ConocoPhillips ups investment plans for Bakken, Eagle Ford
ConocoPhillips intends to spend roughly $9 billion in 2014 on its North American operations. The company will increase drilling program investments in the Bakken, Eagle Ford and Permian plays. In total, global investments will reach $16.7 billion for the company. According to the company, approximately 39 percent of the total budget will be put towards its high margin drilling programs in the Eagle Ford, Bakken and Niobrara shale’s. “Growth from these development drilling programs should account for 600 MBOED of production by 2017 and offsets normal field decline from the company’s producing assets,” the company said in its 2014 budget announcement.
Ryan Lance, chairman and CEO of the company, said 2014 will be an important year. “We have an unparalleled inventory of opportunities that will enable us to deliver organic growth from continuing operations in 2014 and beyond. In addition, our planned conventional and unconventional exploration activity should provide opportunities that can keep us on track for sustained growth and returns,” he said.
Although 13 percent of ConocoPhillips’ capital budget plans in 2014 will go towards exploration and appraisal, the Bakken doesn’t fit into the company’s 2014 plans. The exploration and production firm will deploy investment to liquids-rich shale plays in the Niobrara and Permian plays, as well as the Canol, Duvernay and Montney plays in Canada.
Earlier this year, ConocoPhillips opened an office in Billings, Montana to house it’s Williston Basin operations.