Goodrich Petroleum Announces 71% Increase in Reserves, Record 2005 Production and Provides a Drilling and Operational Update
13 Fevereiro 2006 - 11:00AM
PR Newswire (US)
HOUSTON, Feb. 13 /PRNewswire-FirstCall/ -- RESERVES - Goodrich
Petroleum Corporation today announced that it's proved reserves at
December 31, 2005 increased approximately 71% over year end 2004 to
approximately 173 BCFE, which was comprised of approximately 143
Bcfe of natural gas and 5.0 million barrels of crude oil and
natural gas liquids. Total proved reserves were approximately 83%
natural gas, 40% developed and had a pretax present value at year
end, discounted at 10%, of approximately $587 million using
non-escalated year end pricing. 100% of the Company's proved
reserves at year end were audited by the Company's independent
reservoir engineers. The Company replaced approximately 1,088% of
its estimated 2005 production through total reserve additions, all
of which were associated with its drilling and development
activities during 2005. At year end, the Company's reserve life, or
R/P ratio, was approximately 20 years based on 2005 full year
production estimates. CAPITAL EXPENDITURES - The Company currently
estimates capital expenditures in 2005 of approximately $165
million, including approximately: $12 million in acreage expansion
and acquisitions, $5 million in production gathering and facility
costs, $5 million of anticipated reimbursable hurricane related
expenditures, $4 million of expenditures associated with 2006 wells
and $139 million in drilling and development costs. Drilling and
development capital expenditures for wells spudded in 2005 totaled
$119 million. Reserve additions associated with the drilling and
development capital expenditures of wells spudded in 2005 resulted
in finding and development cost ("F&D") of approximately $1.26
per Mcfe. After adding in the anticipated future development costs
associated with the proved undeveloped reserves for 2005 reserve
additions, total all-in F&D cost is estimated to be
approximately $2.78 per Mcfe. The Company's proved reserves in the
Cotton Valley Trend increased to approximately 123 Bcfe or 71% of
total proved reserves. PRODUCTION - Production volumes increased by
22% in the fourth quarter over the third quarter of 2005, to
approximately 29,000 Mcfe per day. During the fourth quarter the
Company restored approximately 90% of its pre- Hurricane, South
Louisiana volumes. Gross Cotton Valley Trend volumes increased in
the fourth quarter by an estimated 52% over the third quarter, to
approximately 24,000 Mcfe per day from an average 33 net wells
producing for the entire quarter. During 2005, the Company
estimates it produced approximately 8.6 Bcfe, which was comprised
of approximately 70% natural gas and 30% crude oil and natural gas
liquids. South Louisiana production volumes were materially
impacted during the second half of 2005 due to shut in and/or
curtailment from Hurricanes Katrina and Rita. OPERATIONAL UPDATE -
The Company significantly expanded its activities and operations in
2005 and drilled 65 (gross) wells, of which approximately 95% were
in the Cotton Valley Trend. In the Trend, the Company has now
drilled 79 wells with a 100% success rate. Of these wells, 70 are
now online and producing and 9 are currently being completed. In
addition, the Company is currently drilling 8 wells within the
Trend. The Company has successfully continued to expand its acreage
position in the Trend and currently holds interests in
approximately 127,000 gross acres and 78,000 net acres. In the
Cotton South area of Nacogdoches and Angelina Counties, the Company
has now completed 3 wells in the Travis Peak formation and placed
all 3 on production at an average initial rate of approximately
3,200 Mcf (gross) per day. In addition, the Company has recently
reached an agreement for an additional drilling rig, which is
currently under construction and will be added under a long term
contract. The additional rig is currently due to be delivered in
November 2006 and will be utilized to further develop the Company's
Cotton Valley Trend acreage. 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. Goodrich Petroleum is
an independent exploration and production company listed on the New
York Stock Exchange. The majority of its oil and gas properties are
in Louisiana and Texas. First Call Analyst: FCMN Contact:
kirk.parnell@goodrichpetroleum.com DATASOURCE: Goodrich Petroleum
Corporation CONTACT: Robert C. Turnham, Jr., President and D.
Hughes Watler, Jr., CFO, both of Goodrich Petroleum Corporation,
+1-713-780-9494 Web site: http://www.goodrichpetroleum.com/
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