Penn Virginia Corporation has reported financial results for the third quarter of 2014, and provided updates of its operations.
- Total production increased 4% to 22,706 barrels of oil equivalent per day (boepd) compared to the prior quarter, exceeding the upper end of guidance by 3%.
- Eagle Ford Shale production increased 8% to 16,929 boepd compared to the prior quarter.
- Pro forma for the sale of Mississippi properties in July, total production increased 11% to 22,054 boepd.
- Oil and NGL volumes were 74% of total equivalent production compared to 70% in the prior quarter.
Operations - Eagle Ford
- Initial potential (IP) from operated horizontal wells (excluding shallow wells) averaged 1350 boepd, including five wells with IPs of over 1900 boepd.
- 12 wells are currently completing or flowing back (including six Upper Eagle Ford wells), 14 wells are currently waiting on completion (including six Upper Eagle Ford wells) and eight operated wells are currently being drilled (including three Upper Eagle Ford wells).
- Eagle Ford acreage now approximates 145,500 acres.
- Approximately 2500 net acres were added since the last quarterly report at an average cost of US$ 1700 per acre.
H. Baird Whitehead, President and CEO, stated, "In the third quarter of 2014, production exceeded the upper end of guidance, supporting strong cash flows and margins in line with our expectations. Our continued focus on improving execution is showing results as we transition to using larger production casing. This change is driving fewer operational delays and eliminating inefficiencies with our service providers. Based on these improvements, we are reaffirming production guidance for the fourth quarter of 2014. In addition, we have begun completions of our most recently drilled Upper Eagle Ford wells and we believe the play is highly prospective across our acreage.”
Adapted from press release by Katie Woodward
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/31102014/penn-virginia-q3-2014-results-1743/