-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, C+ux9LMe6Wnp1p5Jgn3ZDf0QQTjkBFip+jvx7DuoPxW5f7bnEBFMpmAo1wL76UMZ FQnyjNDTxCUvtw3Iv2uh3w== 0001275287-05-002847.txt : 20050728 0001275287-05-002847.hdr.sgml : 20050728 20050728145557 ACCESSION NUMBER: 0001275287-05-002847 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050727 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20050728 DATE AS OF CHANGE: 20050728 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BRIGHAM EXPLORATION CO CENTRAL INDEX KEY: 0001034755 STANDARD INDUSTRIAL CLASSIFICATION: CRUDE PETROLEUM & NATURAL GAS [1311] IRS NUMBER: 752692967 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-22433 FILM NUMBER: 05980695 BUSINESS ADDRESS: STREET 1: 6300 BRIDGE POINT PARKWAY STREET 2: BLDG 2 SUITE 500 CITY: AUSTIN STATE: TX ZIP: 78730 BUSINESS PHONE: 5124273300 MAIL ADDRESS: STREET 1: 6300 BRIDGE POINT PARKWAY STREET 2: BLDG 2 SUITE 500 CITY: AUSTIN STATE: TX ZIP: 78730 8-K 1 be3211.htm

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.  20549


FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934


Date of Report (Date of earliest event reported): July 27, 2005

BRIGHAM EXPLORATION COMPANY
(Exact name of registrant as specified in its charter)

Delaware

 

000-22433

 

75-2692967

(State or other jurisdiction
of incorporation)

 

(Commission
File Number)

 

(IRS Employer
Identification No.)


6300 Bridgepoint Parkway
Building Two, Suite 500
Austin, Texas  78730
(Address, including zip code, of principal executive offices)

Registrant’s telephone number, including area code:  (512) 427-3300

 


(Former name or former address, if changed since last report.)


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

o

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

 

o

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

 

o

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

 

o

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13a-4(c))

 




Item 2.02  Results of Operation and Financial Condition.

          Registrant is furnishing its press release dated July 27, 2005, which provides operational update.  The text of the press release is furnished as attached hereto as Exhibit 99.1. 

Item 7.01  Regulation FD Disclosure.

          Registrant is furnishing its press release dated July 27, 2005, which provides operational update and provides update to second quarter 2005 production forecast.  The text of the press release is furnished as attached hereto as Exhibit 99.1. 

Item 9.01  Financial Statements and Exhibits.

          (c)     Exhibit 99.1     Press release dated July 27, 2005.

2



SIGNATURE

          Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

BRIGHAM EXPLORATION COMPANY

 

 

 

Date:  July 28, 2005

 

 

 

By:

/s/ EUGENE B. SHEPHERD, JR

 

 


 

 

Eugene B. Shepherd, Jr.

 

 

Executive Vice President &

 

 

Chief Financial Officer

3



 

INDEX TO EXHIBITS

Item Number

 

Exhibit


 


99.1*

 

Press Release dated July 27, 2005

4


EX-99.1 2 be3211ex991.htm

Exhibit 99.1

Brigham Exploration Announces Apparent Lower Frio Discovery and Provides Operational Update

          AUSTIN, Texas, July 27 /PRNewswire-FirstCall/ -- Brigham Exploration Company (Nasdaq: BEXP) today announced an apparent discovery with its State Tract 254 #1 Appling Deep Southwest well, its second discovery in two attempts in its eight well high reserve potential portion of its 2005 drilling program. Brigham also updated other operational activity.

SIGNIFICANT WELLS RECENTLY COMPLETED, CURRENTLY COMPLETING OR DRILLING

Well

 

Objective

 

Category

 

WI%

 

NRI

 

Status / Comments


 


 


 


 


 


Dawson #2

 

Vicksburg

 

Dev

 

100%

 

76%

 

Commenced late June @ 5.4 MMcfe/d

Wyse #1

 

Lwr Frio

 

Exp

 

50%

 

40%

 

Commenced early July @ 1.6 MMcfe/d prior to frac, 1ST offset spud in August

Appling #1

 

Mid Frio

 

Dev

 

75%

 

51%

 

Commenced mid July @ 1.4 MMcfe/d unstimulated

Hobart 59-1

 

Gr Wash.

