Midland Basin operator Earthstone Energy, Inc. (ticker: ESTE) has initiated three executive promotions.
Robert Anderson, president of Earthstone Energy
Robert J. Anderson has been promoted to president of the company, effective immediately. Anderson has served as Earthstone’s EVP Corporate Development and Engineering since 2014.
Anderson, a petroleum engineer, served in a similar capacity with Oak Valley Resources, LLC from March 2013 until the closing of its strategic combination with Earthstone in December 2014. Prior to his appointment at Oak Valley, Anderson was EVP and COO for Halcón Resources Corporation (ticker: HK).
“Earthstone is well positioned with a high quality acreage footprint in a premium oil producing basin and a strong balance sheet to achieve meaningful growth. I am proud of what we have built in just a few years and optimistic that we can continue to successfully execute our growth plans,” Anderson commented in a statement.
Other promotions
Earthstone also elevated Leonard W. “Lenny” Wood to VP of Exploration and Development and ratified the appointment of Lane T. McKinney to Vice President of Land.
Assets
Earthstone’s primary assets are located in Texas in the Midland Basin and the Eagle Ford shale. In December 2017 the company closed a cash sale of its Bakken assets for $27 million.
2018 drilling plans
Earthstone has set its 2018 capital budget, which currently assumes a one-rig program for its operated acreage in the Midland Basin and a 10 well program for its operated Eagle Ford acreage. Additionally, Earthstone will continue to evaluate and prepare operationally for the possible deployment of a second rig in its operated Midland Basin acreage.
Overall, the company plans to spend $170 million in 2018, with most of the budget ($130 million) allocated to the Midland Basin. The company forecasts 2018 average daily production of 12-12.5 MBOEPD composed of 64% oil, 17% gas and 19% NGLs.
In the Midland Basin, the company plans to spud 20 gross and 19 net operated wells, with 22 gross and 19.6 net wells on line. In the Eagle Ford, Earthstone plans to spud 10 gross and 2.1 net operated wells, with 16 gross and 3.6 net wells on line.
