One of the biggest players working in the Denver-Julesburg Basin says it plans to drill more than 360 wells there in 2014. However, activity in the Wyoming side of the Niobrara Shale play continues to lag far behind the booming oil and gas activities in Colorado.
“The Niobrara doesn’t have as high an oil IP rate as the Eagle Ford or Bakken, but its wells generally produce more gas than the Bakken,” Smith said. Given this additional natural gas production, he added that the Niobrara performs better than the Bakken in terms of Internal Rate of Return
Currently, developers must file a bond of $2,000 per well pad with the Oil and Gas Conservation Commission to enter private property without the owner’s permission. Senate File 83, introduced by Sen. Jim Anderson (R-Glenrock), would increase the bond amount to $10,000.
54 percent of the voters surveyed said they were more likely to support candidates who want to reduce government red tape so that there could be more oil and gas development. At the same time, 65 percent favored use of leasing master plans to try to balance oil and gas drilling on public land.
Converse County is located in the heart of the Niobrara, and production here is skyrocketing. The county’s oil output grew by 26 percent in 2013 alone, according to the Wyoming Oil and Gas Conservation Commission. Statewide, production in the Niobrara increased from around 146,000 barrels in 2008 to almost 3 million last year.
The oil and gas industry added 4,500 positions in the fourth quarter of 2013, a slowdown from the third quarter and the lowest quarterly jobs added since 2009. The full year wrapped up with 28,500 new oil and gas jobs created, slightly down from 2012