US-based Atlas Resource Partners (ARP) will increase oil and gas net production in 2013 by 50% compared to the annualised third quarter net production in 2012.
ARP expects to attain net output between 51billion cubic feet equivalent to 56 billion cubic feet equivalent, mainly from the oil and natural gas liquids (NGL) operating regions, including the Mississippi Lime, Utica Shale and the Marble Falls region in the Fort Worth Basin in Texas.
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The company’s hedge positions for 2013 includes natural gas of about 31 billion cubic feet at an average price of $3.89 per thousand cubic feet from swap and collar positions, representing about 90% of revenue, generated from natural gas.
ARP is anticipating NGLs of about 165,000 barrels at an average price of $92.69 per barrel from hedged heavier components, using WTI crude swaps.
The hedge position also includes crude oil of about 373,000 barrels at an average price of $92.30 per barrel from swap and collar positions.
ARP CEO Edward E Cohen said that the company’s updated 2013 guidance reflects its achievement in 2012 to expand its operations through accretive acquisitions and organic development.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData"The outlook for 2013 and thereafter continues to be favourable," Cohen added.
Atlas expects about $175m capital expenditures in 2013, of which $145m is for well drilling operations, $30m for land acquisition, while drilling capital of about $26m for maintenance capital expenditures.
As on 31 December 2012, the company has raised $125m as a part of the fundraising for the Atlas Resources Series 32 – 2012 limited partnership programme.
The company will spend these funds to develop well sites in the Marcellus Shale, Utica Shale and Mississippi Lime regions.
Atlas plans to raise about $150m in investor funds in 2013, while it intends to use about $190m of investor funds in the same year.
Image: Atlas Resource Partners will increase oil and gas net production in 2013 by 50% compared to the annualised third quarter net production in 2012. Photo: courtesy of USGS.
