Baytex Energy 2nd Quarter Earnings
Baytex has reduced development and spending in the Eagle Ford for the second quarter of 2016
Related: Baytex Energy: Big Results in Eagle Ford
Baytex Energy executives announced their second quarter results today that highlighted significant cost reductions and a lowered net debt of $39 million.
In their Eagle Ford operations, Baytex reduced capital spending to$35.5 million, down from $81.7 million in Q1/2016 and $140.8 million in Q4/2015.
“Our emphasis on deploying capital efficiently wad evidenced during the second quarter as we continued to defer investments in our heavy oil operations in Canada and reduced the pace of development in the Eagle Ford. As a result we significantly curtailed our level of capital spending focusing all development activity in Eagle Ford.”
Other Eagle Ford highlights include:
- Disposed operated assets in the Eagle Ford for approximately $55 million
- Participated drilling 11 (net) wells
- Began production on six of the new wells (40% drop from 2015)
- Production rate of on new wells was approximately 1300 BOEs per day
- Three drilling rigs (compared to six inQ1/2016)
- Cost in the Eagle Ford has continued to decrease with wells now being drilled, completed and equipped for approximately US$5.4 million as compared to US$8.2 million in late 2014