OIL PATCH HOTLINE. September 6, 2012 Vol. 16, No. 18

Hess $1.7 Billion Drilling Program See Page 3 $3.00 OIL PATCH HOTLINE www.oph.hotlineprinting.com • September 6, 2012 • Vol. 16, No. 18 INSIDE THE P...
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Hess $1.7 Billion Drilling Program See Page 3

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OIL PATCH HOTLINE www.oph.hotlineprinting.com • September 6, 2012 • Vol. 16, No. 18 INSIDE THE PATCH by Dennis Blank, Editor Later this month, members of the ND Petroleum Council will hold their annual meeting at Medora. It is a great setting for the oil industry as it sees its growth not only in the recovery of the state’s oil resources but also in meeting the challenges of finding new and better ways to recover more oil, and to be more cognizant of the land and the landscape. Medora—a replica of a wild west town—is the product of Harold Schafer, a self-made millionaire whose generosity and entrepreneurial spirit created a famous tourist attraction in a state that had pretty much been barren of places for tourists to go. I met and interviewed Schafer many years ago. His love of God and his state permeated the conversation. His dedication to Medora was evident in every word he uttered and the joy he felt in making a place where history and the west come together. He loved history and antiques. His living room table was so famous, it had a book written about it. In his garage was a rare old Roosevelt car. His joy about history and life (Continued on Page 3)

1 Million BOPD Crude By Rail Rolls

As three more North Dakota crude oil rail terminals and storage tanks came on line or announced more expansion in August, BNSF Railway said it now has the capacity to move 1 million barrels a day. BNSF is moving 88.9 million barrels out of the Bakken now, a 7,000% increase since 2008. At the same time, producers such as Statoil ASA and Phillips66 were investing in more 650-barrel rail tanker cars to their Bakken crude to US refiners. “The ramp up of production from our onshore assets in North America grows rapidly,” said Torstein Hole, senior vice president of US Onshore for Statoil, which bought Brigham Oil and Gas assets. “The rail solution supporting the Bakken business will increase the value of the oil significantly. This translates to substantial profits as production continues to grow.” That company has invested in leasing 1,000 rail cars to move crude from North Dakota and its holdings in other oilfields. (Continued on page 2 )

Power Fuels Sold; Recycling Growth Seen

Power Fuels, the leading water, salt water and crude oil hauler in the Williston Basin, was bought in a $381 million stock and cash in deal by the publicly-held Heckmann Corp. of Pittsburgh that hopes to leverage the transaction into a $1 billion nationwide business that will expand into more water recycling ventures. Mark Johnsrud, the owner of Power Fuels, will become the new CEO for Heckman and also be added to the board of directors as vice chairman. (Continued on page 22 )

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Sinclair Will Pay $3.8M Refinery Fine

Sinclair Oil Corp. will pay $3.8 million in fines stemming from air pollution emission violations at two Wyoming refineries in Casper and Sinclair in a settlement reached in August with the US Dept. of Justice and the Environmental Protection Agency. Under the terms of the agreement, Sinclair will spend about $10.5 million on pollution control equipment to reduce emissions of nitrogen oxides to about 24 tons per year, sulfur dioxide by 385 tons per year and particulate matter by about 385 tons per year. “This settlement holds Sinclair accountable for exceeding the emission limits agreed to in a previous settlement for the Clean Air Act violations and ensures that the people of Wyoming have cleaner, healthier air,” said DOJ attorney Egnacia S. Moreno. Sinclair will upgrade its flare gas recovery system and install a selective catalytic reduction system. At the same time, Sinclair has reported four minor fires at its refinery near Rawlins in the last three months. Two fires in May resulted in severe burns to six employees.

Kodiak Posts High Online Bid Kodiak Oil and Gas, Inc. of Denver was high bidder at the ND Dept of Trust Lands online auction, paying $7,003 an acre for the 80acre tract in Williams County. According to Energy Net, which conducted the bidding, Kodiak paid a total of $571.854 for the parcel located in Sec. 14, T154N-R98W. The online bidding ended Aug. 16 with 23 registered to bid.

More Cars; More Tankage; More Terminals (Continued from Page 1)

“The number of trains will vary,” said Statoil spokesman Ola Morten Aanestad. “It will increase over time as our production grows. Currently we produce around 40,000 bpd, but this will increase.” The Statoil decision follows the announcement in June by Phillips66 that it will buy as many as 2,000 tanker cars to move crude by rail from North Dakota, Colorado and other oilfields BNSF said it is investing $197 million this year in North Dakota and Montana including 2,188 miles of track surfacing, as well as replacing 121 miles of track and 332,000 railroad ties. “Because this shale development growth came about so quickly, there has been a shortage of pipeline capacity to deliver production from new unconventional sources to coastal refiners,” said John Lanigan, executive vice president and chief marketing officer for BNSF. The railroad now serves eight terminals and that will increase to ten by the end of the year as it moves crude to 30% of refineries in eight states. Savage Industries started moving unit trains in late August out of its new Trenton, ND terminal for Statoil and other producers and will soon be loading two unit trains a day. At the same time, the Bakken Oil Express Terminal in Dickinson is ramping up to move two unit trains a day by December, according to Chris Lewis, terminal manager. It now has two 90,000-barrel holding tanks and is completing construction on an additional two storage tanks, each holding 105,000 barrels. That terminal is also adding more staff as it moves to a 24-hour facility and will start receiving frac sand shipments soon. In addition to the Dickinson and Savage terminals, more tankage is being added to some of the 13 rail loading terminals in the state. United Development Group is building a 95,000-barrel tank at its new VanHook terminal that will be ready in October. UDG also announced recent expansions at its St. James facilities, enabling it to unload more rail cars at one time. The increased tankage is being encouraged by producers. Continental Resources of Oklahoma City, the largest producer in the state, is encouraging more storage at the loading yards “which makes off loading trucks much more efficient”, said J. Warren Henry, vice president of investor relations. The latest figures from the ND Pipeline Authority show that 325,000 barrels a day—about 44% of North Dakota’s oil production—were being shipped out of the state by rail. What is pushing the demand for more rail transportation is the better pricing for Bakken Crude at markets such as St. James, LA where the price paid has been about 18% difference to the posted Brent crude price. Even so, eastern refiners are also offering attractive pricing as Hess Corp. and others now have the flexibility to move their oil to more competitive markets. EOG Resources and NuStar Logistics partnered to complete a new 70,000-barrel-per-day unit train offloading facility at St. James in May for crude oil deliveries from North Dakota and Texas. The partnership exceeded a $40 million investment, installed two new storage tanks with a total capacity of 360,000 barrels and additional track for unit trains. 2

Hess Wants $1.7 Billion Drilling Program in McKenzie

Hess Corp. asked for approval of a massive drilling program of 159 horizontal wells costing over $1.7 billion in McKenzie County. In an Aug. 22 hearing before the ND Oil & Gas Division, the operator estimated the average recovery per well at 511,000 barrels of oil on a 30-day initial production of 1,342 BOPD. Hess asked for approval of seventeen 1280-acre spacing units with eight wells each and an overlapping 2560-acre spacing unit in sections 9, 10, 15 & 16, T151N-R95W with three wells and 640-acre spacing with four wells on Sec. 9, T150N-R95W. The 1280-acre spacing would be located in sections 3 & 4, 5 & 6, 7 & 18, 8 & 17, 10 & 11, T150N-R95W; sections 3 & 4, 5 & 6, 7 & 18, 8 &17, 9 & 10, 15 & 16, 19 & 20, 21 & 22, 28 & 33, 29 & 32, 30 & 31, T151N-R95W and sections 25 &36, T151N-R96W. At the same hearing, it also asked for approval to drill 16 wells on two different 1280-acre spacing units, also in McKenzie County, estimating the same amount of recovery per well and capital expenditure of $10.5 million per well. In Stark County, Hess wanted approval of six wells per 1280-acre spacing unit in sections 5, 7, 8, T140N-R95W.