 

Dev

 

99%

 

81%

 

Commenced late June @ 4.4 MMcfe/d after stimulation

Hobart 60-3

 

Gr Wash

 

Dev

 

98%

 

80%

 

Commenced mid July @ 5.2 MMcfe/d after stimulation

Sullivan C-29

 

Vicksburg

 

Dev

 

100%

 

76%

 

Commenced late July @ 5.2 MMcfe/d after stimulation of Vicksburg “7”

State 22 #1

 

Wolfcamp

 

Exp

 

100%

 

83%

 

Completing, swabbing good oil cut & preparing to stimulate to improve productivity

State Tract 254 #1

 

Lwr Frio

 

Exp

 

75%

 

56%

 

Completing, encountered approx 100’ of apparent net pay in Lwr & Middle Frio

Bayou Bengal B #13

 

Lwr Frio

 

Exp

 

75%

 

52%

 

Encountered significant drilling shows, setting intermediate casing

Mills Ranch #2-98

 

Hntn/Arb

 

Dev/Exp

 

100%

 

75%

 

DST behind pipe pay flowing with strong pressures, drilling to Arbuckle

Wright #2

 

Springer

 

Exp

 

100%

 

75%

 

Recently spud, estimated total depth of 13,000 feet, results expected in September




          Apparent Lower Frio Field Discovery -- Brigham is currently completing the State Tract 254 #1, after encountering approximately 69 feet of apparent net pay in the Lower Frio Anomalina, 10 feet of apparent net pay in the Lower Frio Tex Miss, and 21 feet of apparent net pay in the Middle Frio.  These pay counts were calculated using wireline logs, formation tests that recovered gas in the Middle Frio, and 25 processed rotary sidewall cores, with an additional 31 cores still being processed.  Brigham will discuss any further developments regarding the State Tract 254 #1 on its earnings call scheduled for August 3rd.  During drilling, the apparent pay intervals in the Lower Frio Anomalina generated mud log shows and gas flares, prior to reaching the well’s total depth of 15,200 feet.  The State Tract 254 #1 offsets a 1984 well drilled in the same fault block that was producing approximately 1.4 MMcfe/d from one of the Lower Frio Anomalina intervals prior to a casing collapse.  The State Tract 254 #1 encountered additional sands in the Lower Frio Anomalina at a structural elevation approximately 175 feet high to this offsetting well.

          The State Tract 254 #1 and the currently drilling Bayou Bengal B #13 are Brigham’s first Lower Frio tests in its Bayou Bengal project, in a prolific area which has produced over 400 Bcfe to date from the Upper Frio.  The combined gross reserve potential for the Lower Frio in the adjacent fault blocks being tested by these two wells, utilizing 45 feet of potential net pay per well, was previously estimated at over 110 Bcfe.  Brigham retains 56% and 52% revenue interests in the State Tract 254 #1 and Bayou Bengal B #13 wells, respectively.  Royale Energy, Inc. (Nasdaq: ROYL) is also a participant with a 25% working interest in each well.  Additional results for the State Tract 254 #1 and the Bayou Bengal B #13 are expected in mid to late August.

          Bud Brigham, the Chairman, President and CEO stated, “Although we’re never certain until the well is producing to sales, the results encountered to date by the State Tract 254 #1 are encouraging.  The State Tract 254 #1 is the second of eight high potential wells we plan to drill in 2005, the first of which was our Wyse #1 Lower Frio discovery, which has finally been hooked up to sales, though it has yet to be fracture stimulated.  Given that the high reserve potential Bayou Bengal B #13 tests the same Lower Frio intervals as the State Tract 254 #1 in an adjacent fault block, and given the strong shows we’ve already encountered in the well, we’re encouraged about the Bayou Bengal B #13 as well.”

