Drilling & Completions | Quarterly / Earnings Reports | Second Quarter (2Q) Update | Drilling Activity

Whitecap Hits Record Output in Q2 at 76 MBOEPD; Improves Well Cost

Share Print Bookmark    |    Wednesday,August 01,2018

Whitecap Resources reported its Q2 2018 results.

Highlights:

- Achieved record average production of 75,813 boe/d - up +35% YOY

• Whitecap’s oil and NGLs weighting continued to increase with Q2/18 at 85% compared to 83% in Q2/17.

Ops - Drill Costs Beneath Forecast

In west central Saskatchewan, we drilled a total of 34 (33.3 net) horizontal Viking wells of which 53% were extended reach horizontal wells. Due to program efficiencies and reduced spud to rig release times, drill, complete, equip and tie-in costs are trending 5-10% below forecast with our early time production results trending at or above our type curve expectations.

In southwest Saskatchewan, our 2 drilling rig program is proceeding as expected with 11 (7.0) horizontal oil wells being drilled in the second quarter. This includes 6 (4.2 net) Atlas wells, 3 (1.6 net) Roseray wells and 2 (1.2 net) Upper Shaunavon wells. To date, these wells have added over 800 bopd of net production. More than 50% of Q2/18 capital spending was associated with enhanced oil recovery (“EOR”) and waterflood optimization, expansion and maintenance which will have a significant impact on the mitigation of our base production declines on this property and, in turn, enhancing the assets growth profile.

In southeast Saskatchewan, our first drill-out re-activation program for Weyburn commenced late in the second quarter with the first 2 of 6 wells completed. This will be followed by a 4 well CO₂ expansion/rollout program and a 12 well infill drilling program in the second half of the year.

In west central Alberta, we drilled 1 (0.7 net) well. The focus in the second quarter was to mitigate the impact of third party downtime as well as production optimization efforts which the team was successful at with base production maintained well above forecasts.

In northwest Alberta, we drilled 1 (1.0 net) horizontal oil well in the Deep Basin which is the first of a 3 well pad program targeting Dunvegan oil in the Karr area.

For the second half of 2018, we currently have plans to drill an additional 104 (80.3 net) wells across all of our business units with significant programs focused in southwest Saskatchewan, southeast Saskatchewan, west central Saskatchewan and the Alberta Deep Basin programs.