Permian Basin 2018

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PERMIAN BASIN: KEY PLAYERS 24 | October 2018 | Exxon Mobil/XTO Energy Exxon Mobil and its subsidiary XTO Energy are producing more than 165,000 net boe/d across their Permian Basin leasehold and more than 3.9 million acres in Texas, according to the company's website. Exxon Mobil recently drilled its fi rst 12,500-ft horizontal lateral length well in the Delaware Basin and has completed multiple 15,000-ft horizontal lateral length wells in the Midland Basin. Assets acquired in 2017 included an estimated resource of 3.4 Bboe in the Delaware Basin and another 22,000 acres located in the Delaware and Midland basins, the website stated. In a January 2018 press release, Exxon Mobil said it plans to triple total daily production to more than 600,000 boe by 2025 from its operations in the Permian Basin in West Texas and New Mex- ico. "Tight oil production from the Delaware and Midland basins will increase fi vefold in the same period," the report stated. "Through capital-effi - cient production growth, the increased volumes will be driven by reduced drilling costs, technology improvements and expanded acreage." Laredo Petroleum Independent Laredo Petroleum operates pri- marily in the Permian Basin of West Texas. The company's Permian activities are centered on the east side of the basin in primarily Glasscock and Reagan counties. The company has more than 140,000 gross acres (mostly contiguous and 85% HBP). In the second quarter, Laredo produced a com- pany record of 67,206 boe/d, an increase of 15% from the second quarter of 2017, according to the company's second-quarter 2018 results report. The company completed 20 gross horizontal wells, exceeding the company's expectations of 17 gross completions, and it invested approximately $169 million in drilling and completions activities in the second quarter. Laredo completed 40 gross horizontal wells in the fi rst half of the year, and at press time it expected to complete 16 gross horizontal wells (16 net) in the third quarter of 2018 and approximately 70 net hor- izontal wells during 2018, according to the report. Occidental Petroleum Occidental Petroleum is one of the largest opera- tors and oil producers in the Permian Basin with nearly 2.5 million net acres. The company's average total net Permian production in the second quarter of 2018 was 354,000 boe/d. Permian Resources, the company's unconven- tional business unit, had 25 of the top 50 wells in the Permian Basin from July 2017 to July 2018, according to the company. Permian Resources production, primarily in the Delaware Basin in Texas and New Mexico, was 201,000 boe/d in the second quarter of 2018, up 14% from the previous quarter and up 46% from the second quarter of XTO Energy's operations at a Wolfcamp drillsite are producing high volumes of oil this year. (Photo courtesy of Exxon Mobil)

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