Thursday, April 4, 2013

The Austin Chalk Moves Northeast

An interesting twist to the Austin Chalk play has recently surfaced.  MS Onshore LLC has applied for two units and one permit to drill horizontal wells in the Austin Chalk in Adams County, Mississippi.

SEC filings relate MS Onshore LLC with Gulf of Mexico operator, Energy XXI.$/SEC/Registrant.asp?CIK=1568472

This location is quite "geologically baffling" for this explorer.  Historically, in Louisiana, the Austin Chalk has been pursued along the Lower Cretaceous Shelf Edge where it is believed that the chalk is most naturally fractured.  Recent activity in Avoyelles and St. Landry Parishes by Anadarko, Atinum, Nelson, and Pryme have not yielded great results along that trend.

Energy XXI's theory might be to conduct an acid frac in the chalk where it has decent porosity.  Their acreage is quite a ways updip from where the Austin Chalk exhibits higher resistivities.

This development is exciting and will be one to watch.  With success, this could expand across quite a large area.


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