Haynesville Shale

EXCO Resources Issues Haynesville Shale Budget For 2011

EXCO Resources (XCO) released preliminary information on its proposed capital budget for exploration and development activities for 2011.  The company plans to spend $976.2 million in 2011 on various activities, including $757 million in Texas and Louisiana, where the company is developing the Haynesville Shale.  The funds will be spent as follows:

Drilling and Completion Costs - $683 million

Lease Acquisitions - $29.8 million

Operations Projects - $41.8 million

Seismic Data Acquisitions - $2.4 million

EXCO Resources plans to operate 22 drilling rigs to drill and complete 163 gross or 58.7 net wells into the Haynesville Shale. The company will also participate in 70 gross wells on a non operating basis.

EXCO Resources will operate 15 rigs in the Holly project area in DeSoto and Caddo Parishes in Louisiana, and 7 rigs in the Shelby Trough area in Nacogdoches, San Augustine and Shelby Counties in Texas.

Comstock Resources Comments On Haynesville Shale - Part Two

Comstock Resources (CRK) held a conference call on August 3, 2010, to discuss the company’s second quarter earnings. The company made some comments on its operations in the Haynesville Shale, where Comstock Resources has 78,000 net acres.

“We also spent $62 million this year to acquire exploratory acreage. $39 million was spent to acquire 5,000 additional net acres respective for the Haynesville Shale in North Louisiana.”

“Since our last operational update, we’ve completed five operated Haynesville Shale wells. Three of the completed wells are in our North Toledo Bend field in DeSoto Parish Louisiana; one is in Logansport Field in DeSoto Parish and one in the Beckville field in Harrison County, Texas.”

“The wells North Toledo Bend were tested, at an average per well initial production rate of 10 million per day. The Logansport well was tested at 16 million per day and the Beckville well in East Texas was tested at 9 million per day. These wells were drilled with horizontal laterals from 4500 to 5000 feet and were completed with 15 to 18 frac stages.”

“Our planned activity this year to further develop our Haynesville and Bossier Shale acreage. 41 wells are planned for Logansport and 15 are planned for Toledo Bend North and South field.”

“The initial production rates reflect our choke back program where new completions are being tested and produced with a tighter choke to maintain a high reservoir pressure and the well for a longer time. We believe that the ultimate reserve recovery will improve when the well’s completed in this manner.”

Source

EXCO Resources Updates Second Quarter Of 2010 Haynesville Shale Operations

EXCO Resources (XCO) has 80,000 net acres under lease in the Haynesville Shale and recently reported on its operations there during the second quarter of 2010. The company is involved in a joint venture with BG Group (BG), and is focused on developing acreage in De Soto and Caddo parish, and in the Shelby Trough in East Texas.

EXCO Resources operated eighteen rigs in the Haynesville Shale during the second quarter of 2010, and plans to increase this to twenty-two rigs by the end of 2010. The company plans to drill 140 operated wells in the Haynesville Shale in 2010.

EXCO Resources reported net production of 128 million cubic feet equivalent per day from the Haynesville Shale during the second quarter of 2010. This production increased to 160 million cubic feet equivalent per day by August 3, 2010.