http://www.finances.com/company-news/62820-exco-resources-inc-annou...

Our development capital in our Holly area in DeSoto Parish, Louisiana will focus on completing and turning to sales 15 wells drilled in 2014, base production initiatives and a limited drilling program. We plan to drill three gross (2.5 net) Haynesville wells in the first half of 2015 and turn-to sales 18 gross (11.7 net) wells in the first half of 2015. In addition, we will continue our refrac program on a limited basis as we analyze the data from the six refracs performed to date and develop a long term plan during 2015.

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East Texas and North Louisiana:

As a result of our successful drilling and completion program in the Shelby area of East Texas during 2014, we will be focusing our efforts in this area in 2015 to capture additional value. Our development in North Louisiana will focus on completing and turning to sales wells drilled in 2014, base production initiatives and a limited drilling program. We plan to spend a total of $158 million developing wells in the Haynesville and Bossier shales, of which $150 million will be spent on drilling and completion, including $18 million to fund our working interest in wells operated by others. We plan to spud 25 gross (11.9 net) horizontal wells and turn to sales 32 gross (17.6 net) horizontal wells in these areas.

We plan to spud 22 gross (9.4 net) horizontal wells and turn to sales 14 gross (5.9 net) horizontal wells in the Shelby area of East Texas. We have approximately 250 operated undeveloped locations in this area which provide a platform for future growth. We will continue to utilize the enhanced completion methods, longer laterals and restricted flowback program that proved to be successful on the wells drilled in 2014. Under our more restrictive flowback methodology, both our recently completed East Texas and North Louisiana wells are exhibiting lower decline rates which we believe will result in reduced capital to maintain production and area operating cash flow in future years. Based on our year end estimates of proved reserves, we estimate the ultimate recoveries (“EUR”) to be 1.3 Bcfe per 1,000 feet of lateral from the wells drilled in the Shelby area during 2015. The wells that are planned to be drilled during 2015 are expected to include laterals ranging from 6,300 to 7,500 feet and average $10.8 million for drilling and completion. Our drilling activity in the Shelby area will add proved undeveloped locations and reserves to our asset base as we continue to develop this area. We believe there is the potential for additional upside in the EURs once we have more historical data to incorporate into the type curves from the wells drilled in this area.

Our development capital in our Holly area in DeSoto Parish, Louisiana will focus on completing and turning to sales 15 wells drilled in 2014, base production initiatives and a limited drilling program. We plan to drill three gross (2.5 net) Haynesville wells in the first half of 2015 and turn-to sales 18 gross (11.7 net) wells in the first half of 2015. In addition, we will continue our refrac program on a limited basis as we analyze the data from the six refracs performed to date and develop a long term plan during 2015.

That's an aggressive Haynesville/Bossier drilling program for Shelby County.  Another indication that experienced horizontal operators continue to make a reasonable profit at depressed natural gas prices through lower F&D costs and improved productivity.  I suggest that the EXCO Haynesville excerpt be posted to the Shelby County Group.  I suspect they would be gratified to read EXCO's comments.

I think i added it to Shelby County page.  Not sure.

I apologize for not being more specific.  When there is a lengthy article such as this one it is advisable to excerpt the portion that is of relevance, in this case Shelby County, and not require members to read through the whole text.  I often include a link to the full article for anyone who cares to read the entirety.  JHH, my reply was actually meant as a suggestion for Julie to post her excerpt on the Shelby Group page.

No problem. 

Skip, when Exco refers to the Shelby area of East Texas, they are not referring to just Shelby County, but also San Augustine Co and Nacogdoches Co., in my opinion.

I'm not attempting to limit the area in question by characterizing it as Shelby County.  I think anywhere EXCO operates in that part of E TX can be included.

I am all for that.... Exco has been good to us in all dealings we have had with them, been open on their deals and react a lot quicker than many others out there!

Bill R.  I agree with what you say.

And I agree also.  Exco has always been easy to deal with.

They have a decent bunch of people working there.

Shelby Extension is what they call the southern region over here. The only permits they have on file are in San Augustine County, so far. They are on the Rebels SU #2H right now with a surface location in SA and lateral to north into Shelby.

To: Jffree   Do you have any information about Panola and Harrison Counties?  Glad to see EXCO working had on development.

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