oilfield insights

EOG Resources, Marathon, and Statoil Dominate Karnes County in Eagle Ford Shale

Karnes county, located in the Eagle Ford, just southeast of San Antonio is the most active county in the play. In this core acreage there are 8 rigs running operated by H&P, Nabors and Patterson-UTI. All of these rigs are drilling horizontal wells for Marathon, EOG Resources, Statoil and Encana. The map below shows the activity in the past month in the county, with the blue pines being permits and the green being completions.Permit Activity Remains Steady in 2016 Permit activity...

Read More

QEP Resources Increases Permian Position & Exhausts Almost 50% of Budget

QEP Resources (NYSE: QEP) is an independent operator targeting crude oil and liquids rich gas plays in the United States. The company focuses in the Williston, Permian, Pinedale and Uinta basins and plans on spending $450 to $500 million this year excluding acquisitions and exploratory drilling. QEP is currently running three rigs, one each in the Williston, Permian and Pinedale basins with the option to add a fourth in late 2016.The chart below shows QEP versus peer operators comparing the...

Read More

Callon Petroleum Expects 50% Production Growth for Permian

Callon Petroleum (NYES: CPE) is a pure play Permian operator focused in Midland,Howard and Regan counties and is currently running a one rig program. Callon achieved production of 12,440 Boepd during the first quarter realizing production growth of 45% since the first quarter of 2015. Second quarter production is forecasted to be 14,000 Boepd at the midpoint. CPE expects to reduce fracturing cost by 62% from the last quarter of 2014 in the second quarter of 2016. Big Star Acquisition Adds Inventory...

Read More

Energen Prepares for 2017 Increasing Budget by Over $100 Million

Energen Corporation (NYSE: EGN) is a pure play operator in the Permian Basin that recently increased its budget to drill more wells this year to grow its inventory of DUCs. The company increased its budget by $100 to $150 million which is expected to be spent in the second half of the year on building the inventory of DUCs. This brings Energen’s total capex in 2016 to $350 to $400 million with $250 to $300 for the Midland Basin and...

Read More

E&P Earning Season Ends with DUCs, Bankruptcy, & Divesting Themes

Taking a look back at the first quarter we will review some updates from operators around the country and how they have held up into 2016 and are preparing for the rest of the year. Many have increase production guidance showing that they can still produce with declining capital budgets and others are looking to asset sales to gain liquidity. Below are some highlights from the quarter. Devon Energy Increases Production Guidance During the first quarter Devon Energy (NYSE: DVN) spent $363...

Read More

Grady County (OK): Spotty Completion Activity with Permitting Holding Steady

Oklahoma currently holds the second largest concentration of rigs in the U.S. according to the BHI Land Rig Count. So where is the activity coming from? Grady county in the SCOOP has 14 completions since the start of the year. Permitting has fallen since commodity prices to a dive but they have recently leveled off going into 2016.  Drilling Activity Doesn't Equate to Well Completions In he first four months of 2016 there have been under 100 completions compared to over 750 during the...

Read More

Noble Energy Increases Production with Less Capital

Noble Energy (NYSE: NBL) continued to show discipline in the first quarter of 2016 coming in under the low end of their CAPEX guidance of $400 to $500 million at $374 million for the quarter. Cost cutting efforts have helped the company grow production while spending less. Noble exceeded the company’s production guidance at 416,000 Boe/d for the first quarter.IP-Rates Increase by 30% in the DJ-Niobrara First quarter production in the DJ basin totaled 118,000 Boe/d which has been attributed to...

Read More

Reeves County: Permitting Cut in Half & Completions Continue to Fall

Activity has migrated into the Permian due to some of the lowest breakeven points in the industry but that doesn’t mean new drilling activity has held up. Reeves county has taken a hit with lower well completion activity, too, in this sub $50 commodity environment. Even with reported breakeven prices around $35 per barrel, operators continue to release rigs.Since the start of 2016 it has had 13 completions from operators like EOG Resources (NYSE: EOG), Pioneer Natural Resources (NYSE: PXD) and Apache (NYSE: APA), down...

Read More