Sanchez Energy’s Reserves Near 60 Million Barrels – Production Surges in Q4

Fourth Quarter Production Up 905% From Q4 2012 and Up 60% From Q3 2013
Sanchez Energy Eagle Ford Map Jan 2014

Sanchez Energy Eagle Ford Map Jan 2014 | Click to Enlarge

Sanchez Energy’s proved reserves are up 178% from a little more than 20 million boe at year-end 2012 to 58.9 million boe at December 31, 2013.

Reserves increased as a result of successful development in the Eagle Ford and multiple acquisitions during 2013.

In the fourth quarter alone, Sanchez grew Eagle Ford production 60% over the third quarter to 18,810 boe/d. More impressively, the company increased production year over year by 905%.

Also read: Sanchez Energy Plans to Spend $600 Million in the Eagle Ford in 2014

A total 32 net wells were brought online in the fourth quarter 15 additional wells are in some stage of drilling and completion.

A strong fourth quarter puts the company is a great position to reach the high end or outperform guidance of 21,000-23,000 boe/d in 2014. Contributions from the Tuscaloosa are not accounted for in guidance, so success there will only increase the likelihood of the company outperforming guidance.

Tony Sanchez, III, CEO, commented: “2013 was a transformative year for the Company. Our production and reserves grew tremendously as a result of successfully executing our 2013 capital plan and completing several acquisitions.”

Sanchez Energy was busy in 2013. The company made several acquisitions to supplement its acreage in the Eagle Ford and stepped out of the play for the first time by acquiring acreage in the Tuscaloosa Marine Shale.

A few highlights from 2013 include:

Drilling in 2014 will be focused on operated properties and the company is moving forward with development at 40-acre spacing in the Cotulla, Palmetto, and Wycross areas.

Read the full operational update at sanchezenergycorp.com

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R.T. Dukes

R.T. Dukes

Managing Editor at EagleFordShale.com
R.T. is the managing editor of EagleFordShale.com. In prior roles, he advised major oil companies on strategy, the macro business environment, and opportunity screening. 2503 Robinhood, Houston, TX, 77005, U.S.A. | Telephone: 832.429.4790

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