Savage Trenton Terminal Moving Unit Trains

Completion of Savage Industries crude rail loading terminal at Trenton, ND, enables the company to move unit trains from the 274-acre facility to refinery destinations on the east and west coasts as well as the St. James, La market. It is supported by 298,000 barrels of tankage on the location. With an 8,300-foot loop track, the terminal has the capacity to service two 118-tanker car unit trains. One tanker car holds about 650 barrels. “This terminal adds crude by rail transportation to the area’s existing pipeline capacity, to maximize the options producers have to get crude to refineries,” said Nathan Savage, senior vice president for business development. “We are excited to provide a unique open terminal that will meet a critical need in the oil industry.” Since, Dec., 2011, Savage has been loading tanker trucks directly on rail tanker cars. Savage will also serve as a receiving station for incoming shipments of frac sand, aggregates, tubular goods, natural gas liquids, construction materials and various bulk products. “We look forward to working with Savage and other producers and receivers to expand oil by rail shipments while helping to create more jobs and reduce our dependence on overseas production,” said Dave Garin, group vice president for industrial products for BNSF Railway. The terminal has access to BNSF main track and has several truck receiving stations and tankage.

Between five and seven crude oil unit trains leave the Savage Industries terminal in Trenton, ND every week. Shown here are the automatic loading facilities that can fill twelve 650-barrel tanker cars at a time. 3

INSIDE THE PATCH (Continued from Page 1)

was infectious and so hopefully that spirit will prevail during the industry meeting. R e p u b l i c a n Pre s i d e n t i a l candidate Mitt Romney unveiled his energy plan last month that would create 3 million new jobs, open up more federal land for exploration and give the states more regulator y authorit y instead of the heavy hand of the federal government. The industry applauded this new direction. “Western Energy Alliance is pleased that Governor Romney’s energy plan recognizes that empowering states, rather than imposing a one-size-fits-all federal government approach, is the right way to increase American energy, create jobs, and grow the economy,” said Kathleen Sgamma, a WEA executive. What a contrast to four years of the Obama Administration’s heavy hand towards the industry, which squeezed its administrators to slow down permitting, delay drilling in the Gulf of Mexico. Its harsh, hostile attitude was exemplified in the EPA administrator from Dallas who sought to “crucify” the oil and gas industry. If Romney is elected Nov. 6—and we believe he will be—watch the news the day after and see how quickly business and banks spend money to get this country going again. Part of the problem with big government and Congress has been what I call the “hand out” mentality. If congressmen came back to their states with loans and grants, they believed that guaranteed reelection. We have gotten used to the idea that if towns and counties need a new bridge, a new road, a new sewer plant, they believe Washington, DC will also be there to pick up part or all of the tab. To secure even more votes, politicians starting getting more grants for foolish things. A good example was the $450,000 grant a couple of years ago to the Basin Electric from former Sen. Byron Dorgan, a Democrat, to see if North Dakota needed a new refinery. Fact (Continued on page 52)

QEP Proposes A Dozen Lake Wells

QEP Energy Co. of Denver said it would use 55% less surface area and save $675,000 by drilling 12 wells from a single pad on 2560-acre spacing under Lake Sakakawea. The area is located both in Dunn and McLean counties in sections 23 & 26, 24 & 25, T149N-R91W. The company, which recently increased its acreage position in North Dakota, said it would also use “batch drilling” system that would save money and drilling time. Using this technique, wells would be drilled to the seven-inch casing point in groups of four wells. Drill pipe is changed and mud weight increased as the laterals are drilled. “Batch drilling combined with skidding to wells within clusters saves three to five days per well,” QEP told the ND Industrial Commission. In a hearing before the commission’s oil & gas division Aug. 22, QEP proposed the 12-well pad because most of the area is under water and the rugged land has several archeological and cultural sites. The company estimated each well would cost $11 million, have an ultimate recovery of 481,000 barrels and drilling would start in 2014.

QEP Resources of Denver wants to drill 12 horizontal wells off a single well pad on 2,560-acre spacing under Lake Sakakawea, for a cost savings of $675,000.

QEP Buys Williston Basin Production QEP Resources of Denver paid $243 million to acquire 73 producing wells and leases on 28,000 net acres in North Dakota from Black Hills Corp. of Rapid City. Production from these assets, located 12 miles west of its current holdings, total 149,000 barrels of oil and 171,000 Mcf of gas.

the Bakken and Three Forks formations, as evidenced by above average well performance and EURs from wells drilled to-date in both reservoirs,” said Chuck Stanley, chairman, president and CEO of QEP. “We expect the growth potential of these assets to have a significant impact on our overall production, and more specifically on our crude oil production.”

“The acquisition will add a new contiguous block of QEP-operated acreage in a localized ‘sweet spot’ for both

In another deal, QEP paid $268 million to Unit Corp. for producing assets in Texas.

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BakkenLink Start Up OK’d by PSC

The ND Public Service Commission late in August authorized the start of construction on the $126.5 million BakkenLink crude oil pipeline that runs over 123 miles from Tioga south into Stark County. Dunn County has been eliminated in the routing of the pipeline which will cross under Lake Sakakawea and also feeds into Billings and McKenzie counties. Great Northern Midstream, which is the parent company of BakkenLink, has received initial shipper support for moving 65,000 BOPD. The company is still waiting on formal approval from the US Army Corps of Engineers and the Bureau of Land Management to cross under Lake Sakakawea. The 12-inch main pipeline wll also have three eight-inch laterals to connect to expanding oilfields.

MPA Opposes New State Pipeline Regulators

While several environmental groups have called for more state oversight of pipeline safety, the Montana Petroleum Assn. said in August the federal agency that already regulates pipelines is much better suited to do the job rather than creating more state agencies. “Duplicate regulatory bodies have the ability to create a confusing and sometimes contradictory regulatory environment, including conflicting jurisdictions,” said David A. Galt, executive director of the MPA. The MPA urged the state to support the work of the existing regulators rather creating “redundant and potentially conflicting regulatory bodies”, Galt said. The issue came up at the Montana Oil Pipeline Safety Review Committee meeting in Helena as it considered recommendations including new state laws to regulate pipeline work. The committee was created following an accident in the Yellowstone River a year ago during flooding when an estimated 1,000 barrels from the ExxonMobil crude oil line under the river bed broke and was released into the flood waters. At the same time the Pipeline and Hazardous Materials Safety Administration under the US Dept. of Transportation reported on the progress of remediation work of three pipelines crossing creeks or rivers will be wrapped up this year. That included ExxonMobil, CHS and Phillips 66 pipelines.

6

Two Waste Oil Treating Facilities Seek ND Approval

Two separate companies sought approval in August for waste oil treating facilities in North Dakota’s McKenzie County. Marquis Alliance Energy Group USA, Inc. of Denver asked the ND Industrial Commission for approval to build a multi-faceted treating facility in Sec. 14, T152N-R96W. TD Services of Dickinson, ND wants approval to set up a plant in Sec. 35, T151N-R96W. The Marquis facility would have two 1,000-barrel waste heated process tanks and two 1,000 barrel heated mud tanks. In addition to other equipment including an off loading facility, the company will meter clean oil tank sales. Salt water will be sent to a disposal well and sand sent to a waste processing tank. TD plans to have a mix tank for chemical treatment if necessary and then run the waste oil and fluids through a shaker to remove large solids. Salt water will also be separated for a disposal into a well system. The 24-hour facility estimates it could handle up to 500 barrels a day. Solids will be put into a solid waste holding bin and then taken to approval disposal facility.

