By OGJ editors
HOUSTON, Mar. 9 -- Newly public W&T Offshore Inc., Houston, set a 2005 capital budget to drill 30 exploratory and five development wells in the Gulf of Mexico and Gulf Coast region.
The firm plans to spend $94 million on 25 wells on the conventional shelf and on land, $56 million on six wells in the deep water, and $18 million on four wells on the deep shelf. It earmarked $98 million for completion, facilities, and other activity, not including acquisitions.
Its current production of 220-225 MMcfd is expected to rise as new projects come on line in the second half. Most of the firm's deepwater prospects are scheduled for the fourth quarter.
At yearend 2004, W&T's proved reserves rose 5% to 227.6 bcfe of natural gas, 49% proved, and 40 million bbl of oil, 51% proved.
The firm successfully drilled 21of 32 exploratory wells and seven development wells, all in the gulf. Of the wells drilled in 2004, 24 were on the conventional shelf, 9 in deep water, 4 on the deep shelf, and 2 on land.
Total production for the fourth quarter 2004 was 13.1 bcf of natural gas and 1.1 million bbl of oil. For the entire year, W&T produced a total of 53.3 bcf of gas and 4.8 million bbl of oil, compared with 52.8 bcf of gas and 4.4 million bbl of oil in 2003.
W&T has working interests in about 108 fields covering 927,000 acres in federal and state waters in the gulf, where it currently has five rigs operating.
