Estimated Drilling Cost Schedule for Norstra #1 Well (South Sun River AFE)
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Summary
This document outlines the estimated drilling costs for the Norstra #1 well in the Bakken Shale, Lewis & Clark County, Montana, as of June 30, 2013. It details both intangible and tangible costs for drilling, casing, and completing the well, including permits, legal fees, equipment, and professional services. The schedule also specifies the participation and working interest percentages for partners, with total costs provided for dry hole, cased hole, and completed well scenarios. Partner signatures are required to confirm participation and cost allocation.
EX-10.11 5 ex-10_11.htm EXHIBIT 10.11 ex-10_11.htm - Generated by SEC Publisher for SEC Filing
| SCHEDULE B | |||||||
| ESTIMATED DRILLING COST / | |||||||
| SOUTH SUN RIVER | AFE | DATE | 6/30/2013 | ||||
| FIELD / | |||||||
| WELL NAME | Norstra #1 | AREA | Development | ||||
| WELL LOCATION | TARGET | Bakken Shale | |||||
| COUNTY | Lewis & Clark | EST DEPTH | 8,500 TVD,12,500' MD | ||||
| STATE | MT | COMMENT | |||||
| INTANGIBLE COSTS: | DAYS | $ / DAY | DRY | CASED | COMPLETED | ||
| Permits | 400.00 | 400.00 | 400.00 | ||||
| Legal & Title | 2500.00 | 2500.00 | 2500.00 | ||||
| Survey Location | 2000.00 | 2000.00 | 2000.00 | ||||
| Land Damages / right of way | 5000.00 | 5000.00 | 5000.00 | ||||
| Rig Daywork (7-9 Set 7" / 3-5 HZ) | 25 | $ | 16,500.00 | 412500.00 | 412500.00 | 412500.00 | |
| Limited Turnkey | |||||||
| Footage | |||||||
| Rig mobilization -de mobilization | 190000.00 | 190000.00 | 190000.00 | ||||
| Location/pits | 60000.00 | 60000.00 | 60000.00 | ||||
| Roads & Maintenance | |||||||
| Rig fuel / boilers | 14 | $ | 1,500.00 | 21000.00 | 21000.00 | 21000.00 | |
| Compressor | |||||||
| Water | 25 | $ | 1,500.00 | 37500.00 | 37500.00 | 37500.00 | |
| Mud / Chem | 190000.00 | 190000.00 | 190000.00 | ||||
| Salt | |||||||
| Cement surface | 25000.00 | 25000.00 | 25000.00 | ||||
| Cement Intermediate Casing / P&A | 7000 | @25.00 | 175000.00 | 175000.00 | |||
| Floating equipment | 1400.00 | 3000.00 | 3000.00 | ||||
| Bits / downhole assembly | 80000.00 | 80000.00 | 80000.00 | ||||
| DST | |||||||
| Core | 65000.00 | 65000.00 | 65000.00 | ||||
| Mud logger / Pason | 15 | $ | 22,000.00 | 330000.00 | 330000.00 | 330000.00 | |
| Electric logging | 70000.00 | 100000.00 | 100000.00 | ||||
| Inspect collars & casing | |||||||
| Equipment rental | 26000.00 | 26000.00 | 26000.00 | ||||
| Trucking drilling | 10000.00 | 10000.00 | 10000.00 | ||||
| Trucking completion | 10000.00 | 10000.00 | 15000.00 | ||||
| Completion rig | 75000.00 | ||||||
| Perforate & Cased Hole Log (slotting | |||||||
| casing) | 15000.00 | 15000.00 | |||||
| Bonding | 10000.00 | 10000.00 | 10000.00 | ||||
| Overhead | 14 | $ | 900.00 | 12600.00 | 12600.00 | 12600.00 | |
| Insurance | 2500.00 | 2500.00 | 2500.00 | ||||
| Welder / backhoe | 2500.00 | 2500.00 | 4000.00 | ||||
| Flowline Construction & ROW | 20000.00 | ||||||
| Tank Battery Construction | 60000.00 | ||||||
| Professional Services Engineer | 19000.00 | 19000.00 | 25000.00 | ||||
| Professional Services Geologist | 10500.00 | 10500.00 | 10500.00 | ||||
| Directional Services | 12 | $ | 11,000.00 | 132000.00 | 132000.00 | 132000.00 | |
| Cleanup and restoration | 7500.00 | 7500.00 | 7500.00 | ||||
| Multi stage frac | 1300000.00 | ||||||
| Miscellaneous/contingency | 5 | % | 86745.00 | 97825.00 | 171200.00 | ||
| TOTAL INTANGIBLE COSTS | 1,821,645.00 | 2,054,325.00 | 3,595,200.00 |
| EQUIPMENT COSTS | DRY | CASED | COMPLETED | ||||||
| DIA | FEET | $/FT | |||||||
| PIPE / Conductor | |||||||||
| Surface | 9 5/8 | 500 | $ | 26.62 | 13310.00 | 13310.00 | 13310.00 | ||
| Production | 7 | 7000 | $ | 25.00 | 175000.00 | 175000.00 | |||
| Liner | 4.5 | 5000 | $ | 10.79 | 53950.00 | 53950.00 | |||
| Tubing | 2 7/8 | 7200 | $ | 8.00 | 57600.00 | ||||
| Wellheads | 500.00 | 50000.00 | 50000.00 | ||||||
| Packer/anchors | 24000.00 | 24000.00 | |||||||
| Downhole pump | 2500.00 | ||||||||
| Rods | 6000.00 | ||||||||
| Pumping Unit & Motor | 45000.00 | ||||||||
| Tanks | 55000.00 | ||||||||
| Treator | 45000.00 | ||||||||
| Separator | |||||||||
| Gas shack & meter run | |||||||||
| Flow & gatering lines | 22000.00 | ||||||||
| Risers, reducers | 10000.00 | ||||||||
| Valves, pipes & fittings | 10000.00 | ||||||||
| Buildings | 5000.00 | ||||||||
| Miscellaneous/contingency | 6 | % | 828.60 | 18975.60 | 34161.60 | ||||
| TOTAL TANGIBLE COSTS | 14,638.60 | 335,235.60 | 608,521.60 | ||||||
| TOTAL WELL COSTS | 1,836,283.60 | 2,389,560.60 | 4,203,721.60 | ||||||
| PARTCIPATION | |||||||||
| WORKING INTEREST PARTNER | % | Cost Dry Hole | |||||||
| $ | |||||||||
| 1,836,283.60 | |||||||||
| 100.00 | % | Cost / Cased Hole | |||||||
| $ | |||||||||
| 2,389,560.60 | |||||||||
| Cost / Completed | |||||||||
| Well | |||||||||
| $ | |||||||||
| Partner Signature | 4,203,721.60 | ||||||||
