Gulfport Energy Corp. (ticker: GPOR) has announced 2014 exit rate net production of approximately 68 MBOEPD (73% gas weighted), according to the company’s release. During the month of December 2014, Gulfport estimates average net production of approximately 66 MBOEPD. For the fourth quarter 2014, Gulfport currently estimates total net production was approximately 5,500 MBOE.
Michael G. Moore, Gulfport’s CEO and President, commented, “Gulfport achieved total production of approximately 5.5 million BOE during the fourth quarter of 2014, which exceeds our total production for full-year 2013 and is an increase of 41% over the third quarter of 2014.”
The exit rate represents respective increases of 18% and 13% compared to volumes in October and early November, according to its Q3’14 conference call.
Gulfport in the Utica
Gulfport’s main operational focus is its Utica Shale play, which received 88% of the company’s 2014 capital budget, according to its investor presentation. GPOR brought online 22 gross wells during the fourth quarter of 2014. Of those, six wells were located within the condensate window of the play, 12 wells were located within the wet gas window and four wells were located within the dry gas window of the play. The company currently has six horizontal rigs drilling in the region. “The beauty of the Utica is the ability to put rigs in different windows to adjust quickly to any commodity price changes,” said Moore in the latest conference call.
In Q3’14, the company added approximately 500 net acres, bringing its total acreage position to approximately 185,000 gross acres under lease in the Utica Shale.
Based on EnerCom’s E&P Weekly report for the week ending January 2, 2015, Gulfport has an enterprise value of $4.14 billion and trailing twelve month (TTM) capital expenditures of $1.25 billion for the twelve months ending September 30, 2014. The company’s production is 64% gas weighted with a debt to market cap ratio of 17% – well below the industry median of 78%. Guidance for 2015 will be released in conjunction with its fiscal 2014 results in late February 2015.
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