Devon Energy (DVN) reported average production of 220,100 barrels of oil equivalent (BOE) per day from the Barnett Shale in the fourth quarter of 2011. The company was operating 12 rigs at the end of 2011, but plans to drop two rigs in 2012. Devon Energy drilled 83 gross wells during the quarter, and 309 during the full year.
Devon Energy has allocated $950 million in capital to develop properties in the Barnett Shale in 2012 and will drill 300 wells during the year. Devon Energy reported proved reserves of 1.15 billion BOE in the Barnett Shale at the end of 2011.
Devon Energy is using pad drilling to develop the Barnett Shale and recently brought a 22 well pad onto production, with average initial production rates of 3.2 million cubic feet of natural gas equivalents per day.