Dramatic cost reductions, operational innovation and Eagle Ford flexibility highlight Encana's first quarter.
Encana Corp. announced first quarter results last week, which included total production of 383,400 barrels of oil equivalent per day (BOE/d). The company reduced drilling and completions costs between 22 -44% over 2015 along with a 20% reduction in general administrative.
Eagle Ford Q1 Highlights
For Q1, Encana reported that their Eagle Ford operations delivered dramatic cost improvements for the sixth consecutive quarter. The flexibility of the company's Eagle Ford assets have made it a a core part of their portfolio.
- Company expects to increase completions intensity for the remainder of the 2016 program, which will add $400,000 per well
- Average Q1 D&C cost of $3.5 MM/well – Beat our $4.3 MM D&C cost target – 44% reduction from 2015 average
- 2 Upper Eagle Ford infill wells drilled on existing 6-well pad
- Company expects production in Eagle Ford to modestly grow in Q2