Murphy Hits Record Eagle Ford Production in Q2 2014

Upper Eagle Ford Tests Could Boost Drilling Inventory
Murphy Eagle Ford Acreage

Murphy Eagle Ford Acreage | Click to Enlarge

Murphy Oil Corp.’s second-quarter Eagle Ford production hit a new company record of 52,184 boe/d, with a 90% liquids cut. That’s up about 6% from the previous quarter and 33% year-over-year. Murphy expects to surpass 60,000 boe/d in 2015. At current rates, the company should realize its anticipated production target in the first or second quarter of next year.

Portfolio-wide, the company averaged total production of 210,191 boe/d, which is about 3% less than anticipated for the quarter. The shortfall was attributed to Murphy’s operational delays relating to its offshore business in Malaysia.

Read more: Murphy’s Eagle Ford Production Grows to 39,000 boe/d in 2013

In the Eagle Ford Shale, 53 new wells were brought on line during the quarter. That’s up from 44 wells in the first quarter of 2014.

The company is currently operating eight drilling rigs and four completions across the play. Murphy expects to bring on a total of 200 wells (including non-operated locations) in 2014.

Murphy’s Upper Eagle Ford Tests Could Boost Drilling Inventory

According to company officials, further testing for upside potential in the Upper Eagle Ford Shale zone is expected, which could yield 600 additional well locations, beyond the 1,500 locations remaining to be drilled in the Lower Eagle Ford Shale. Murphy officials also indicate downspacing efforts across the Eagle Ford continue to deliver positive results. At the company’s current pace, officials expect 10 + years of drilling.

Furthermore, Murphy is in the process of conducting negotiations for two separate pipeline arrangements in its Karnes and Tilden areas of the play to transport up to 28,000 b/d oil net to market. The company hopes to reduce trucking operations and improve overall reliability.


Stallion’s Kenedy Office is Open for Business in the Eagle Ford

50-acre super yard includes an 80 person man camp
Oilfield Tanker Trailer

Trailer on Display at the S. TX Eagle Ford Expo | Click to Enlarge

Stallion’s new Kenedy office opened earlier in the summer and includes an 80 person man camp. The 50-acre super-yard is one of several locations the company has in South Texas servicing the Eagle Ford Shale. Stallion now has locations in Carrizo Springs, Tilden, Victoria, and Alice. The company has expanded quickly over the past few years to answer the call for various oilfield service needs in the area.

Operators look to Stallion to provide not only a comprehensive set of wellsite and production services but also deliver well-trained and safety conscious service technicians. The new facility is also home to an 80-man camp used to provide onsite accommodations for the Company‚Äôs service personnel. [Read more…]