Of the 98 wells that commenced first production in the 2012 fourth quarter, 90 wells (or 92%) had peak production rates of more than 500 boe per day, including 27 wells (or 28%) with peak rates of more than 1,000 boe per day.
Three notable wells completed by Chesapeake in the Eagle Ford during the 2012 fourth quarter are as follows:
- The Hahn Dew 1H in DeWitt County, TX achieved a peak rate of approximately 1,985 boe per day, which included 550 bbls of oil, 360 bbls of NGL and 6.4 mmcf of natural gas per day;
- The Flat Creek Unit A Dim 2H in Dimmit County, TX achieved a peak rate of approximately 1,470 boe per day, which included 1,210 bbls of oil, 160 bbls of NGL and 0.6 mmcf of natural gas per day; and
- The JJ Henry IX M 1H in McMullen County, TX achieved a peak rate of approximately 1,275 boe per day, which included 1,160 bbls of oil, 55 bbls of NGL and 0.4 mmcf of natural gas per day.
As part of its “core of the core” strategy, Chesapeake is currently pursuing the sale of a portion of its existing northern Eagle Ford Shale leasehold and producing assets which are outside its core development area.
Utica Shale (eastern Ohio, Pennsylvania, West Virginia) : Chesapeake continues to focus on developing the core wet gas window of the Utica Shale in eastern Ohio, a play in which the company holds the industry’s largest position, approximately 1.0 million net acres of leasehold. As of December 31, 2012, Chesapeake has drilled a total of 184 wells in the Utica, which includes 45 producing wells, 47 additional wells waiting on pipeline connection and 92 wells in various stages of completion. Chesapeake is currently operating 14 rigs in the Utica and plans to average 14 operated rigs during 2013. Production growth from the Utica is expected to accelerate during 2013 when two new third-party natural gas processing complexes will enable the company to turn a large portion of its well inventory to sales.Three notable wells completed by Chesapeake in the Utica during the 2012 fourth quarter are as follows:
- The Houyouse 15-13-5 1H in Carroll County, OH achieved a peak rate of approximately 1,730 boe per day, which included 525 bbls of oil, 305 bbls of NGL and 5.4 mmcf of natural gas per day;
- The Cain South 16-12-4 8H in Jefferson County, OH achieved a peak rate of approximately 1,540 boe per day, which included 425 bbls of NGL and 6.7 mmcf of natural gas per day; and
- The Walters 30-12-5 8H in Carroll County, OH achieved a peak rate of approximately 1,140 boe per day, which included 315 bbls of oil, 220 bbls of NGL and 3.6 mmcf of natural gas per day.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts