Current PDCE Stock Info

PDC Energy year-end proved reserves reach 341.4 MMBOE, $1.7 Billion PV-10, up 25% from 2015

Denver-based PDC Energy (ticker: PDCE) released an update on the company’s year-end production estimates and reserves. The press release put out by the company Wednesday said the company’s proved reserves at the end of 2016 increased 25% year-over-year, while production increased 44% during the same timeframe.

PDC’s total proved reserves as of December 31, 2016 increased to 341.4 MMBOE compared to 272.8 MMBOE reported at year-end 2015.  The composition of the reserves at the end of 2016 were 59% liquids and 41% natural gas, with 29% of the reserves classified as proved developed.

Year-end 2015 reserves were 60% liquid, 40% natural gas, and 26% proved developed.

Proved reserves in the Wattenberg Field and Utica Shale increased 13% to 308.9 MMBOE.

In 2016, the company acquired approximately 61,500 net acres in the Delaware Basin and established total proved reserves of 32.5 MMBOE in the Wolfcamp A and B, PDC Energy said in its release.

“Increasing our Wattenberg proved reserves, in spite of reduced commodity prices, is a notable accomplishment,” said PDC Energy President and CEO Bart Brookman.

“The increase in proved reserves in Wattenberg is attributable to the underlying benefits of our previously executed strategic acreage trade.  This trade has let us drill longer lateral wells with increased operational synergies and higher working interests, and should continue to provide enhanced efficiencies moving forward.”

PDC Energy Wattenberg acreage pre- and post-trade

PV-10 value on PDC’s reserves grew $400 million

In addition to increasing the overall size of its reserves, PDC also announced that the PV-10 value (proved reserves discounted at 10% before tax, per SEC guidelines) of the company’s reserves increased $400 million year-over-year. According to the company’s release, PDCE’s PV-10 value at year-end 2016 was $1.7 billion, up 25% from year-end 2015.

PDC Energy PV-10 values for year-end 2016

Source: PDCE

Production up 44% year-over-year

Along with the reserve report, PDC also released its full-year 2016 production estimate of 22.2 MMBOE, which came in above the high-end of guidance (22.0 MMBOE). The number represents a 44% increase year-over-year.

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