While the market continues to have a fascination with Continental Resources' (NYSE:CLR) earnings release surrounding STACK density pilot results, they are failing to notice their amazing announcement - Continental will (finally!) be developing a portion of their most prized asset - the SCOOP Springer.
Our internal analysis suggests the SCOOP Springer boasts the best Initial Production-to-Type Curve combination of any play in the United States with the average well producing more than 1,000 barrels of oil coupled with very shallow initial decline rates (~55%), which is why Continental improved their type curves from 940 Mboe to 1,200 Mboe (175% ROR at 7,500' lateral length). We can expect 31 gross wells (26 net) to be completed to the Springer in FY2018, being drilled by 5 dedicated rigs.