Protests On Salt Well Aired In ND

North Dakota state regulators heard protests against a proposed salt water disposal well in Dunn County at an Aug. 22 hearing in Bismarck. Most of the objections from nearby landowners centered on noise and additional truck traffic at the location in Sec. 18, T144N-R95W proposed by Borejaks Energy Services. The company said it has agreed to take water samples from nearby fresh water wells and solve the issue over noise coming from the water trucks’ “Jake” engine brakes. O n e l a n d o w n e r, D e l b e r t Koberstine, said the disposal well “could potentially ruin domestic water sources of nearby homes”. A n o t h e r l a n d o w n e r, R o b e r t Kovaloff, said the additional truck traffic would cause congestion and increase the risk of accidents.

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CRUDE OIL PRICES

NATURAL GAS PRICES

Crude oil prices jumped on the New York Mercantile Exchange Sept. 4 in early trading, where the price went up to $97.35 a barrel for September delivery. The price for Brent crude was listed at $114.93 and WTI Cushing was at $96.00.

Even with half of the natural gas production still shut down in the Gulf of Mexico, prices continued to remain steady Sept. 4 as traders at the New York Mercantile Exchange paid $2.86 per mmBTU for September delivery.

Central banks in the US and Europe indicated there could be more stimulus to boost economic growth, which would spur the demand for raw materials including oil.

The price of natural gas is expected to stay about the same for the next month, according to financial traders, until more demand increases with cooler weather. Inventories still remain high as well.

“Speculators are looking to bet that the European Community Bank will deliver more stimulus,” Michael Poulsen, an analyst at Global Risk Management in Middelfart, Denmark, told Bloomberg. “It will be a balancing act for the ECB. In the oil market, the medium- and long-term trend remains for higher prices.”

The Henry Hub benchmark spot price was at $2.74 per mmBTU. The latest spot prices paid at these regional hubs on Sept. 4 were: Chicago City Gate............... .$2.72

Here are the latest prices for the upper Rocky Mountain states from Plains Marketing as of Aug. 31: Plains Colorado Western............................. $81.08 D-J Basin............................................. $82.30 Colorado Southeastern.................... $83.85 Williston Basin Sweet....................... $71.18 Williston Basin Sour.......................... $74.58 Wyoming Sweet................................ $78.10 SW Wyoming Sweet.......................... $80.58 WY General Sour............................... $56.78 WY Asphaltic Sour............................ $64.83 Utah Black Wax.................................. $81.20

Questar................................. $2.50 Opal Hub............................... $2.60 Ventura, IA Hub................... $2.79 For the most recent gas price updates, visit the Oil Patch Hotline website: www.oph.hotlineprinting.com

US Rig Count The nationwide rig count on Aug. 31 dropped four rigs for a total of 1,894 rigs, and was 74 less than were drilling at this same time last year, according to Baker Hughes.

For the most recent oil price updates, visit the Oil Patch Hotline website: www.oph.hotlineprinting.com

There were 1,419 drilling for oil and 473 drilling for gas, and 2 were listed as miscellaneous in the latest tally. In the last two weeks, North Dakota dropped five rigs and Colorado lost two. The latest count for the upper Rocky Mountain area as of Aug. 31 is: Colorado................... 61 Montana.................... 22 North Dakota.......... 192 South Dakota.............. 1 Utah........................... 39 Wyoming................... 52

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KEN/THREE SM FORKS Adds Rig

ENERGY INDUSTRY STOCKS The latest stock prices of energy companies operating in the upper Rocky Mountain region, as of the close of trading September 4, are listed below. Price change since August 7 is indicated by up➚ or down➘ arrow. No arrow indicates no change. Editor’s note: If we have overlooked your company, please send company information to us at: [email protected]

GOOSENECK ~35,000 acres

10.3

10.4 RAVEN ~37,000 acres

Canada

BEAR DEN ~14,000 acres

Anadarko Petroleum (APC)...................................$69.13➘ Baker Hughes Incorporated (BHI).......................$44.66➘ Basic Energy Services (BAS)..................................$10.69➘ Bill Barrett Corp. (BBG)............................................$22.07➘ BP (BP)..........................................................................$41.63➘ ConocoPhillips (COP)..............................................$56.21➘ Continental Resources (CLR).................................$73.20➚ Devon Energy (DVN)...............................................$57.45➘  Dresser-Rand Co. (DRC)..........................................$49.56➚ Enbridge (ENB)..........................................................$38.74➘ Encana Corp. (ECA)..................................................$21.87➘ Enerplus Resources (ERF).......................................$15.80➚ Ensign Resource Svc. Group (ESI.TO)..................$15.01➘ EOG Resources Inc. (EOG)................................... $109.32➚ ExxonMobil Corp. (XOM)........................................$87.12➘ Halcon (HK) ......................................................... $7.80➚ Halliburton (HAL).....................................................$32.15➘ Helmerich & Payne (HP).........................................$44.27➘ Hess Corp. (HES)........................................................$49.65➚ Key Energy Services (KEG)....................................... $7.69➘ Kodiak Oil and Gas (KOG)........................................ $8.95➚ Lufkin Industries (LUFK).........................................$52.27➚ Marathon Oil Corp. (MRO).....................................$27.45➚ MDU Resources Group (MDU)..............................$21.82➘ Nabors Industries Ltd. (NBR).................................$14.58➘ National Oilwell Varco (NOV)................................$78.07➚ Noble Energy (NBL).................................................$86.73➘ Northern Oil & Gas (NOG)......................................$16.82➚ Oasis Petroleum (OAS)............................................$29.60➚ Occidental Petroleum / Oxy USA (OXY)............$83.11➘ ONEOK Partners (OKS)............................................$56.29➘ Patterson-UTI Energy (PTEN)................................$14.92➘ Pioneer Drilling (PDC).............................................$28.66➘ Plains All-American Pipeline LP (PAA)................$85.75➘ QEP Resources (QEP).............................................. $28.68➚ SM Energy (SM).........................................................$47.69➚ Schlumberger (SLB).................................................$71.42➘ Statoil ASA (STO)......................................................$25.49➚ Tesoro Corp. (TSO)...................................................$39.31➚ Ultra Petroleum (UPL).............................................$20.40➘ Weatherford International (WFT)........................$11.64➘ Whiting Petroleum Corp. (WLL)...........................$45.45➚

hts

rig to the Q12, which en and Bear

started to ogram, drilling

 Focus area total net acreage: ~87,000 MT

ND

 Total Bakken/TFS Net Acreage  ~196,000

SM Energy of Denver said capital spending for the year in its Williston Basin holdings will range between $160 million ad $185 million as it keeps four rigs drilling. Production for the company is now at 10,400 BOPD and next year as it moves towards more infill and multi-well pad drilling. SM Energy is also participating in a number of non-operated wells.

11

THANK YOU!

The American Petroleum Institute (API) would like to extend their appreciation and thanks to the sponsors and the many volunteers giving their time and support to our 32nd Annual API Golf Tournament that was held at The Heart River Golf Course on August 18th & 19th. Without all of the support and help, this tournament would not be possible.

