OKLAHOMA CITY—The Scoop-Woodford play has 30% more hydrocarbons per section than the Stack-Meramec, according to Jeff Sieler, managing director and co-head of A&D for Citigroup Inc.

“They’re more prolific wells,” Sieler told attendees at Hart Energy’s recent DUG Midcontinent conference.

Sieler and the Citigroup team estimate the amount of resource in the Stack’s core area, including landing in the Osage section, to average about 60 million barrels of oil equivalent (MMboe) per section; the Scoop-Woodford is estimated to have 80 MMboe or more of resource per section.

Some of the Scoop-Woodford’s greater performance has to do with the over-pressured nature of its target window, while the original Stack play is east in a normal-pressured fairway.

Whether associated gas is weighted 6:1 to oil on a basis of thousand cubic feet to barrels or weighted 16:1, “the hydrocarbons in place is still significantly and more favorable than the Scoop,” Sieler said.

“It’s over-pressured. You have to put a string of casing in there. It probably adds $1 million to $1.5 million in your well costs.”

Jessica Pair, upstream manager for research and consulting firm Stratas Advisors, said the Stack and Scoop are estimated to have at least three to four production targets each, “with some operators suggesting close to 10.”

Sieler said that in the Scoop’s super-thick Woodford horizon, the formation could take five landed horizontals alone.

Pair said that at current market prices, well performance in the Stack in Kingfisher County, Okla., and the Scoop in Garvin and Stephens counties, suggest that both plays “will likely continue its forward momentum and will be areas of great interest as prices recover.”

The Stack play is a couple of years younger than the Scoop play, but “the Stack could compete with the Permian” as best practices continue to be developed. “Wells drilled in the Stack have produced median EURs of more than 260 Mboeand IP rates greater than 550 boe/d,” she said.

Within the Stack, the best breakevens are being seen in Kingfisher County at $37.26 WTI. Breakeven in Canadian County has been $49.75.

In the Scoop, the breakeven is $35.36 in Garvin County; $40.10 in Stephens; $56.46 in Grady; $65.74 in Grayson; and more than $100 in Marshall and Love, she said.

By operator in the Stack play, Cimarex Energy Co. (NYSE: XEC) is showing the lowest median breakeven at $29.38 WTI. Other operators include Newfield Exploration Co. (NYSE: NFX) at $34.12 and Devon Energy Corp. (NYSE: DVN) at $71.60.

By operator in the Scoop play, Newfield has the lowest breakeven at $32.08 followed by Continental Resources Inc. (NYSE: CLR) at $48.48.

Sieler noted that recent Stack transactions have valued Tier 1 acreage at between $12,000 and $20,000 an acre. An attendee asked Sieler about market valuations of nonoperated Stack acreage vs. operated.

“There are buyers for both of those. … I don’t necessarily believe there has to be a discount,” Sieler said. “We do see financial institutions that are looking for great operators with solid cash flows and they are willing to pay for that. On the other hand there are many people who are well funded that are looking for drilling opportunities and want to create value… . The short answer is that there could be a perceived [discount] but there are … quality nonop opportunities out there.”

Nissa Darbonne can be reached at ndarbonne@hartenergy.com.