Goodrich Petroleum Corporation (GDP) today announced that it has commenced completion operations on two of its six drilled but uncompleted wells in the Tuscaloosa Marine Shale (“TMS”). The B-Nez 43H-1 (70%WI) and B-Nez 43H-2 (74% WI) wells in Tangipahoa Parish are near completion of fracture stimulation, with flow back and initial production expected within 1 – 2 weeks. The Company currently anticipates completing the remaining four drilled but uncompleted TMS wells from mid-July through early September. All six wells, which are located within the Company’s core acreage position of 150,000 net acres, will be completed prior to the fall borrowing base redetermination scheduled for October 2015.
The Company’s full year capital expenditure budget of $90 – 110 million was front-end loaded, with approximately 46% of the budget at the mid-point of guidance spent in the first quarter, as the Company entered the year with three rigs under contract. The Company currently has zero rigs running with plans to bring a rig back to the TMS in October, with no change to previously issued guidance. The Company re-affirms second quarter capital expenditure guidance of $10 – 15 million and exited the first quarter with in excess of $100 million of liquidity. The Company maintains the ability to enhance liquidity by pursuing a potential joint venture or sale of its Eagle Ford Shale asset.
Goodrich Petroleum Corporation is an independent oil and natural gas exploration and production company listed on the New York Stock Exchange.