Citing "encouraging results" in the Uinta Basin, Anadarko Basin and Eagle Ford Shale, Houston-based Newfield Exploration Co. has revised its full-year 2012 production expectations upward in a midyear update.
In the update, released July 19, Newfield said its natural gas production in the second quarter of 2012 was approximately 40 Bcf, or an average of 440 MMcf/d. Its reported oil and liquids production was 6.1 million barrels, or 67,000 barrels per day. The company's production mix was approximately 51% natural gas, 45% crude oil and 4% natural gas liquids.
"For the second time this year, Newfield raised its 2012 expectations for total Company production to 296 - 304 Bcfe (previous guidance was 292 - 302 Bcfe)," the company said. "With increasing activities planned in key oil regions in late 2012 and ongoing leasing in the Cana Woodford, Newfield expects that its capital investments in 2012 will approximate $1.7 billion, or the 'upper end' of its original guidance range of $1.5 - $1.7 billion."
Newfield said it planned to expand its production in the Cana Woodford play in the Anadarko Basin during the second half of the year and into 2013. The company, which owns 135,000 net acres in the area, said it was focusing its drilling efforts on an approximately 80,000-net-acre portion called the South Cana, which it said was "an area prone to high oil and liquids yields."
Newfield said its production in the Uinta Basin, where it owns an interest in approximately 230,000 net acres, was continuing an upward trend after having recently set a production record of approximately 36,000 barrels of oil equivalent per day.
"Full year 2012 production is expected to increase about 20% over 2011 levels," the company said.