This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Goodrich Petroleum Announces 2012 Capital Expenditure Budget And Guidance

Stocks in this article: GDP

HOUSTON, Jan. 4, 2012 /PRNewswire/ -- Goodrich Petroleum Corporation (NYSE: GDP) today announced its preliminary capital expenditure budget for 2012, along with production and cash flow guidance for the year.


The Company today announced a preliminary capital expenditure budget for 2012 of $250$275 million, which includes $235$260 million in drilling and completion expenditures and $15 million allocated to leasehold and infrastructure expenses.  The Company anticipates drilling 49 gross (29 net) to 54 gross (32 net) wells for the year, with approximately 75% of the anticipated drilling and completion capital expenditures allocated to oil directed activity.

Oil directed activity will be concentrated in the Eagle Ford Shale trend with $155 million allocated to 29 gross (19 net) wells (which assumes a combination of 6,000 to 9,000 foot laterals), and the Tuscaloosa Marine Shale trend, with $20$45 million allocated to 4 gross (2 net) to 6 gross (4 net) wells.

Of its natural gas directed activity, the Company anticipates completing 14 gross (6 net) non-operated Haynesville Shale wells previously drilled in the core of the play for $35 million, along with $25 million associated with 2 gross (2 net) Angelina River Trend wells.

Capital expenditures in 2012 in the Eagle Ford Shale trend will be positively impacted by the elimination of the drilling carry associated with the Company's leasehold acquisition equal to a 20.8% working interest in the vast majority of the wells drilled in 2011, along with a reduction in drilling and completion costs of an estimated $2.5 million per well as a result of pad drilling, zipper fracs and lower pressure pumping prices. 


The Company estimates oil volumes to grow by 130 – 160% in 2012 versus 2011, which will drive very strong cash flow growth.  Natural gas volumes are expected to be flat to slightly down, while overall production on a Mcfe basis is expected to increase by 10 – 15% over 2011.  Oil volumes are estimated to grow to approximately 5,000 barrels per day as the Company exits 2012.

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,884.56 +79.76 0.45%
S&P 500 2,072.49 +1.84 0.09%
NASDAQ 4,773.1340 +7.7540 0.16%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs