Gastar presents at EnerCom’s The Oil & Gas Conference®
During Gastar’s breakout session, management was asked the following questions:
- Is there an extended cleanup period with an Oswego well as opposed to a Meramec well?
- What is the average IP rate for your wells? How many of the nine wells planned for drilling in the coming quarter will be in the Oswego?
- Which well is next in your drilling plan?
- What is the interest on the STACK asset package sale?
- Are any of the wells joint ventures with private companies?
- What is the timing of dividends based on?
- Can you discuss sequencing issues with the Oswego and Osage above the Woodford? Does it matter what order you drill them in?
- Are you ready to give a sense on the expected EURs and GORs for the Woodford acreage?
- What are the NGL and gas percentages for the Osage?
- Out all the wells permitted and planned this year, which is most important for your plan and what you want to achieve?
- Do you have any thoughts on what valuations people putting out for other Woodford assets?
- What is going on with the Chaparral acreage?
You can listen to Gastar’s presentation by clicking here.
For the company’s second quarter results, click here.
Gastar Exploration Inc. (ticker: GST) is an independent energy company engaged in the exploration, development and production of oil, condensate, natural gas and natural gas liquids in the United States. Gastar’s principal assets are in Oklahoma, referred to as its Mid-Continent area, where it is developing the primarily oil-bearing reservoirs of the Hunton Limestone horizontal play and testing the Meramec Shale/Middle Mississippi Lime formation. Gastar believes its Mid-Continent acreage is prospective for the Meramec Shale/Mississippi Lime formation, the Woodford Shale and the Osage and Oswego formations, which Gastar collectively refers to as the Mid-Continent STACK Play.
The company began building an acreage position in the Mid-Continent area in 2012 and ultimately established a position in Kingfisher, Garfield, Major and Blaine Counties in Oklahoma. The Company has focused on the development of oil-bearing reservoirs in the Hunton Limestone, [primarily] in Kingfisher County, and, as of year-end 2015, Gastar had drilled and completed 9 Upper Hunton and 46 Lower Hunton wells on its acreage.
In addition to Hunton Limestone potential, Gastar believes that its acreage is also prospective for the STACK Play. The STACK is an area of central Oklahoma that includes oil and natural gas-rich shale formations such as the proven Meramec Shale /Middle Mississippi Lime and Woodford Shales as well as emerging prospective plays in the shallow Oswego formation and in the deeper Osage formation. Recently, Gastar’s focus has been on testing the prospectivity of the Meramec Shale on its acreage with the drilling of two initial wells, of which both successfully encountered the Meramec Shale. Gastar has 100% operatorship of its Mid-Continent net acreage.
On January 1st, 2016 Gastar divested from substantially all of its producing Appalachian Basin assets for $80 million. J. Russell Porter, the company’s president and chief executive officer, commented, “The closing of this transaction allows us to reduce our debt and exclusively focus our operations on the Mid-Continent STACK Play, one of the most economic plays in the U.S.”
