EOG Resources Inc. is using enhanced oil recovery in a novel way to pull more oil from the Eagle Ford Shale in South Texas, injecting natural gas into existing wells, which is boosting recovery at a lower price. The Eagle Ford “possesses unique geologic properties ideally suited for the company’s EOR techniques.
Eagle Ford Formation & EOR
The Eagle Ford formation allows some completions to be vertically contained, a unique feature that also plays a significant role in keeping the gas injection in contact with the targeted reservoir. EOG’s acreage position is situated in the optimal thermal maturity of the play to maximize oil recovery.
The EOR economics are significantly enhanced by the scale of EOG’s footprint in play. The infrastructure and facilities that are utilized during primary development across the field are key to being able to operationally execute the EOR process, thus providing a significant economic benefit.
EOG Eagle Ford Well Drilled Last 36 Months
Eagle Ford EOR Cost
There is no incremental drilling required for EOG Enhanced Oil Recovery Eagle Ford capital cost to average approximately $1 million per well, the operating cost are low. The process makes use of produced gas readily available to the field, and there are few other incremental operating costs. The production response occurs quickly within the first two or three months and holds steady for longer.
EOG Resources Inc. is leading the movement, pumping the pressurized gas into wells that are no longer prime sources of oil. The wells are capped to build up pressure and possibly dislodge oil still in the rock formations.
Facility Permit – EOG Recent Facility Permit for EOR Project
Using Gas for EOR in the Eagle Ford
Generally, the use of injected gas in the Eagle Ford is known as enhanced oil recovery, or EOR. Initially, EOG was the main company using Enhanced Oil Recovery injecting gas to boost shale oil output. EOG has been experimenting with EOR for at least three years in the Eagle Ford basin. Gas injection can potentially extend crude production volumes in older wells by 18 to 24 months.
EOG’s experiments into gas injections go back at least to 2016 when the driller implemented a 32-well commercialization pilot. Last year it “converted” 54 wells, bringing the total to 150, according to the Houston-based company’s first-quarter presentation.
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