With $2.4B Development Budget, XTO Targets 10% Production Growth
XTO Energy Inc. on Tuesday announced that its Board of Directors has approved a 2007 capital budget for development and exploration expenditures of $2.4 billion. An additional $200 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% over 2006 levels.
"The Company's development campaign continues to deliver growth at leading economic returns, while proving up new low-risk inventory for the future," stated Bob R. Simpson, Chairman and Chief Executive Officer. "In 2007, our operational activity will reach a record pace as we target another record year of performance for our shareholders."
During the year, XTO Energy expects to drill about 1,150 wells (978 net) and perform approximately 655 (509 net) workovers and recompletions throughout the year. Activities in its Eastern and Barnett Shale Regions will each account for about $800 million, or a total of $1.6 billion. The San Juan, Raton and Uinta basins combined will be allocated $240 million. Programs in the Permian District are expected to utilize another $290 million. The Arkoma Basin and Mid-Continent properties will be allocated $150 million. Finally, the Company will target $120 million for exploration events.
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, Louisiana and Mississippi.
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