We Would Like To Thank The Following Sponsors For Making This Event Possible: CUDD ENERGY CYCLONE DRILLING DCT CONSULTING DTC ENERGY GROUP DTE DAKOTA COMMUNITY BANK DAK-TANA WIRELINE SERVICE DAKOTA HOTSHOT EXPRESS DAKOTA PRODUCTION DAKOTA SPORTS DAN FLADELANDíS WELL SVC. DAN PORTER MOTORS DANE CHEMCO, INC. DARBY’S WELDING DENBURY ONSHORE LLC DENNYíS ELECTRIC DIAMOND TRUCK EQUIPMENT DICKINSON SUPPLY DIRECTIONAL DRILLING CO DRY BULK RENTALS LLC DYNAFLO ARTIFICIAL LIFT DTC ENERGY GROUP EOG RESOURCES EAGLE CONSTRUCTION EAGLE OILFIELD SERVICE EAGLE OPERATING INC. EARTHSTONE ENERGY, INC EAST END AUTO ENERGY ASSOCIATES, INC ENSERCO ENERGY INC. ENSIGN US DRILLING ELKS LODGE EXPRESSO LUBE FARMERS UNION OIL/STANLEY FEININGER ELECTRIC FISHER SAND & GRAVEL FRANKIE’S WEST SIDE FRANZ CONSTRUCTION FRANK CONSULTING INC FREEDOM OILFIELD SERVICES GC PRODUCTS, INC. GEAR UP & GET OUT THERE GEO DRILLING FLUIDS GEORGE OGDEN GEORGEíS TIRE SHOP, LTD GRACO FISHING TOOLS FRANK GENTRY

AES DRILLING FLUIDS, LLC ADVANCED CUSTOM CONTRACT AGGREKO AIRGAS AL HARTSE INC. ALTERNATIVE WRECKER SVC. AMERICAN CASING AMERICAN BANK CENTER ANCHOR DRILLING FLUIDS ARMSTRONG OIL ASTRO-CHEM LAB, INC AWTY LOGISTICS B & B HOT OIL SERVICE BADLANDS POWER FUELS BAKKEN TRANSLOAD, LLC BAKER HUGHES INC. BAKER OIL TOOLS BALLARD PETROLEUM BALON VALVES BARANKO BROTHERS, INC. BEALL TRAILERS OF ND BELL SUPPLY BIG SKY WELL SERVICE BLACK HILLS TRUCKING BLACK WARRIOR WIRELINE BOB’S OILFIELD SERVICE BOESPFLUG TRAILERS BONETRAILL RENTAL BOONEíS BITS BORSHEIM CRANE SERVICE BOSCH LUMBER BRADY MARTZ & ASSOCIATES BRAUN DISTRIBUTING BRENNTAG PACIFIC BRANSON CONSULTING RANDY BRISCOE BUTLER MACHINE CARE, INC. CATHEDRAL ENERGY SVCS. CENTRAL HYDRAULIC, INC CHAMPION TECHNOLOGIES CHARBONNEAU CAR CENTER CHEMICAL CONSULTANTS CITATION OIL & GAS CJ’s ROLLOFF CONTINENTAL RESOURCES

GMX RESOURCES GRACO FISHING & RENTAL TOOL GREAT PLAINS NATIONAL BANK. GRIFFITH EX/G&G GARBAGE GYRODATA HALLIBURTON HENLEY & ASSOCIATES JOE HERMAN HESS CORPORATION HIGH COUNTRY FUSION CO. HIGH PLAINS INC HIGHLANDS ENGINEERING HLEBECHUK CONSTRUCTION HUTZ WELDING INDUSTRIAL ELECTRIC INTEGRATED PRODUCTION INTEGRITIY TESTING SERVICE IRONARC WELDING IRONMEN OF WOODWARD J & L FENCING & PITLINERS JACAM CHEMICALS JAMES OILWELL SERVICE JAY R’S AUTOBODY JERICHO SERVICE JEROME’S DISTRIBUTING JOE’S CASING JP STEEL & SUPPLY JUST-IN GLASS K & R ROUSTABOUT KAT LEASING KADRMAS LEE AND JACKSON KELLY’S MCDONALDS KEY ENERGY SERVICES KIRKWOOD BANK & TRUST KODIAK OIL & GAS USA, INC KOHLER COMMUNICATIONS BRIAN KOSKOVICH KNIGHT OIL TOOLS KRANKS’ LANDSCAPING LEGEND ENERGY SERVICES LIGHT TOWER RENTALS LOGO MAGIC LUFF EXPLORATION LUFFKIN LUND OIL, INC M & K HOTSHOT & TRUCKING MAGNA ENERGY SERVICE

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POSEIDON CONCEPTS PRAIRIE FUELS-MERWIN INC PRECESION MACHINE PRAIRIE RENTALS PRODUCTION ANALYSIS PROFESSIONAL VENDING PUMP SYSTEMS QUAIL TOOLS QUALITY INSULATION QUINN PUMPS RAVEN DRILLING RPM CONSULTING R & R AUTO RDO EQUIPMENT RAMADA RED CLAY ENERGY SERVICE RED ROCK TRANSPORTATION REED ENERGY CONSULTING REITER INDUSTRIES ROD’S HOT OIL SERVICE ROCKWATER ROER’S WEST LLC ARLIE RONHOLDT CHET RONHOLDT GARY RONHOLDT ROUGHRIDER ELECTRIC SBM SAMPLE AUTO SALES SAVANNA WELL SERVICE SAX MOTORS S & K STACK TESTING, INC SBG ENERGY SERVICE SAFETY TECHNOLOGIES SAMSON RESOURCES SCHLUMBERGER PUMPING SCHMIDT TRANSMISSION SCIENTIFIC DRILLING INTL. SINCLAIR OIL & GAS JEFF SKAARE SLAWSON EXPLORATIONS SMITH DRILLING TOOLS JESSIE SMYLE SPEC-TECH INC STALLION ROCKIES LTD. STEFFES CORP. STEIER OILFIELD SUNOCO LOGISTICS SUND MANUFACTURING SUNLAND FIELD SERVICES SUN WELL SERVICE SURE SIGN

SWM INTERNATIONAL INC TARPON ENERGY TEAM WELL SERVICE TERVITA TESORO LOGISTICS 3 CHEM LLC TIGER DISCOUNT TITAN MACHINERY TOTAL SAFETY TOOZ CONSTRUCTION TOP-CO LP TRANSFIELD SERVICE TROTTER CONSTRUCTION TRUE NORTH STEEL ULM CORPORATION ULTERRA DRILLING TECH. UNITED ENERGY TRADING LLC VENTURE ENERGY SVCS. VERSATILE ENERGY SERVICE WEATHERFORD ALS WEATHERFORD COMPLETIONS WELL PRO WELLS FARGO INSURANCE WELLSITE LEASING WELTER CONSULTING, INC. WESTERN FIRE & SAFETY WESTLIE MOTOR COMPANY WHITING OIL & GAS WILDFIRE HYDROHEATERS WILLY’S HYDROTEST SERVICE WISCO WYOMING CASING SERVICE WYLIE BICE TRUCKING, LLC YANKEE FISHING & RENTALS

• The (API) American Petroleum Institute would like to thank everyone involved with the Catfish Fry at the Dickinson Rec Center. • Special thanks to our sponsors: Bob’s Oilfield - High Plains, Inc. MBI Services - Trotters Construction - Well Pro Fishing & Rental Wyoming Casing Service. • Thanks to Nabors Well Service for providing breakfast. • Thanks to Industrial Electric, Joe Herrman, American Casing, Cory Branson, Randy Briscoe & Wyoming Casing for providing free beer and pop. • Thanks to the Beer Hole sponsors, Wyoming Casing & Dickinson Ramada. • Thanks to Black Hills Trucking for the Thursday Night Brats. • Thanks to Stallion and Halliburton for the banquet. • Thanks to Tom Osborne & Legend Energy Services for sponsoring the Sunday night dinner. • Thanks the API for providing the entertainment of K-Hook. • Thanks to Baranko Bros. for limo service.

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ND Approval Sought For McKenzie Spacing Continental Resources estimated recovery from each of the four wells it is proposing in a 1280-acre spacing unit in McKenzie County would be 495,000 barrels based on an initial production rate of 800 BOPD. At Aug. 23 hearing before the ND Oil & Gas Division, Continental asked for approval of the spacing in sections 15 & 22, 27 & 34, T152N-R99W. Also in McKenzie County, Burlington Resources Oil & Gas Co LP asked for approval to dril seven horizontal wells on 1280-acre spacing in sections 14 & 23, T152N-R95W and up to eight wells on 1280-acre spacing in sections 15 & 22, T152N-R95W. In addition, Burlington requested approval of an over lapping 2560-acre spacing unit in sections 14, 15, 22 & 23, T152N-R95W. The company estimated drilling costs would total $10 million and anticipated an ultimate recovery from each well of 450,000 barrels of crude oil. Burlington also asked for approval in the same county to drilling four horizontal wells on 1280-acre spacing in sections 1 & 12, 2 & 11, 13 & 24, 14 & 23, T148N-R98W as well as two overlapping 2560-acre spacing units in sections 1 & 2, 11 & 12, 13, 414 23 & 24, T148N-R98W.

