Concho Resources (CXO) is working on numerous oil and gas formations in the Permian Basin and started drilling a total of 223 gross wells during the third quarter of 2011. The company reported that 69 of these Permian Basin wells were completed during the quarter, and 154 were in various stages of completion.
Third Quarter of 2011 Summary
New Mexico Shelf – Concho Resources operated ten rigs developing the Yeso, and one rig developing the Lower Abo. The company drilled 122 wells and completed 55 wells into both these formations during the third quarter of 2011. Concho Resources also completed 71 wells that were drilled prior to the quarter.
Texas Permian - Concho Resources operated thirteen rigs during the third quarter of 2011 to develop the Wolfberry formation on the Texas side of the Permian Basin. The company drilled 74 operated wells on its acreage and completed 12 total wells here in the quarter. Concho Resources also completed 77 wells into the Wolfberry that were drilled prior to the quarter.
Delaware Basin - Concho Resources operated six rigs targeting the Bone Spring formation during the third quarter of 2011, and drilled or participated in 24 Bone Spring wells. The company also completed 24 wells during the quarter, and reported average daily production of 8,900 barrels of oil equivalent (BOE) per day from the Bone Spring play, which includes the Avalon Shale, the Bone Spring sands and the Wolfcamp shale. This was a 59% increase compared to the second quarter of 2011.