Pioneer Reports Year-End Eagle Ford Shale Reserves of 70 mmboe

Pioneer Natural Resource’s Eagle Ford Shale reserves grew to 70 million barrels at the end of 2011. Pioneer’s core assets cut through the condensate rich window of the Eagle Ford in DeWitt, Karnes, and Live Oak counties.

For the entire company, Pioneer added 149 mmboe of proved reserves, which replaced 313% of the company’s 49 mmboe of production in 2011. Management attributed the strong performance to the Sprayberry field (West Texas), the Barnett Combo (North of Fort Worth), and the South Texas Eagle Ford.  [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…]