Sanchez Energy drilled and completed 19 wells, while growing production 170% to over 468,000 boe in 2012. The company also has 17 wells in the process of being drilled or completed. Ten of the 17 are located in the Palmetto Area and seven are awaiting completion in the Marquis Area.
Tony Sanchez, III, CEO, commented: "The operational momentum we established late last year is continuing and improving. We exited 2012 with outstanding reserve growth and a growing backlog of wells which will be completed and added to our production stream over the next several months."
Developments underway or completed late in the year include:
- 20,000 b/d and 30 mmcfd of takeaway capacity at Palmetto
- Gathering system construction in the Marquis Area that will allow for full development
- Added 7,500 net acres in the Marquis Area near the Prost wells
- Shifting to pad drilling
Plans in 2013 are for the drilling of 33.5 net wells and strong well performance at the end of 2012 has added confidence.
The Prost B#1, our third well in the Marquis area, has exhibited high production performance as a result of optimized completion techniques and flowback management. This well achieved an IP of 1,114 BOE/d on a 14/64" choke in addition to 30- and 60-day average flow rates of 936 and 808 BOE/d, demonstrating a significantly shallower decline profile as compared to our initial two wells in this immediate area.
Sanchez realized oil prices of more than $101/bbl and natural gas prices near $2.50/mmbtu.
Read the full press release at sanchezenergy.com