Pioneer Hits Record Q4 Eagle Ford Production – 40,000 boe/d

Pioneer's 2014 Capital Budget Set at $545 Million for the Eagle Ford
Pioneer Eagle Ford Production

Pioneer Eagle Ford Production | Click to Enlarge

Pioneer set a record for its fourth-quarter 2013 production in the Eagle Ford Shale, averaging 40,000 boe/d. That’s up ~14% from 35,000 boe/d in the fourth-quarter of 2012.

Forty-one wells were placed on production during the quarter in the Eagle Ford. Full-year 2013 production averaged 38,000 boe/d. That’s an increase of ~35% compared to average production of 28,000 boe/d in 2012.

In the fourth-quarter, the Eagle Ford contributed to Pioneer’s net recoverable resource potential, which increased from more than 8 billion boe to more than 10 billion boe.

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Oil & Gas Jobs in South Texas Are Abundant

Only 15% of South Texas oilfield jobs added by 2021 will require a college degree
Eagle Ford Event Registration Line Photo

Registration line at a recent Eagle Ford Expo | Click to Enlarge

Oil and gas jobs in South Texas are abundant. From gate guards to industry sales reps and engineers, there’s a flood of new people running the roads of South Texas and more open positions than companies can find qualified people for. The Eagle Ford Shale oil boom has added oil and gas jobs in South Texas at a rate no one could have predicted.

Pioneer Natural Resources, an Irving, Texas-based driller, has hired 400 people in the South Texas area in the last two years, says Joey Hall, vice president in charge of Pioneer’s South Texas Asset Team.

About 75% or a little more of Pioneer’s workers are located in the field and contractors employ another 1,000 people who help build rigs and move crude. [Read more…]

Pioneer Taps the Brakes in the Eagle Ford

Pioneer Natural Resources had planned to grow its rig count to 14 in 2012, but 25% of the company’s development was set for dry gas. With natural gas prices below $3/mmbtu, Pioneer is backing off and delaying the two new rigs until 2013. The company still plans to have 19 rigs running by 2015.

Production also made a considerable jump in the fourth quarter. The company produced more than 20,000 boe/d, compared to 14,000 boe/d in the third quarter. Gathering constraints are being eased and more companies are seeing significant production jumps.  [Read more…]

Pioneer Natural Resources Adds Frack Crew – White Sand Completions – Q311 Ops

Pioneer Natural Resources (PXD) reported strong growth from its Eagle Ford Shale assets when the company operates in partnership with Reliance Industries. The company is currently running 12 rigs in the play and has assembled 2 frack crews solely dedicated to the Eagle Ford. The second crew will be active in Q4 2011. Both crews compliment the company’s two-year third party completion agreement.

Wells are producing a 65% liquids cut that includes oil, condensate, and NGLs. Average wells laterals extend 5,500 ft and completions involve 13 frack stages. Wells are being brought on at restricted rates (16/64ths) to protect against reservoir damage at high flow rates. To date, company is seeing improved declines.

The company’s midstream partnership will continue to build out gathering facilities in 2012 and will begin financing construction through outside sources in the next year. Well costs across the play average $7-8 million, but the company is saving as much as $700,000 per well by utilizing white sand in the more shallow portions of the play.

Production grew quarter over quarter from 8,000 boe/d to 14,000 boe/d and is expected to reach as high as 60,000 boe/d in 2014.  [Read more…]

Caller’s Oil & Gas Report For Oct. 4, 2011

Eleven well permits were reported in the Caller’s Oil & Gas Report. The most significant of those are two 21,000 ft permits by Pioneer Natural Resources. Both wells were permitted in Live Oak County, with one in the Sugarkane field and one in the Eagleville field.

Longer laterals are the trend in shale  plays. Drilling an extra foot or thousands of feet is much more efficient than drilling multiple wells. Of course, there is a point of diminishing returns due to technical limitations, but operators are routinely drilling 10,000 ft laterals in other shale plays. [Read more…]