I know Exco is struggling but in 2014-15 they were drilling CULs in Bethany Longstreet and Holly Fields. Now it seems they have just shut down. I am aware the price of gas is low but that hasn't stopped Chesapeake and other companies from continuing to drill some wells. I can't find where Exco is drilling anything. Anyone care to offer any insight?
I know but Chesapeake was in bad shape too and were still drilling just to generate cash. It seems Exco has completely shut down. Have you heard of any buy outs for them? They have some great leases in core areas
I think a lot of the companies are doing that. I just hope Exco can hang on. They were great to deal with--courteous and professional.
I agree... one of the better O&G companies to deal with
CHK will be like EXCO and Linn soon enough, highly leveraged companies rarely survive downturns in any industry. They all gambled and the dice didn;t roll their way. Nature of the beast.
We were receiving regular Royalty checks like clockwork for the past five years or so... suddenly they have stopped, last payment was December 2015... I have a Email in to them, but have not heard back as of yet. Hoping it is not a sign of just how bad a position that EXCO is in. But then again Cabot has dried up and gone dark as well. Anyone run into this as well?
We have not had a check from Exco in a couple of months but only have one well on 4.86 ac. and its production is low plus low gas prices so I figured payment didn't reach $100 yet. Usually they don't pay unless account reaches at least $100. I have a friend on phone and he is getting his Exco cks fine
They still had two rigs drilling in DeSoto Parish last week. Don't ask me why.
As Julie mentions EXCO has two rigs currently drilling in DeSoto Parish. Those are the only two EXCO rigs reporting in the area covered by my weekly rig reports, CHK has 3 NW LA rigs - 1 Caddo, 2 DeSoto. Additionally they are 4 rigs reporting for CHK in W TX.
Much of the Oil & gas Industry is broke right now due to low product prices versus high service costs (although service costs have been on a strict decline in past 9 months). Suggest you go to website of the BEG (UT - Bureau of Economic Geology) for an excellent paper written in December, 2015. Website is http://www.beg.utexas.edu/shale/index.php
Lots of economics and forecasts but again its all based upon the same....future product prices versus service costs. God Bless America (and God Please Forbid Even The Mention Of Us Having Hillary Clinton as our next President and "Liar-In-Chief").
EXCO are good folks but can't do anything about the huge decline in the industry's product prices.
A common thread shared by the troubled E&P companies we follow and discuss is their debt load. Depressed commodity prices have negatively impacted all operating companies, service and material suppliers however those that managed their debt still have reasonably good balance sheets. Those that borrowed too much especially for less than quality rock are now paying the price.