Denbury’s CO2 Operations
- Sweet Crude
- 40° API Gravity; approximately equal to NYMEX
- Finding and Development Costs
- ? $4.00/Bbl
- Operating costs of ? $9.00/Bbl
- CO2 Requirement 10-12.5 Mcf/Bbl
- Significant 3rd Party Income
- Approximately $7 MM/yr of net operating income from industrial customers
- Demonstrated Success in CO2 Flooding
- 35% CAGR in Little Creek production
- Little Creek, W. Mallalieu & McComb Fields
- 27.9 MMBOE proved reserves at 12/31/02
- Southwest Mississippi Fields Along Existing 183-mile Pipeline
- 50-65 MMBOE of potential reserves
- Scheduled for development over 4 yrs
- Majority of fields already owned by DNR
- Same reservoir as Little Creek and W. Mallalieu
- CO2 capacity: 450 MM/D at current operating pressures; currently moving 175 MM/D