NAPE: Geoscience gains hiking oil, gas recovery

Oil & Gas Journal

By OGJ editors
HOUSTON, Feb. 4 -- Stiff gas-on-gas competition and a shakeout are approaching in the North American unconventional gas business, attendees were told Feb. 4 at an introductory session to the North American Prospect Expo in Houston.

The American Association of Petroleum Landmen, chief NAPE sponsor, was expecting a record number of attendees and exhibitors at the exploration and production event in spite of what one speaker described as the world's worst postwar financial climate.

The industry can drill only 1-2%/year of the 31 million acres leased for shales in North America the last few years, said Mike Bahorich, executive vice-president of exploration and production, Apache Corp.

"We're getting ready for a real slugfest," said Bahorich, who predicted that the winning combination will be the best execution on the best acreage.

The advent of high-volume shale gas wells in 2007 reversed a 10-year decline in the average peak production rate and average estimated ultimate recovery for US gas wells, said Pete Stark, vice-president, industry relations, of IHS Corp.

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