Amoco discovers large gas deposits in Oklahoma
Feb. 4, 1997 Amoco Corp. has discovered a natural gas well that flowed at a daily rate of 12 million cubic feet. The
well, known as Maria No. 1, was completed in mid-January in the West Cement field about 50 miles south-west of
Oklahoma City. The well, one of the state's largest natural gas producers, is near the border of Caddo and Grady
counties about 5 miles south of the community of Verden.
Amoco, which employs 2,500 in Tulsa, drilled and operates the well. Amoco is the state's largest natural gas producer, and it holds a 50 % working interest. Houston-based Apache Corp. controls a 40 % interest, and Parker and Parsley Petroleum Co. owns the remainder.
The well, drilled more than 2 miles deep, produces natural gas from a new fault block in three lower Boatwright sands 110 feet thick in the Springer geologic formation. "The data suggests additional reservoirs may be present under the survey," said an Apache spokesman. "One offset well is planned for the near future, and Apache holds interests in three offsetting locations."
Only a few years ago, the prospect could not have been defined well enough to justify the investment needed for drilling, said Richard Spies, vice president of Amoco's Mid Continent Business Unit. "New 3-D seismic technology, used by Amoco, made this discovery possible."
Apache is Oklahoma's largest independent gas producer, employing 62 in its Tulsa district office. Apache employs another 84 across the state. Apache is familiar with the Springer formation, drilling 30 wells in the past two years. Twenty-six of those wells, a variety of discoveries and developmental wells, were successful.
The economics have changed, too, Kelso said. "In 1994, the well would not have been justified because gas prices were so low, and these deep wells were so costly." Today, natural gas prices are more than $2.50 for a 1,000 cubic feet, while the cost of drilling the well has come down. Kelso said a well like Maria No. 1 would have cost $ 5 million in 1994.