What could be better than drilling for the prolific Codell Sand in Weld County, Colo.—one of the most heavily drilled counties in the oil patch? Look north, young man.
A confluence of events is making a Codell play gather momentum in Laramie and Goshen counties, Wyo., east of Cheyenne, as drilling activity in the venerable Denver-Julesburg Basin moves across the state line. This northern extension of the basin is unpopulated compared to the suburban sprawl northeast of Denver that has led to regulatory headaches as housing developers and drillers compete for air time.
Here in Wyoming, one finds windswept plains and roaming pronghorn. But there’s plenty of action too, as lease prices in Laramie County have risen tenfold in the past 12 months, sources told Investor. Due to recent drilling success in the area, leases have sold for as much as $1,500 per acre in auctions during the past year. In the state lands sale in March, several tracts in Goshen County, township 19N, 64W, went for more than $1,000 an acre, topping out at $1,502 per.