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.

Hess Corporation - Eagle Ford Shale Comments - Q4 2011 Conference Call

Hess Corporation (HES) held an earnings conference call on January 25, 2012, to discuss the company’s fourth quarter of 2011 and full year earnings.  The company disclosed some additional information on its Eagle Ford Shale operations.

“In the Eagle Ford Shale, we plan to continue to delineate our acreage position, operating a 3-rig program and drilling approximately 25 to 30 wells in 2012.”

“So our current focus remains on continuing to delineate our acreage, particularly the Northeast as we move into 2012. And we're pleased with the results to date. We've got 109,000 net acres in the Eagle Ford. We've drilled 29 wells. We've got 22 completed and on production now, 18 with 30-day initial production rates, and those are ranging between 350 and 650 barrels per day, with an average of about 500 barrels per day. So, so far, so good on the Eagle Ford.”

Source

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.