Long Lateral Well Okay Wanted By OXY

OXY USA, Inc. asked for approval to set up a 1920-acre drilling or spacing unit in Dunn County where it wants to drill four wells exceeding 25,000 feet at a cost $11.8 million each. At a hearing before Aug. 22 before the ND Oil & Gas Division, OXY asked for the spacing in sections 23, 26 & 35, T142N-R96W with lateral lengths reaching 15,000 feet—about 5,000 feet farther than most laterals. The company expects an ultimate recovery of 700,000 barrels per well. In other business, Slawson Exploration of Denver sought approval for 1280-acre spacing in Mountrail County in sections 15 & 22, T151NR92W for six wells with an expected ultimate recovery of 450,000 barrels and a single well drilling cost of $8.2 million.

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Bakken Finance Summit Features Top Executives Several issues included crude oil rail expansion, pipeline building, housing and financial investments will all be addressed in a three-day conference Oct. 23-25 in Denver at the Westin Denver Downtown.

Rick E. Muncrief

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Among the speakers addressing the Bakken Infrastructure Finance & Development Summit will be Continental Resources executive Rick E. Muncrief and Energy Information Administration official Michael Schaal.

Also on a tap is an analysis of Bakken production economics compared to capacity for crude oil, NGLs and natural gas by Jodi Quinnell, an analyst with Bentek Energy. There is a panel presentation on the pipeline build out as well as refinery expansion updates. Larry Daily, president of Alter Logistics, will compare the progress of pipelines and crude oil unit train movement while a panel of industry leaders will evaluate rail opportunities in North Dakota led by Paul Hentschke with Transystems. Kevin Cook, global director of the rail transpiration group for Midland Manufacturing, will detail the status of tanker car manufacturing. For more information on registering, email: [email protected] com and use Registration Code BK1B12 or call 1-888 888-4444.

Corinthian Seeks OK For Bottineau Wells Corinthian Exploration (USA) Corp. of Souris, ND asked for approval of spacing in Bottineau County to drill shallow horizontal wells with an expected recovery of 60,000 barrels of crude oil. The company wants to drill three wells on 480-acre spacing in sections 33 & 34, T164N-R77W and Sec. 4, T163N-R77W. At a hearing before the ND Oil & Gas Division Aug. 23, the company also asked for 320acre spacing as well as 160-acre spacing in the same county. The wells would be subject to 15-stage fracture stimulations. Corinthian estimated it would cost $800,000 to drill each well in Sec. 35, T164N-R77W as an exce p t i on to t h e a p p li c a bl e location rules set by the state.

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Bakken Differential Prices Analyzed At Pipeline Conference The differential prices paid for Bakken crude oil will be analyzed at the Platts Pipeline Development & Expansion conference Sept. 20-21 in Houston at the Houston Marriott West Loop. The impact of differential prices and particularly their impact on refineries will be discussed by John Auers, senior vice president for Turner, Mason & Co., while Lucretia Cardenas, associate editor of Americas Crude Oil, will look at Bakken oil price impact after the Seaway Pipeline reversal is completed. Lynn Moser, owner of Inland Oil and Gas of Bismarck, was recently presented with the Landman of the Year award from the Landman’s Assn. of ND. She is shown here with her father, Berk Strothman, who received the award in 1982. Moser has served as president and on the board of L.A.N.D and also serves as a board member of the ND Petroleum Council.

At the same time, James Cairns, vice president of petroleum and chemicals for CN Rail, and Gary Lewis, senior vice president for Rail America, will both look at the growth of crude rail programs and new destinations that are opening up in North Dakota. Other speakers will discuss, several pipeline projects as well as he Houston Ship Channel Pipeline and Storage Project.

Canadian Firm Launches WY Manufacturing

To register for the conference, email [email protected] com or call 866 355-2930.

Ridgeline Energy Services, Inc. of Calgary is locating new manufacturing facilities on a former school campus in Deaver, WY. The seven-acre campus has five buildings totaling 65,500 square feet where it will manufacture storage systems, convergence and degassing systems and molded tank productions for use on its waste water treatment facilities. “This facility will enable Ridgeline to lower manufacturing costs, accelerate system delivery times and continue the development of the technology,” said Ridgeline CEO Tony Cor. “We look forward to revamping production in our Wyoming facility to support our growth going forward.” Ridgeline is paying a small annual lease fee and has the option to buy the buildings in the future.

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Heckmann Purchase Spreads Power Fuels Business

(Continued from Page 1)

The sale, which includes $125 million in cash and 95 million shares of Heckman with a total value of $256 million, is based on a price of $2.69 a share. Heckmann will also assume $150 million of Power Fuels debt and the transaction is expected to close in the fourth quarter.

Heckman has set up a recycling division headed by James Devlin who will lead the expansion of waste oil and water separations technology for reuses and recycling.

“A key strategy going forward will be leveraging this experience and technology to bring additional productions, services, and expertise to our customers,” Devlin said.

With Power Fuels 1500 employees, the total company will have 3,000 workers and a presence in seven basins. Power Fuels has 500 trucks and vacuum trucks, 19 salt water disposal wells and owns 2,500 frac tanks, 1,600 fluid handling tanks and solid waste tanks. “We are very excited about the transaction,” said founder Richard Heckman. Johnsrud said that with 200 wells coming on line every month in the Williston Basin, Power Fuels will have a steady business for the next 20 years, particularly in fracing and refracing production work. The growth opportunity will now come in being able to provide recycling and water reuses in other states because Heckmann has 33 facilities in 19 states. “Our customers were moving to other basins and we were not in a position to do that,” Johnsrud said.

Johnsrud, who bought the company in 2004 with 40 employees and $6 million in revenues, has now grown the business to $155 million in revenues. He retains ownership of new employee apartment complexes in Watford City, Dickinson and Tioga as well as 100 plus mobile home parks.

The corporate headquarters of the combined company will be moved to Scottsdale, AZ, the location of Thermo Fluids Inc., which Heckman had acquired earlier this year. Heckman has suffered from the loss of business from a decline in natural gas drilling that slowed its trucking, pipeline and disposal revenue, particularly in the Haynesville play, where the rig count dropped from 120 to 40.

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Target Nears Completion On Two Camps

Target Logistics said it is nearing completion of two turnkey workforce housing projects for 664 new workers in Williston and Watford City. The Williams County Lodge for 300 people will open this month with a 24-hour dining area along with a gym, recreation area, free self-service laundry and other amenities.

In October, the Watford City camp for 334 people will open will similar features. “As the influx of people continues to outpace available housing, we provide workers a safe and comfortable solutions, said Target CEO Brian Lash. “This first-rate level of service results in greater productivity, lower attrition and fewer onsite accidents for our clients and their employees.”

Kevin Sandstead with Phillips 66 was elected the president of the Montana Petroleum Assn. at its recent annual meeting in Billings. Other officers are: Colby Branch with Crowley Fleck, vice president, upstream; Dexter Busby, Montana Refining Co., vice president, downstream; and Mac McDermott with MCR LLC, treasurer.

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All Subcontractors and Employees receive Professional Insurance Coverage, Safety Certifications and Training as well as Field support including HR, Area, and HSE, all at our expense. ISNet support is also provided. Our Subcontractors receive Business development assistance, rapid invoice payment, and a contract coordinator for all contract and invoicing needs. Our Employees receive payroll benefits including tax withholding, Medical and Dental Insurances, as well as company provided PPE and FRCs.

