Permian Performance Meets Real-World Development Data
Ovintiv continues to position itself as a top-tier Permian operator, emphasizing capital efficiency, drilling speed, and completion innovation.
In its latest earnings call, the company highlighted:
- Drilling speeds exceeding 2,000 ft/day
- Completion speeds of ~4,250 ft/day
- D&C costs below $600 per foot
- ~9% production uplift from surfactant-enhanced completions
But what does that look like on the ground?
To answer that, we analyzed a real development dataset from the Mohawk program in Martin County, Texas.
Project Overview: Mohawk Development (Martin County, TX)
- Operator: Ovintiv
- Basin: Midland Basin (Permian)
- Target Formation: Spraberry Trend
- Development Type: Multi-pad horizontal program
Pad-Level Development Structure
| Pad | Wells | Rig | Phase |
|---|---|---|---|
| PAD_2 | 5 | H&P 379 | Initial Development |
| PAD_1 | 5 | H&P 264 | Infill / Optimization |
| PAD_3 | 1 | H&P 264 | Extension |
Drilling Cadence by Pad
| Pad | First Activity | Last Activity | Span (Days) | Avg Days Between Wells | Not Drilled |
|---|---|---|---|---|---|
| PAD_2 | Oct 17, 2025 | Jan 13, 2026 | 88 | 15.0 | 0 |
| PAD_1 | Dec 26, 2025 | Feb 7, 2026 | 43 | 8.75 | 0 |
| PAD_3 | Jan 2, 2026 | Jan 2, 2026 | 0 | 0 | 0 |
Overall Project Cadence
| Metric | Value |
|---|---|
| Total Wells | 11 |
| First Activity | Oct 17, 2025 |
| Last Activity | Feb 7, 2026 |
| Total Duration | 113 days |
| Avg Days Between Wells | 11.3 days |
Key Cadence Insight
- PAD_2 (early phase) → slower cadence (15 days/well)
- PAD_1 (later phase) → faster cadence (8.75 days/well)
👉 This aligns directly with Ovintiv’s claims of:
- continuous efficiency gains
- cycle time reductions over time
Surface Persona: What the Location Tells Us
Geography
- County: Martin County
- Play: Midland Basin core
Land Pattern
- Single section development:
- Block B | Abstract 347 | Section 71
Surface Strategy
- Multi-pad, multi-lease drilling:
- Cross-lease development (71D, 71E, 71F, 71G, 71X)
- Centralized facility:
- MOHAWK F71A CTB (air permit approved same day)
Surface Persona
A highly coordinated, full-section development program in the Midland Basin, leveraging multi-pad drilling across contiguous leases with centralized facility infrastructure deployed shortly after drilling completion.
Subsurface Persona: What They’re Targeting
Reservoir Target
- Spraberry Trend Area (Primary Field)
Well Design
- 100% horizontal
- 100% oil/gas wells
Depth Profile
- Uniform across all wells:
- 10,500 ft (no variation)
Subsurface Insight
- No depth variability
- No multi-bench separation
- No staggered landing zones
👉 This indicates:
- Single-zone development (not full co-development)
Subsurface Persona
A standardized horizontal drilling program targeting a single Spraberry interval at ~10,500 ft, optimized for repeatability and cost efficiency rather than multi-zone complexity.
Are They Using Co-Development?
From the Earnings Call
Ovintiv describes:
- “completing the entire cube… all zones at the same time”
👉 This confirms:
- Cube development = multi-zone strategy (corporately)
From Mohawk Data
- Single depth (10,500 ft)
- Single formation (Spraberry)
👉 Conclusion:
- Not yet applying full cube/bench development at Mohawk
- Likely:
- early-phase development
- or selective zone targeting
Facility Signal: Transition to Production
- Air Permit Date: March 23, 2026
- Lag from drilling completion: ~44 days
- Approval time: Same day
Insight
Fast permitting + short lag confirms a tightly coordinated transition from drilling to production infrastructure.
End-to-End Development Cadence (Permit → Drill → Facility)
| Phase | Date | Description | Days from Prior Step |
|---|---|---|---|
| First Well Permit (License Date) | Sept 17, 2025 | All wells permitted (batch licensing event) | — |
| First Pad Activity (PAD_2 Start) | Oct 17, 2025 | Initial drilling begins | 30 days |
| Pad Development Window | Oct 17, 2025 → Feb 7, 2026 | Multi-pad drilling across 3 pads | 113 days |
| Last Well Activity | Feb 7, 2026 | Final well drilled in program | — |
| Air Permit (Facility) | Mar 23, 2026 | Facility permit filed & approved | 44 days |
Cadence Interpretation
1. Permit → Drill Lag (~30 days)
- Indicates:
- Pre-planned execution
- Rapid mobilization post-approval
2. Pad Development (~113 days total)
- Structured multi-pad sequence:
- PAD_2 → PAD_1 → PAD_3
- Efficiency improves over time
3. Drill → Facility Lag (~44 days)
- Critical transition window:
- From drilling → production readiness
- Ideal timing for:
- Facilities
- Artificial lift
- Midstream services
Key Insight
Ovintiv is operating a tight 30–45–113 day development cycle:
- ~30 days → permit to drilling
- ~113 days → full pad development
- ~44 days → drilling to facility
This cadence reflects a highly optimized Permian development model combining:
- standardized permitting
- efficient pad drilling
- rapid infrastructure deployment
Putting It All Together
What Ovintiv Said
- Faster drilling
- Faster completions
- Lower cost per foot
- Multi-zone cube development strategy
What the Data Shows
- Clear efficiency gains across pads
- Dedicated rigs per phase
- Structured development sequence
- Standardized subsurface targeting
Final Takeaway
The Mohawk project is a strong example of how Ovintiv is executing its Permian strategy:
- Phase 1: Establish core production (PAD_2)
- Phase 2: Optimize and accelerate (PAD_1)
- Phase 3: Extend and refine (PAD_3)
- Phase 4: Rapid facility deployment
While the company is advancing multi-zone cube development at a corporate level, this dataset shows a highly efficient single-zone execution model—likely a stepping stone toward broader co-development.
Author: phinds
