive log analysis, core sampling where appropriate, geophysical review and economic review;
  • Optimally drilling the reservoir by using multiple horizontal legs to maximize exposure to the reservoir and optimize conductive flow paths to the wellbore, and drilling four 640-acre sections from one well pad; and
  • Harvesting fluids from the reservoir by pre-installing surface infrastructure, separating the fluids into oil, condensate, natural gas liquids, natural gas and water, and maximizing recovery through well placement to optimize the effect of wells working in concert.