Halcón Resources Announces Preliminary Third Quarter 2017 Delaware Basin Production and Updated Fourth Quarter 2017 Producti...
October 18 2017 - 7:30AM
Halcón Resources Corporation (NYSE: HK) (“Halcón” or the “Company”)
today announced near-term expected production data.
Halcón estimates third quarter 2017 production
associated with its Delaware Basin assets averaged approximately
4,750 boe/d. The Company expects fourth quarter 2017
production to average 7,500 to 9,500 boe/d. This guidance
range accounts for the sale of the Company’s Williston Basin
non-operated assets that is expected to close on November 9, 2017
for approximately $104 million. Production generated from the
Delaware Basin assets alone is expected to average 6,500 to 7,500
boe/d for the fourth quarter.
Halcón has two wells currently flowing back
after completion in its Hackberry Draw area in Pecos County and
expects to put an additional four to six wells online before
December 31, 2017, in both its Hackberry Draw and Monument Draw
areas.
“During 2017 we transitioned from our properties
in North Dakota and East Texas into ~44,000 net acres across Pecos,
Reeves, Ward and Winkler Counties in the Delaware Basin at an
average cost of less than $20,000 per net acre,” Floyd Wilson,
Halcón's Chairman, CEO and President commented. “We are
running three rigs and one frac fleet on our Delaware assets today,
and we are experiencing great results across the board. Our
focus is on the execution and development of the 1,700+ potential
gross drilling locations on our existing footprint while
maintaining a strong balance sheet. There is no need or
current intention to add significant acreage to our existing
position. Our current inventory provides us with exceptional
long-term growth potential and our pro forma liquidity of more than
$750 million as of June 30, 2017 provides us with capital to fund
our growth without needing to access debt or equity markets.
We expect to generate pro forma production growth of 2.5x to 3.0x
for both the full year and fourth quarter of 2018 vs. the same
periods in 2017. We also expect to become cash flow positive
in a couple of years running three or four rigs. We look
forward to drilling good wells and executing on our growth strategy
to drive shareholder value going forward.”
Halcón plans to issue formal 2018 guidance as
part of its upcoming third quarter earnings release scheduled for
November 9, 2017.
About Halcón
Resources
Halcón Resources Corporation is an independent
energy company engaged in the acquisition, production, exploration
and development of onshore oil and natural gas properties in the
United States.
For more information contact Quentin Hicks,
Senior Vice President of Finance & Investor Relations, at
832-538-0557 or qhicks@halconresources.com.
Forward-Looking Statements
This release may contain forward-looking
statements within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange Act
of 1934, as amended. Statements that are not strictly historical
statements constitute forward-looking statements and may often, but
not always, be identified by the use of such words such as
"expects", "believes", "intends", "anticipates", "plans",
"estimates", "potential", "possible", or "probable" or statements
that certain actions, events or results "may", "will", "should", or
"could" be taken, occur or be achieved. Forward-looking
statements are based on current beliefs and expectations and
involve certain assumptions or estimates that involve various risks
and uncertainties that could cause actual results to differ
materially from those reflected in the statements. These risks
include, but are not limited to, those set forth in the Company's
Annual Report on Form 10-K for the fiscal year ended December 31,
2016 and other filings submitted by the Company to the U.S.
Securities and Exchange Commission (SEC), copies of which may be
obtained from the SEC's website at www.sec.gov or through the
Company's website at www.halconresources.com. Readers should not
place undue reliance on any such forward-looking statements, which
are made only as of the date hereof. The Company has no duty, and
assumes no obligation, to update forward-looking statements as a
result of new information, future events or changes in the
Company's expectations.
Halcon Resources (NYSE:HK)
Historical Stock Chart
From Aug 2024 to Sep 2024
Halcon Resources (NYSE:HK)
Historical Stock Chart
From Sep 2023 to Sep 2024