Sweet Grass Hills - West Butte, Montana

 

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OIL PRODUCTION

Most of the oil we produce is sour crude from the Madison Limestone which is a fractured dolomite. The mayority of the production is from the matrix which makes the production small but long lived.

These wells normally have 2 3/8" tubing and 5/8" rods with either 1 25/32" T&S valves or insert pumps. As appropriate, the wells are on a schedule for chemical and acid treatment that has been established for many years and continues to be refined as appropriate.

Most of our pumping units are API 16's and 25's but we do have units up to 320's.

We have five very high volume wells producing from Madison fractures that are pumped with submersible pumps and produce as much as 5000 barrels of water per day along with nominal amounts of oil and/or natural gas.

Our waterflood produces sweet crude from a Swift sandstone located above the Madison and we use treated Madison water as feedstock for the waterflood.

The oil properties we operate have multiple wells which are piped to a common tank battery via underground (7 feets deep) flowlines where water separation occurs in a gunbarrel. All pumping equipment is electrified.

Since the quality of the produced water is equal to or greater than all water zones above it, we are allowed to use evaporation pits for the disposal of produced water.  This water is useable for local livestock and wildlife.  In a couple of places where it is not practical to use evaporation pits, we do have water disposal wells in the Madison formation.

Our Crude Oil Purchaser in the area has been Farmers Union Central Exchange Coop (CENEX) for the past 20+ years and they haul crude from our tanks by transport to their LACT Unit about 30 miles away where it is sent to their refinery in Laurel, Mt (near Billings).

We operate some Federal  and State leases and have a good relationship with the Federal and State officials. But we do not operate any Indian leases.

With a single exception, we own all of the working interest in all of the oil wells that we operate.

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