          Mills Ranch #2-98 Drill Stem Test -- Brigham recently drill stem tested the behind pipe pay zone in the Mills Ranch #2-98 at a depth of approximately 22,000 feet.  The zone commenced flowing natural gas at an estimated unstimulated rate of 3.5 MMcf of natural gas per day prior to an apparent failure of a packer above the interval.  Brigham elected to perform a drill stem test after sticking drill pipe approximately 200 feet above the deeper Arbuckle objective.  Following the drill stem test Brigham sidetracked the well at a depth estimated to be 600 feet above the Arbuckle formation, and the well is currently drilling at a depth of approximately 23,740 feet.  Results for the Arbuckle are expected by late August.

          Bud Brigham stated, “Although we were unable to complete the drill stem test of the behind pipe pay interval in the Mills Ranch #2-98, we’re very encouraged by the early flow data and particularly the strong shut in bottom hole pressures measured.  We believe that these pressures indicate that other producers on the structure have probably not materially depleted the pay zone tested.  We estimate that we are only about 550 feet from the Arbuckle, and we therefore hope to be completing this well to sales by late August.”

          2005 OPERATIONAL STATISTICS

          Brigham has spud 20 wells thus far in 2005, retaining an average working interest of approximately 59%.  Seventeen of these wells have been or are currently being completed and the remaining three 2005 wells are currently drilling.  In addition, one 2004 well is still drilling, the Mills Ranch #2-98.  Brigham’s gross and net completion rate thus far in 2005 is 100%. Brigham expects to commence six additional wells by the end of the third quarter of 2005.

          Bud Brigham stated, “During the first six months of the year we had an unusually long gap without significant wells coming on line, though we’ve had a large grouping of impactful wells commence producing at mid-year.  We had previously anticipated that a few of these wells, namely the Wyse #1, the Sullivan C-29 and the Dawson #2, would contribute to our second quarter volumes, but they came on line too late to materially impact the quarter.  As a result, we now expect our second quarter production to be slightly below that of the first quarter, at approximately 29.5 MMcfe/d.  However, given the unusual number of significant wells we’ve recently completed, we estimate our average net daily production rate for the month of July to be approximately 33 MMcfe/d, and our current daily rate to be approximately 36 MMcfe/d.  Our recent completions, the wells currently completing, and the wells currently drilling provide improved visibility for the anticipated growth in production volumes during the third quarter.”



          About Brigham Exploration

          Brigham Exploration Company is a leading independent exploration and production company that applies 3-D seismic imaging and other advanced technologies to systematically explore and develop onshore domestic natural gas and oil provinces.  For more information about Brigham Exploration, please visit our website at www.bexp3d.com or contact Investor Relations at 512-427-3444.

          Forward Looking Statement Disclosure

          Except for the historical information contained herein, the matters discussed in this news release are forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are based upon current expectations.  Important factors that could cause actual results to differ materially from those in the forward looking statements include risks inherent in exploratory drilling activities, the timing and extent of changes in commodity prices, unforeseen engineering and mechanical or technological difficulties in drilling wells, availability of drilling rigs, land issues, federal and state regulatory developments and other risks more fully described in the company’s filings with the Securities and Exchange Commission.  All forward looking statements contained in this release, including any forecasts and estimates, are based on management’s outlook only as of the date of this release, and we undertake no obligation to update or revise these forward looking statements, whether as a result of subsequent developments or otherwise.

          Contact:
          John Turner, Director of Finance & Business Development
          (512) 427-3300

SOURCE  Brigham Exploration Company
          -0-                    07/27/2005
          /CONTACT:  John Turner, Director of Finance & Business Development of
Brigham Exploration Company, +1-512-427-3300/
          /Web site:  http://www.bexp3d.com /


-----END PRIVACY-ENHANCED MESSAGE-----