XTO Energy Sets 2006 Development Budget of $1.7 Billion

XTO Energy Inc.

XTO Energy Inc. (NYSE: XTO) says that its Board of Directors approved a 2006 capital budget for development and exploration expenditures of $1.7 billion. An additional $100 million has been budgeted for the construction of pipeline infrastructure and compression and processing facilities. With these expenditures, the Company plans to increase production volumes by 10 - 12% over 2005 levels.

"Our development programs continue to drive top-tier performance for our shareholders -- meaning consistent drill-bit growth, exceptional economic returns and visibility for the future," stated Bob R. Simpson, Chairman and Chief Executive Officer. "For 2006, XTO anticipates another exciting year dedicated to measured growth and financial strength."

During the year, XTO Energy expects to drill 1,050 wells (865 net) and perform approximately 735 (620 net) workovers and recompletions throughout the year. Activities in its Eastern Region of East Texas and Louisiana will account for $700 million. Barnett Shale development in North Central Texas will be allocated $350 million. The San Juan, Raton and Uinta basins combined will be allocated $200 million. Programs in the Permian District are expected to utilize another $240 million. The Arkoma Basin and Mid-Continent properties will be allocated $140 million. Finally, the Company will target $70 million for exploration events and acreage leasing activities.

XTO Energy Inc. is a domestic energy producer engaged in the acquisition, development and discovery of quality, long-lived oil and natural gas properties in the United States. Its properties are concentrated in Texas, New Mexico, Arkansas, Oklahoma, Kansas, Wyoming, Colorado, Alaska, Utah and Louisiana.


Most Popular Articles