N O W

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25

7/31/12 11:33 AM

Healthcare that Works! Trinity Health offers an experienced, physician-based occupational medicine program for your business including: • Drug & alcohol screenings • Pre-work screenings • Employment physicals • Work injury conditioning & rehabilitation • Sleep apnea screenings Appointments: 701-857-7840 Information: 701-857-7841 Occupational Medicine

www.trinityhealth.org/occmed

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

MONTANA Blaine County CapStar 314

Citation

BSU D811H

N/A

Eca Federal 2-H

N/A

Carbon County Cyclone 12

Energy Corp. of America

Daniels County Patterson 344

Apache Worldwide Drilling

Lindley 24-10-H-T

S24-T36N-R46E

Merritt 13-24NH

S27-T17N-R61E

Falon County Cyclone 1

Continental Resources

Richland County Cyclone 23 H&P 272 Nabors 169 Patterson 180 Pioneer 44 Cyclone 30 Ensign 71 Nabors B-12

Continental Resources Continental Resources Oasis Petroleum Continental Resources Whiting Oil and Gas Slawson Exploration Co. G3 Operating LLC Fidelity Expl. & Prod.

Lazy D 3-4H Butka 3-5H David Federal 2658 43-9H Gorman 1-11H Simmers 4 21-30-1H Barbarian 1-14H Lien #5 Klose 8-17H

S4-T23N-R54E S32-T141N-R98W S9-T26N-R58E S2-T26N-R53E S30-T25N-R57E S14-T23N-R53E S1-T22N-R59W S21-T22N-R57E

Roosevelt County Nabors 177 True 32

Oasis Petroleum EOG Resources

Fannie Federal 2759-43-19H State Line 14-3427H

S19-T27N-R59W S34-T28N-R59W

Rosebud County Pioneer 43

Fidelity Exploration

71 Ranch 44-1H

S1-T10N-R34E

Teton County Patterson 12

Primary Petroleum

Spring Hill 14-34-27-6-HZ-RE

S34-T27N-R6W

NORTH DAKOTA Billings County Ensign 161 Nabors B-08 Pioneer 3 Ensign 161 Patterson 191 Precision 831

Continental Resources Whiting Oil & Gas Whiting Oil and Gas Continental Resources XTO Energy Continental Resources

Obriyenitch 1-14H BSMU 1707 Brueni 11-28PH Charnwood 1-32H Ruby State 34X-36 Natalie 2-2H

S32-T141N-R99W S17-T142N-R100W S28-T140N-R98W S17-T141N-R99W S36-T145N-R97W S2-T142N-R99W (Continued on Page 27)

26

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

NORTH DAKOTA Bottineau County Extreme 14

Corinthian Exploration

Legacy Etal Berstein 13-7H

S7-T163N-R76W

Wold 160-94-32A-5-5H Opseth 6-29-30H Connie 6093 14-5H Rutherford 13-12-161-93H Split Ridge 1-2-1H-160-91

S25-T160N-R94W S26-T161N-R90W S5-T160N-R93W S24-T161N-R93W S2-T160N-R91W

Burke County Ensign 46 Ensign 118 H&P 457 Nabors 455 Trinidad 118

Petro Hunt LLC Cornerstone Natural Resources Oasis Petroleum Samson Resources Oxy USA Inc.

Divide County Cyclone 31 Extreme 16 H&P 324 Nabors 152 Nabors 272 Patterson 183 Pioneer 71 Precision 607 Trinidad 36

Continental Resources Sequel Energy Samson Resources SM Energy Newfield Exploration Continental Resources Samson Resources Baytex Energy Continental Resources

Milton 3-14H Louie 24-24H-2536-16095-MB Nomad 0607-06TFH August 4-26HN Silas 3-2N-163-101 Landblom 4-35H Coronet 2413-4TFH Marjorie 6-7-161-97H 1XP Selmer 1-35H

S14-T160N-R96W S24-T160N-R95W S31-T164N-R99W S26-T163N-R101W S35-T163N-R101W S35-T160N-R95W S25-T163N-R99W S31-T162N-R97W S35-T161N-R97W (Continued on page 28)

DIAMOND B

Oilfield Trucking Inc

Hauling Crude 24 Hours A Day Serving Williston Basin Producers From Terminals In:

• Williston • Tioga • Westhope Call: 701-245-6423 Fax: 701-245-6585 •••

• Plentywood Call: 406-765-1376 Fax: 406-765-2322

Call: 1-800-376-1376 www.rdoequipment.com

PO Box 567, Plentywood MT 59254

Customer Focused. Quality Driven.

27

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

NORTH DAKOTA Dunn County Cyclone 28 Ensign 77 Ensign 88 Ensign 89 H&P 241 H&P 257 H&P 259 H&P 317 H&P 325 H&P 329 H&P 386 H&P 438 Nabors B-09 Nabors B-10 Nabors B-14 Nabors B-17 Nabors B-20 Nabors 109 Nabors 265

Continental Resources Petro Hunt LLC Enerplus Resources Kodiak Oil & Gas Hess Corp. Marathon Oil Co. Marathon Oil Co. Hunt Oil Co. Oxy USA Inc. Oxy USA Inc. Marathon Oil Co. Marathon Oil Co. Oxy USA Inc. Oxy USA Inc. WPX Energy Williston WPX Energy Williston Conoco Phillips XTO Energy Inc. XTO Energy Inc.

Hartman 3-28H Fort Berthold 148-94-21A-20-1H Serger 149-93-04B-03H TF Moccasin Creek 16-10-3-3H3 LK-Alwin 147-97-1324H-3 Bear Den 42-5TFH Diamond A 31-28 TFH Sioux Trail 1-8-5HTF State Buffalo Bill 1-20-17H-143-94 Sivak 1-29-28H-143-98 Schmalz 34-22H Brent Kerr 21-17H State 2-16-21H-143-96 Emerson 2-24-25H Alger State 16-21 #2TFH Charles Blackhawk 31-30-HB CCU Powell 21-29MBH FBIR Smith 11X-10A Nygaard Federal 13X-5

S28-T146N-R95W S7-T148N-R94W S16-T149N-R93W S2-T147N-R93W S13-T147N-R97W S4-T148N-R95W S28-T146N-R94W S8-T160N-R101W S20-T143N-R94W S29-T143N-R98W S22-T144N-R96W S17-T145N-R93W S9-T143N-R96W S32-T142N-R96W S10-T155N-R93W S31-T148N-R92W S29-T147N-R95W S10-T149N-R92W S5-T148N-R96W (Continued on page 30)

Baranko is Building Oil Field • Oilfield Locations • Lease Roads • Trucking • Reclamation • Location • Reserve Pit Solidification • Ash • Lime

Trucking • Live Bottoms • Hoppers • Belly Dumps • End Dumps • Side Dumps • Lowboys

Phone (701) 483-5868 3048 Hwy. 22 N, Dickinson, ND 58601 • www.barankoinc.com • Email: [email protected] 28

29

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

Dakota-3 E&P Co. XTO Energy Inc. Petro Hunt Sinclair oil & Gas company Dakota-3 E&P QEP Energy QEP Energy Co. QEP Energy Co. Enerplus Resources Helis Oil & Gas Co. Burlington Resources QEP Energy Co. Kodiak Oil & Gas Petro Hunt Oxy USA Kodiak Oil & Gas Petro Hunt

Sara Yellowwolf 22-27HC FBIR Baker 34X-25F Fort Berthold 147-94-1A-12-2H Crosby Creek 2-5H Fettig 6-7HB MHA 1-03-34H-150-92 MHA 3-31-25H-150-92 MHA 2-06-32H-150-92 Bullhead 148-93-15D-16H TF LK-M Elisabeth 147-97-1522H-4 CCU Golden Creek 34-23MBH MHA 5-05-06 H -149-90 Skunk Creek 12-7-8-8H Fort Berthold 148-95-27A-34-3H Kary 2-24-13H-144-97 Moccasin Creek 16-26-27-12H Fort Berthold 148-94-35D-26-2H

