Drill Rig - iStock

Key Summary Points:

  • Interest in the Powder River Basin (PRB) has increased rapidly, with major companies making the play a main growth area;
  • The Powder is currently dominated by large diversified public companies and small concentrated private firms;
  • The Turner is the primary focus of current development, but the 5,000 feet of stacked
    pay in the basin offers many upside opportunities;
  • Well results from PRB operations can rival Permian economics, and ensuring repeatability is current goal;
  • Takeaway situation in the Powder is secure, with ample oil and gas capacity;
  • Recent M&A transactions suggest low cost of entry, with acres valued at approximately $4,500;
  • Chesapeake has most ambitious immediate growth plans, though EOG, Devon and
    Anschutz all plan to increase PRB activity in coming quarters.