Goodrich Petroleum Announces 2010 Capital Expenditure Budget, Acquisition of Additional Acreage and Operational Update
03 December 2009 - 11:00PM
PR Newswire (US)
HOUSTON, Dec. 3 /PRNewswire-FirstCall/ -- Goodrich Petroleum
Corporation (NYSE:GDP) today announced its preliminary capital
expenditure budget for 2010, a significant acreage acquisition in
the Angelina River Trend, and an operational update on its
Haynesville Shale and horizontal Cotton Valley Taylor sand
activities. 2010 CAPITAL EXPENDITURE BUDGET The Company today
announced a preliminary capital expenditure budget for 2010 of $230
million, flat with the Company's revised 2009 budget. The Company
anticipates drilling 46 gross (24 net) horizontal wells for the
year, with approximately two-thirds of the budget being spent on
its core Haynesville Shale assets in Caddo and DeSoto Parishes,
Louisiana. The preliminary budget includes approximately $190
million in drilling and completion expenditures and $40 million
allocated to leasehold and infrastructure. The Company estimates
production volumes will grow by 15 - 25% in 2010 versus 2009.
Angelina River Trend Acreage Acquisition The Company announced it
has entered into an agreement to acquire approximately 12,000 net
acres in Nacogdoches and Angelina Counties, Texas which it believes
to be prospective for the Haynesville Shale. With the additional
acreage, the Company now has approximately 85,000 net acres
prospective for the Haynesville across its entire acreage position.
On the basis of recent drilling results in the area and offset well
data, the Company now feels it has approximately 22,000 net acres
prospective for the Haynesville in the Angelina River Trend area.
The Company plans to drill its first Haynesville well on its
Angelina River Trend acreage in the first half of 2010. HAYNESVILLE
SHALE ACTIVITIES Bethany-Longstreet Field Caddo and DeSoto
Parishes, Louisiana The Company has completed an operated well in
the Bethany-Longstreet field of Caddo and DeSoto Parishes,
Louisiana, the Goodrich Petroleum Company - Garland 25 H-1 (33%
WI), at a 24-hour peak initial production rate of 20,200 Mcf per
day with 7,700 psi on a 24/64 inch choke. The Company has also
participated in the completion of the Chesapeake Energy Company -
Sentell 35 H-1 (27% WI), with a 24-hour peak initial production
rate of 13,900 Mcf per day with 6,800 psi on a 22/64 inch choke.
COTTON VALLEY TAYLOR SAND HORIZONTAL ACTIVITIES The Company has
completed its AB Taylor 3H (100% WI) well, a horizontal Cotton
Valley Taylor sand well in the Beckville/Minden area of Rusk and
Panola Counties, Texas. The well is still early in its flowback,
with a 24-hour peak initial production rate to date of 7,000 Mcf
per day. The Company has approximately 40,000 net acres in the
Beckville/Minden area of Panola and Rusk Counties, Texas and
approximately 8,600 net acres in the South Henderson field of Rusk
County, Texas, where the Cotton Valley Taylor sand is prospective.
OTHER INFORMATION Certain statements in this news release regarding
future expectations and plans for future activities may be regarded
as "forward looking statements" within the meaning of the
Securities Litigation Reform Act. They are subject to various
risks, such as financial market conditions, operating hazards,
drilling risks, and the inherent uncertainties in interpreting
engineering data relating to underground accumulations of oil and
gas, as well as other risks discussed in detail in the Company's
Annual Report on Form 10-K and other filings with the Securities
and Exchange Commission. Although the Company believes that the
expectations reflected in such forward looking statements are
reasonable, it can give no assurance that such expectations will
prove to be correct. Initial production rates are subject to
decline over time and should not be regarded as reflective of
sustained production levels. Goodrich Petroleum is an independent
oil and gas exploration and production company listed on the New
York Stock Exchange. The majority of its properties are in
Louisiana and Texas. DATASOURCE: Goodrich Petroleum Corporation
CONTACT: Robert C. Turnham, President, or David R. Looney, Chief
Financial Officer, +1-713-780-9494, Fax, +1-713-780-9254 Web Site:
http://www.goodrichpetroleum.com/
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