Executives of Clayton Williams Energy Inc. (CWEI) were happy to see 2015 come to an end.
Related: Baytex Reports Strong Q4
In October 2014 as the oil slump was just beginning, Clayton Williams executives announced they would pull back activity in 2015. And during an earnings call last week, they confirmed that was indeed how the year played out.
Throughout 2015, the company limited their drilling and completion activities to combat the downturn and expect to reduce capital spending further in 2016.
“We’re ready to close the chapter on 2015. It was a tough time, it reminds me a lot of 1980s and I was in – I lived through the 1980s, I worked at Clayton Williams then and we made it. We made it through that time. We’re going to make it through this time.”
Eagle Ford Operations
CWEI speculated that they expect their 70,000 net acres in the Eagle Ford to achieve high shareholder value. Average daily oil production for 2015 was 3,037 Bbls compared to 2,529Bbls for 2014. The company also saw a production increase in natural gas from 464 (Mcf) in 2014 to 516 (Mcf) in 2015. The company is shifting it's focus to the Delaware Basin and would not speculate on what its spending will be for the Eagle Ford for the rest of the year.
Other 2015 Results
- Oil and Gas Production of 15.8 MBOE/d
- Adjusted Net Loss1 (non-GAAP) of $70.4 million
- EBITDAX2 (non-GAAP) of $112.1 million
- Production costs in 2015 were $87.6 million versus $105.3 million in 2014
- G&A was down 34% compared to the previous year