By OGJ editors
HOUSTON, Feb. 8 -- Unit Petroleum Corp., Tulsa, hiked 2005 capital spending 25% to $125 million excluding acquisitions and reported a sharp reserves increase for 2004.
Unit replaced 285% of its total 2004 production of 1,048,000 bbl of oil and 27.1 bcf of natural gas, partly on the acquisition of PetroCorp. Inc. The 2005 budget calls for drilling 220-230 wells.
Two recent completions in the Arkoma basin east of Wilburton, Okla., yielded better than average flow rates from Pennsylvanian Atoka at 11,000 ft. The Unit 4 Lively is flowing 22.5 MMcfd of gas after 53 days on line, and the BP PLC 3X Scharff is producing 14 MMcfd of gas after 121 days. Both are in Latimer County. Unit's working interests are 29.6% and 13.6%, respectively.
The wells are on Unit's 15 sq mile Buzzard Gap prospect, where the company has been active since 1981. Unit holds interests in 47 wells that have totaled 83 bcf of gas from several Atokan aged sandstones.
