Hiked outlay to stress Elm Grove, Fayetteville
Petrohawk Energy Corp., Houston, boosted its 2008 capital budget to $800 million from $700 million based on several corporate developments.
By OGJ editors
HOUSTON, Jan. 28 -- Petrohawk Energy Corp., Houston, boosted its 2008 capital budget to $800 million from $700 million based on several corporate developments.
The developments are recent acquisitions that provide growth opportunities, expansion on exploratory success at Elm Grove and Terryville gas fields in northwestern Louisiana, and initial positive drilling results in the northern part of the Arkansas Fayetteville shale gas acreage holding.
The company, which was operating 18 rigs in late January, expects the 2008 program to involve 22 operated rigs to drill 350 operated wells.
The Elm Grove budget is $293 million for 140 planned operated wells. Petrohawk closed a $169 million acquisition of properties in the field. It has spud an offset to its first horizontal Lower Cotton Valley Taylor sand well, Killen 13-3H, which came on line at 16.5 MMcfd at yearend 2007.
The Fayetteville shale budget is $278 million for 150 operated and 50 nonoperated wells. The company brought on production 20 wells in 2007 in the Hurricane prospect in Van Buren County that averaged 2.3 MMcfd/well for 30 days.