Newfield’s oil well breaks record 24-hour peak, 20-day average oil production rates

Newfield Exploration Company‘s STACK (Oklahoma’s Sooner Trend oilfield, Anadarko Basin, and Canadian and Kingfisher counties) well recently achieved record oil production, according to the company’s recently disclosed results. Newfield has also raised expectations for its Q1 2017 domestic production.

The Burgess well (4,859-ft lateral length), located in Kingfisher County, Okla., and the heart of the company’s 300,000 net STACK acres, achieved a 24-hr flow rate of 2,931 bbl of oil equivalent per day (BOEPD) (69% oil) and a 20-day average rate of 2,492 BOEPD (70% oil). When compared against publicly available industry data, the Burgess achieved record 24-hr oil production per 1,000 ft of gross perforated interval (1,000 ft GPI), or 417 bbl of oil per 1,000 ft GPI. The well also had a record 20-day average oil production rate of 361 bbl per 1,000 ft GPI. These rates are the highest oil production rates per 1,000 ft GPI publicly reported to date in the South Central Oklahoma Oil Province and STACK.

The Burgess is one of 16 recent wells with enhanced completion designs. Five of the wells now have 90 days of production history, averaging 1,215 BOEPD (65% oil), which is more than 40% above the company’s 1.1 million barrels of oil equivalents per day gross type curve when normalized to 10,000 ft lateral length.

With recent outperformance in the Anadarko Basin and its other producing regions, Newfield expects that its Q1 2017 production will likely exceed the high-end of guidance. Domestic production is expected to average approximately 137,700 BOEPD, or 3,500 BOEPD above original guidance, which is between 132,000 and 134,200 BOEPD.

“Our recent results from enhanced completions provide us with confidence around our near term plans, as well as the future productivity of STACK,” said Lee K. Boothby, Newfield Chairman, President and CEO. “The year 2017 is critical for us. We are rich in catalysts as we test development well densities, optimize our completions and explore exciting new stacked pay potential across our vast Anadarko Basin acreage position.

“STACK is the foundation for our future transition to a company that can sustainably grow its production by double-digits within cash flow… even if today’s oil prices persist,” Mr Boothby continued. “We are off to a roaring start in 2017 and we look forward to updating our stockholders on the execution of our business plan as the year progresses.”