NORTH DAKOTA Dunn County (Continued) Nabors 486 Nabors 681 Nomac 322 Patterson 136 Patterson 301 Patterson 319 Patterson 338 Patterson 341 Precision 560 Precision 564 Precision 567 SST 66 Unit 117 Unit 108 Unit 120 Unit 122 Unit 329

S22-T149N-R91W S11-T149N-R91W S1-T147N-R94W S5-T146N-R97W S6-T148N-R94W S3-T149N-R92W S31-T150N-R92W S6-T149N-R92W S14-T148N-R93W S10-T147N-R97W S26-T147N-R95W S5-T149N-R90W S7-T148N-R92W S27-T148N-R92W S25-T144-R97W S26-T148N-R93W S35-T148N-R94W

Golden Valley County Nabors 267

Whiting Oil & Gas

Kittleson 32-27R

S27-T141N-R105W (Continued on page 31)

Looking for

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BAKKEN

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30

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

NORTH DAKOTA McKenzie County Craig 4 Cyclone 2 Cyclone 4 Cyclone 34 Ensign 76 Ensign 152 Extreme 7 Extreme 18 H&P 255 H&P 277 H&P 286 H&P 294 H&P 295 H&P 309 H&P 324 H&P 392 H&P 446 H&P 448 H&P 449 H&P 454 H&P 456 Nabors B-06 Nabors B-07 Nabors B-11 Nabors B-16 Nabors B-19 Nabors B-21 Nabors B-22 Nabors B-23 Nabors B-24 Nabors 49 Nabors 112 Nabors 149 Nabors 254 Nabors 350 Nabors 419 Nabors 587 Nabors 460 Nabors 476 Nabors 686 Nabors 687 Nabors 680 Nomac 308 Nomac 327 Nomac 328 Patterson 305 Patterson 311 Patterson 335 Patterson 346

Brigham Oil & Gas LP Continental Resources Continental Resources Continental Resources Zenergy Continental Resources Triangle USA Petroleum SM Energy Co Oxy USA Inc. Brigham Oil & Gas LP Conoco Phillips Hess Corp. Hess Corp. Liberty Resources LLC Samson Resources Marathon Oil Co. Conoco Phillips Denbury Onshore Conoco Phillips Denbury Onshore Denbury Onshore Hess Corp. Whiting Oil & Gas Newfield Exploration Conoco Phillips Brigham Exploration WPX Energy Williston Oasis Petroleum WPX Energy Williston Brigham Exploration Brigham Exploration Whiting Oil & Gas Oasis Petroleum Brigham Exploration Brigham Exploration Slawson Exploration Whiting Oil & Gas Brigham Exploration Brigham Exploration Samson Resources Conoco Phillips XTO Energy Inc. Petro Hunt Zenergy Inc EOG Resources Denbury Resources XTO Energy Inc Newfield Exploration Newfield Exploration

Timber Creek 13-24 2H Wilhelm 2-21H Syracuse 3-23H Missoula 2-21H Helling 30-31H Norfolk 3-1H Larson 149-100-9-4-2H Holm 14-12HA Akovenko F24-34-2H Lonnie 15-22 1H Walter 31-29H HA-Mogen-152-95-0805H-3 BB-Eide 151-95-3328H-2 Lassey 152-103-27-34-1H Nomad 0607-5H Iron Horse 41-2TFH Mesa Verde 44-22TFH Madson 11-33SH Lovaas 31-6H Gilbertson 41-16SH Deborah 14-20 SHE HA Grimestad 152-95-3031 H-2 Cherry State 21-16H Clear Creek Federal 3H Iron Horse 11-2TFH Cheryl 17-20 #3TFH Corn Stalk 20HC Ash Federal 5300 11-18T Independence 2-35HC Topaz 20-17 #4TFH Sullivan WMA 35-2 #1H Amber Elizabeth 9-4H Amelia Federal 5201 41-11B Porter 35-26 #1TFH Barker 24-13 1H Hartsoch 15-35-1H Norgard 41-13H Marcia 3-10 #3H Gunderson 15-22 #2TFH Holm 14X-12HA Jair 31-28H Flatland 11X-2 Jonsrud 151-96-3B-10-4H Monson 2-11H Hawkeye 02-2501H GV 44-32NEH Mariana Trust 12X-20H Orvis State 150-99-21-16-2H Darlene Federal 152-97-13-24-3H 31

S13-T151N-R101W S28-T151N-R99W S26-T152N-R99W S21-T152N-R100W S11-T150N-R101W S2-T151N-R99W S9-T149N-R100W S12-T150N-R99W S34-T146N-R99W S10-T151N-R101W S22-T148N-R98W S17-T152N-R95W S33-T151N-R95W S27-T152N-R103W S31-T164N-R99W S2-T152N-R96W S22-T152N-R96W S33-T153N-R95W S6-T148N-R98W S16-T150N-R98W S20-T150N-R100W S30-T152N-R95W S16-T149N-R99W S29-T149N-R95W S2-T152N-R96W S8-T152N-R98W S20-T149N-R94W S12-T153N-R101W S11-T149N-R93W S20-T153N-R97W S35-T152N-R104W S9-T150N-R104W S11-T152N-R101W S31-T156N-92W S24-T149N-R102W S35-T157N-R96W S13-T149N-R100W S3-T153N-R100W S15-T152N-R98W S12-T150N-R99W S21-T148N-R98W S11-T153N-R97W S3-T151N-R96W S2-T151N-R102W S25-T152N-R95W S32-T150N-R98W S20-T149N-R97E S21-T150N-R99E S13-T152N-R97E (Continued on page 33)

The new pros in the Bakken. Welcome to your single source

Model 28

for TOTAL PIPING SOLUTIONS in the Basin. Call ISCO Industries for in-stock HDPE pipe, McElroy® fusion machines for sale or rent (repair, too), pipe handling systems and more – all backed by expert consultation RYAN RYAN CORSO CORSO Bakken Territory Manager Bakken Territory Manager and training if required. [email protected] r y a n . c o r s o @

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48690_Bakken_Wkly_Ad.indd 1

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The region’s largest rental fleet supported by the region’s largest dealer network.

Billings, MT 406.656.7368

Casper, WY 307.234.5381

Dickinson, ND 701.227.5309

Minot, ND 701.852.3188

Bismarck, ND 701.250.7925

Cheyenne, WY 307.638.4400

Gillette, WY 307.682.9742

Williston, ND 701.577.0024

32

Toll Free 855.44.TITAN

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

NORTH DAKOTA McKenzie County (Continued) Pioneer 42 Pioneer 74 Precision 51 Precision 565 Precision 602 Precision 604 Precision 620 Precision 825 Raven 1 SST Energy 58 Trinidad 221 True 31 True 33 True 36 Unit 118 Unit 123 Unit 126 Unit 233 Unit 234

Samson Resources Whitign Oil & Gas Brigham Oil & Gas LP Hess Corporation Murex Petroleum Helis Oil & Gas Co. Helis Oil & Gas Co. Burlington Resources Abraxas Petroleum Co EOG Resources Hunt Oil Co. Petro Hunt EOG Resources True Drilling Kodiak Oil & Gas Kodiak Oil & Gas Kodiak Oil & Gas Petro Hunt Petro Hunt

Gustafson 148-100-5-8-1H Tarpon Federal Banks State 16-21 3H BW-Spring Creek 149-99-1201H-1 Jade Brenna 2-11H Levang Federal 14-21/16H P. Levang 4-14/23H Morgan 21-28TFH 3NH Jore Federal 2-11-3H Mandaree 108-1708H Bear Butte 1-11-2H Burntrager 2 C-2-1 Bear Den 24-1621H Hagen 41-25 Koala 15-33-28-2H3 Smokey Kinden 14-21-16-3H Smokey 15-7-6-2H Fort Berthold 152-93-9C-10-3H Gunder T 157-101-30A-31-1H

S5-T148N-R100W S4-T152N-R97W S9-T152N-R98W S13-T149N-R99W S2-T150N-R101W S21-T150N-R95W S14-T150N-R95W S28-T150N-R96W S2-T149N-R97W S21-T150N-R21W S11-T148N-R101W S2-T19N-R54E S16-T150N-R94W S24-T148N-R101W S33-T152N-R99W S21-T149N-R98W S7-T149N-R98W S9-T152N-R93W S30-T151N-R101W (Continued on page 34)

Your Full-Service Heavy Construction and Aggregate Equipment Dealer

SALES – RENTALS – SERVICE – PARTS Bismarck, Bowman: Aaron Brothen, (701) 541-3316 Dickinson, Williston: Jon Christianson, (701) 770-1360 Minot Area: Dave Solper, (701) 852-0479 www.genequip.com 33

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

NORTH DAKOTA Mountrail County CanElson 40 CanElson 41 CanElson 43 Craig 3 Cyclone 14 Cyclone 27 DHS 12 Ensign 24 Extreme 21 Frontier 16 H&P 256 H&P 258 Major 27 Nabors B-01 Nabors B-02 Nabors B-03 Nabors B-04 Nabors B-05 Nabors B-14 Nabors B-18

ProWater Slawson Exploration Marquis Alliance Fidelity Expl. & Prod. Continental Resources Slawson Exploration EOG Resources Petro Hunt Oasis Petroleum Slawson Exploration Marathon Oil Co. Marathon Oil Co. Hess Corp. Hess Corp. Hess Corp. Hess Corp. Hess Corp. Hess Corp. Brigham Exploration Brigham Exploration

Centerline 11-1 Pathfinder 2-9H Locken #1 Sundts 23-14-15H Macks 5-2H Lunker Federal 2-33-4H Redmond 27-2932H Blikre 158-93-6A-7-1H Blanchet Federal 5693 41-28H Jericho 3-5H Baker 11-18H Pearl 41-13TFH EN-Jeffrey A-155-94- 2734H-1 EN-Belik 156-93-0607H-2 EN Dakota 155-94-211609H-4 EN-Skabo 155-93-0631 H-2 EN-Horst-S-154-93-1003H-6 En-Rice 155-94-0211H-2 Alger State 16-21 #4TFH Jerome Anderson 10-15 #5H

S25-T154N-R103W S9-T152N-R91W S35-T154N-R91W S23-T155-R91W S2-T152N-R94W S33-T152N-R91W S29-T157N-R89W S21-T158N-R93W S28-T156N-R93W S5-T151N-R92W S3-T150N-R93W S13-T151N-R93W S22-T155N-R94W S6-T156N-R93W S21-T155N-R94W S6-T155N-R93W S10-T154N-R93W S20-T155N-R94W S10-T155N-R93W S10-T155N-R92W (Continued on page 35)

WE KEEP YOUR CRUDE OIL MOVING Your Artificial Lift Specialists on Call CALIFORNIA Bakersfield

MONTANA Glendive

661.746.0030

406.377.7880

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505.566.9285 575.396.2620

NORTH DAKOTA Minot

701.838.1333

OKLAHOMA

Oklahoma City 405.677.0567

UTAH

Roosevelt

435.722.0547

The Energy Flows Through Us ™

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Andrews Denver City Giddings Kilgore Levelland Odessa Snyder Three Rivers

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432.523.3836 806.592.2586 979.542.0970 903.984.3875 806.894.2889 432.368.8300 325.573.2633 361.786.2790

SERVINGNORTH NORTHDAKOTA, DEKOTA, MONTANA SERVING MONTANA &&WYOMING WYOMING Terminal in Williston, Terminal Williston,ND ND

307.234.5346 307.682.1608

FALCOENERGY

LUFKIN.COM

34

FALCOENERGY.COM

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

NORTH DAKOTA

Mountrail County (Continued)

Nabors B-25 Nabors B-26 Nabors B-28 Nabors 99 Nabors 108 Nabors 165 Nabors 527 Nabors 784 Nomac 323 Patterson 167 Patterson 336 Pioneer 56 Pioneer 57 Pioneer 66 Pioneer 67 Precision 109 Precision 110 Precision 520 Precision 563 Precision 645 SST Energy 68

Oasis Petroleum X Energy Fidelity Expl. & Prod. Whiting Oil And Gas Fidelity Expl. & Prod. Oasis Petroleum EOG Resources Fidelity Expl. & Prod. Brigham Exploration Slawson Exploration WXP Energy MID-Continent Co Whiting Oil & Gas Whiting Oil & Gas Whiting OIl & Gas Whiting OIl & Gas Whiting Oil & Gas Whiting Oil & Gas Brigham Exploration Hess Corp. Murex Petroleum Dakota-3 E&P Co.

Colbenson 11-6H Dora Smith #5-8HC Corpron 16-21-22H S-Bar 12-2TFH EHB 19-20-29H Mlee 5793 42-11H Fertile 51-0410H Moen 23-14 H Vachal 3-34 2TFH Sniper(FED) 2-6-7H Coyote Necklace 24 HD Rohde 41-1H Monson 11-35H Brittany TTT 13-26TFH Burl TTT 13-3TFH Bartleson 13-18TFX Smith 34-1H Liffrig 29-20 #3TFH EN-Dobrovolny -155-93- 2128H-2 John Randy 13-24H Mason Paul Peter Coffee 35HD

S6-T157N-R92W S5-T150N-R92W S16-T155N-R91W S2-T153N-R93E S19-T154N-R92W S11-T157N-R93W S4-T152N-R90W S23-T155N-R91W S3-T155N-R93W S6-T151N-R92W S13-T150N-R93W S1-T153N-R92W S35-T153N-R91W S26-T154N-R92W S3-T154N-R91W S18-T153N-R92W S1-T153N-R92W S29-T156N-R93W S21-T155N-R93W S13-T155N-R91W S2-T150N-R92W (Continued on page 36)

701.570.1566 35

WILLISTON BASIN RIG REPORT RIG NUMBER

OPERATOR

WELL NAME/NUMBER

LOCATION (Twp-Rge-Sec)

NORTH DAKOTA Stark County Patterson 320 H&P 276 H&P 316 Nabors B-15 Nabors 280 Patterson 488 Pioneer 73

Fidelity Expl. & Prod. Whiting Oil and Gas Whiting Oil & Gas Whiting Oil & Gas Fidelity Expl. & Prod. Whiting Oil & Gas Whiting Oil & Gas

Kudrna 5-8H Marsh 41-16PH Lydia 11-14PH Obrigewitch 11-16PH Pavilsh 19-20H Norby 21-16-1H Froelich 11-28PH

S5-T139N-R97W S9-T140N-R97W S11-T140N-R99W S16-T140N-R99W S25-T140N-R98W S16-T25N-R57W S28-T140N-R99W

Williams County AES 4 Cyclone 8 Cyclone 25 Ensign 67 Ensign 93 Ensign 158 Ensign 162 Extreme 25 H&P 239 H&P 275 H&P 293

Continental Resources Continental Resources Continental Resources Baytex Energy Petro Hunt LLC Zenergy Continental Resources SM Energy Co XTO Energy Inc Continental Resources Hess Corp.

Collison 1-23H Anna 1-27H Durant 1-12H Joyce 4-9-160-98H 1BP Opsal 158-99-26A-35-1H Stepan 16-9H Cheyenne 2-4H Karomojo 2-4H Unni 21X-27B Winston 2-12H BB-Silvertson 151-95-2019 H-2

S23-T154N-R100W S27-T154N-R100W S12-T155N-R99W S15-T160N-R98W S26-T158N-R99W S25-T151N-R104W S4-T155N-R97W S4-T152N-R104W S27-T157N-R96W S12-T153N-R99W S7-T154N-R98W (Continued on page 37)

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