Eagle Ford Shale

Chesapeake Energy Updates Eagle Ford Shale Operations

Chesapeake Energy (CHK) reported an update on its operations in the Eagle Ford Shale during the fourth quarter of 2011. 

Chesapeake Energy reported average daily production of 17,700 barrels of oil equivalent (BOE) per day in the final quarter of 2011.  This was a 60% sequential increase and a 370% increase on a year over year basis. The company is currently producing 45,500 gross BOE per day and 22,600 net BOE per day from the Eagle Ford Shale.

Chesapeake Energy said that the company’s production mix was approximately 50% crude oil, 20% natural gas liquids and 30% natural gas.

Chesapeake Energy has 178 producing wells in the Eagle Ford Shale and a backlog of nearly 200 wells in various stages of drilling and completion. The company ended 2011 with seven hydraulic fracturing crews and plans to have 11 by March 2012 and 13 by the end of 2012.

Marathon Oil - Eagle Ford Shale Operational Update

Marathon Oil (MRO) released an update on the company’s operations in the Eagle Ford Shale in Texas, where the company has increased its position to 300,000 net acres.

Marathon Oil is operating 14 rigs in the Eagle Ford Shale and plans to add four more rigs here by the third quarter of 2012.  The company also has four hydraulic fracturing crews under contract and eight wells waiting on completion.

Marathon Oil is currently producing 15,000 barrels of oil equivalent (BOE) per day and expects to meet production guidance for 2012 of 30,000 BOE per day.

Rosetta Resources To Spend $590 Million In Eagle Ford Shale In 2012

Rosetta Resources (ROSE) announced a 2012 capital budget of $640 million and will spend $590 million or 90% of the funds on the company’s acreage in the Eagle Ford Shale.  The expenditures will be funded through cash flow and the company’s credit facility.

Rosetta Resources expects these expenditures to increase production from the Eagle Ford Shale by 40% over 2011.  The company will operate four rigs and complete sixty wells during the year in the company’s Gates Ranch project as well as on other parts of its properties.

2011 Eagle Ford Shale Summary

Rosetta Resources completed 45 net wells into the Eagle Ford Shale in 2011 and expects to exit 2011 with production of 195 million cubic feet of natural gas equivalent per day.