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Pioneer Natural Resources Drills Second Successful Eagle Ford Shale
DALLAS, Jan 19, 2010 (BUSINESS WIRE) -- Pioneer Natural Resources Company (NYSE:PXD) today announced its second significant well in the Eagle Ford Shale in South Texas. The Robert Crawley Gas Unit #1 well, which is located in Live Oak County, Texas, flowed at an initial production rate of approximately 17 million cubic feet of gas per day on a 24/64 inch choke with 7,300 pounds per square inch wellhead flowing pressure. It was drilled to a true vertical depth of approximately 14,000 feet and completed in a 5,400-foot lateral section with a 16-stage fracture stimulation (frac). The well is currently producing to sales.
The new well is located approximately three miles south of Pioneer's previously announced liquids-rich Sinor #5 discovery well. The Eagle Ford Shale formation at the Crawley #1 location is 1,000 feet deeper and has a 30% thicker pay zone than at the Sinor #5 location.
Scott Sheffield, Chairman and CEO, stated, "As a continuation of our multi-well program to assess our acreage position, the objective of the Crawley #1 was to test productivity towards the dry gas window in a deeper, thicker Eagle Ford Shale section with a longer lateral and additional frac stages. With the highest gas rate reported to date in the play, the Crawley #1 exceeded our expectations and confirms that dry gas wells provide strong economics at today's prices. These results increase our confidence that the Eagle Ford Shale will be very prolific in both the liquids-rich and dry gas portions of our extensive acreage position and will add significant value for our shareholders."
To accelerate Eagle Ford Shale development, the Company is actively pursuing a joint venture, with bids expected in the second quarter of 2010. In response to the joint venture effort and in preparation for an aggressive development drilling program to be initiated in this play, Pioneer formed a new asset team to focus solely on the Eagle Ford Shale. Management responsibilities within Pioneer associated with the establishment of this team are detailed in a separate press release issued by the Company today.
Pioneer is a technology leader in this play with greater than 2,000 square miles of 3-D seismic data, logs from more than 150 operated wells, proprietary core samples and micro-seismic results. The Company is currently operating a two-rig horizontal drilling program, with wells in DeWitt and Karnes Counties underway, both of which are targeting liquids-rich areas.
Pioneer is a large independent oil and gas exploration and production company, headquartered in Dallas, Texas, with operations primarily in the United States. For more information, visit Pioneer's website at www.pxd.com.
Except for historical information contained herein, the statements in this News Release are forward-looking statements that are made pursuant to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995.Forward-looking statements and the business prospects of Pioneer are subject to a number of risks and uncertainties that may cause Pioneer's actual results in future periods to differ materially from the forward-looking statements. These risks and uncertainties include, among other things, volatility of commodity prices, product supply and demand, competition, the ability to obtain environmental and other permits and the timing thereof, other government regulation or action, the ability to obtain approvals from third parties and negotiate agreements with third parties on mutually acceptable terms, litigation, the costs and results of drilling and operations, access to and availability of drilling equipment and transportation, processing and refining facilities, Pioneer's ability to implement its business plans or complete its development projects as scheduled, access to and cost of capital, quality of technical data, and environmental and weather risks. These and other risks are described in Pioneer's 10-K and 10-Q Reports and other filings with the Securities and Exchange Commission. In addition, Pioneer may be subject to currently unforeseen risks that may have a materially adverse impact on it. Pioneer undertakes no duty to publicly update these statements except as required by law.
SOURCE: Pioneer Natural Resources Company
Pioneer Natural Resources
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