Baytex Energy Corp., Calgary, has updated its 2023 guidance and closed its $2.2 billion acquisition of Ranger Oil Corp.
The company expects to have 34 net wells onstream in the Eagle Ford and 90 net wells onstream in Western Canada in this year’s second half.
The acquisition increased the scale of the company’s Eagle Ford operations, adding 162,000 net acres in the play’s crude oil window, on-trend with Baytex's non-operated position in the Karnes Trough, and 741 net undrilled locations, representing an inventory life of 12-15 years, the company said (OGJ Online, Feb. 28, 2023).
Average production for second-quarter 2023 is estimated at 88,500-89,000 boe/d, which includes production from Ranger for the 11 days following closing of acquisition.
Production in the quarter was reduced by about 4,500 boe/d due to the temporary curtailment of production resulting from the wildfires in Alberta (OGJ Online, May 30, 2023).
For second-half 2023, exploration and development expenditures are forecast to be $595-635 million, which are expected to generate an average production rate of 153,000-157,000 boe/d. The year’s second half production mix is forecast to be 84% oil and NGLs (50% light oil, 22% heavy oil, 12% NGLs) and 16% natural gas.