Jacob Roberts: Great. Appreciate it. And looking — I know this is a really long-term question. But Jay, you mentioned the 4 rigs on the Western Haynesville on 2025 and then this plan to step up to 2 Bs a day in 2028. Can you talk a little bit about the rig count you think you might need to get to that level by 2028?
Miles Allison: Well, as we go — it’s really 2 questions. One — rather 3 questions. One, how many rigs we have to have, we think, to hold our big footprint in the Western Haynesville. We think we probably have to have a fourth rig by 2025. So that — it’s not 10 or 12 rigs. It’s 4 rigs. I mean that’s the beauty of the play how we lease this starting over 3 years ago, how we leased it because we needed to look at the rig count. We think depending upon the laterals and unitization, we probably need 4 rigs at some point in time to hold all that acreage. That’s all of the acreage. So as the wells have performed, we went from 1 rig to a second rig. And now the wells, as Dan has said and Roland has shown in the financial results, it calls for a third rig.
Remember, we had 3 new Cactus rigs built. One, we’ve started using several months ago, we’ll get another one in November and get another one, I think, in February. And those are built really to drill these wells in the Western Haynesville. So that’s 1 question. Second question is, if you take a model, and you have a JV with midstream with a quantum. They want to see what we look like down the road. So we model that out to 2028, and that’s where you end up with that 2 Bs a day. So as we get there, though, if you look at the core, we’ve got — we’ve gone from 9 to 8 to 7 to 6 to 5 rigs in the core. And now we have 5 and 2. So next year, we should have 4 in the legacy or the core and 3 in the Western Haynesville. That still has 7 rig count that we talked about, and Dan mentioned earlier in his presentation.
So we don’t see adding any gross numbers of rigs. We keep our 7 rigs. We just deploy them in different areas for 2024. And then we see what happens in 2024 with the results of the Western Haynesville and commodity prices. So that’s where we go in guidance. It’s the same rig count.
Operator: And our next question comes from Bertrand Donnes from Truist.
Bertrand Donnes: Jay, I just want to start off and say thanks for not putting out your press release on Hollywood — Halloween night for us with young children.
Miles Allison: I guess on that [indiscernible].
Bertrand Donnes: Exactly, exactly. And then the first question, just on the agreement. Were there talks to go beyond $300 million to start or was that just kind of a happy medium for both parties to get a little more data and then expand it. And maybe where I am going with that, is there any interest in eventually allowing third party gas into the system?
Roland Burns: I think it was kind of designed to be what we needed. It’s got lots of flexibility. So it’s not — we’re not building out any particular volume. We’re just going to continue to build out our — the system as the well results tell us what we need. So let’s not act like we’re going to spend the whole amount on day 1. So we’re — and then I think it’s got lots of flexibility to expand or stay at a smaller level. So that’s the — why we really like this partnership. Comstock will operate it, make all the decisions. We’ve hired a very experienced midstream group that’s going to run this project and build this out. And then Quantum will be kind of our financial partner. So it’s got lots of flexibility as far as how much we spend.
