Abraxas Announces New CFO

- Abraxas Announces New CFO

Friday, September 09, 2011
Abraxas Petroleum Corporation

Abraxas Petroleum Corporation today announced that Barbara M. Stuckey has been elected to serve as Vice President and Chief Financial Officer and George William “Bill” Krog, Jr. has been elected to serve as Chief Accounting Officer and Treasurer of the Company. The Company also announced that Chris E. Williford, Executive Vice President, Chief Financial Officer and Treasurer, has resigned from the Company to accept a job in an executive position with a private company.

Ms. Stuckey has been with the Company since 1997 and most recently served as Vice President – Corporate Finance. Ms. Stuckey received a Bachelor of Arts degree from the University of Texas at San Antonio and a Master of Business Administration degree from the Bordeaux Business School. Mr. Krog has been with the Company since 1995 and most recently served as Information Systems / Financial Reporting Director. Mr. Krog received a Bachelor of Business Administration degree from the University of Texas at Austin and is a Certified Public Accountant.

“I am pleased to announce two promotions from within the Company. Both Barbara and Bill have been instrumental in the growth and success of the Company over the past decade. On behalf of the entire Abraxas family, we thank Chris for 18 years of service and wish him well in his future endeavors,” commented Bob Watson, President and CEO of Abraxas.

Abraxas Petroleum Corporation is a San Antonio based crude oil and natural gas exploration and production company with operations across the Rocky Mountain, Mid-Continent, Permian Basin and Gulf Coast regions of the United States and in the province of Alberta, Canada.

Oil & Gas Post

Promote Your Page Too
LINK

Abraxas Looks Ahead to 'Active' 2011 Drilling Program

- Abraxas Looks Ahead to 'Active' 2011 Drilling Program

Tuesday, August 09, 2011
Abraxas Petroleum Corp.

Abraxas provided an operational update and issued production guidance for 2011.

Rocky Mountain – North Dakota / Montana

In McKenzie County, North Dakota, Abraxas drilled the Stenehjem 27-34 1H to a total measured depth of 16,504 feet, including a 5,965 foot lateral in the middle Bakken formation, and completed the well with a 17-stage fracture stimulation. The well was placed on production in late June and in 44 days the well has produced (on a restricted choke) 20,000 barrels of oil, 32.2 MMcf of wellhead gas which yields 2,700 barrels of natural gas liquids and 23.3 MMcf of residue gas for a total of 26,500 barrels of oil equivalent, or an average of 600 barrels of oil equivalent per day. For the past three days, the well averaged 615 barrels of oil equivalent per day on a 21/64-inch choke with 750 psi of flowing pressure. Abraxas owns a 79% working interest in this well.

In various counties in North Dakota and Montana, fourteen non-operated horizontal wells, targeting the Bakken or Three Forks formation, in which Abraxas owns a working interest are currently in progress or recently placed on-line. Seven gross (0.35 net) wells went on production in June or July, three gross (0.08 net) wells have been fracture stimulated and are currently cleaning up, one gross (0.36 net) well is waiting on completion, one gross (0.01 net) well is currently drilling and two gross (0.05 net) wells are waiting on a drilling rig. Since January 2010, Abraxas has elected to participate in 19 gross (1.00 net) non-operated wells in the Bakken / Three Forks play.

In McKenzie County, North Dakota, two gross (0.11 net) non-operated horizontal wells targeting the Mission Canyon have been drilled, completed and are currently waiting on production facilities. Early production testing of these wells has yielded flow rates in excess of 1,000 barrels of oil per day each.

In early July, Abraxas announced the purchase of a drilling rig that is in the process of being refurbished. After completion, the rig will be mobilized to McKenzie County, North Dakota and it is anticipated that the rig will begin drilling on the first pad site in October.

Rocky Mountain - Wyoming

In Campbell and Niobrara Counties, Wyoming, a two well oil development program is scheduled to begin this fall. One of these horizontal wells will target the Niobrara formation and one will target the Turner formation. Abraxas owns a 100% working interest in each of these wells.

South Texas – Eagle Ford

Abraxas currently owns a 41% equity interest in Blue Eagle, a joint venture between Abraxas and Rock Oil Company, LLC. On June 29, 2011, Rock Oil contributed an additional $11 million to the joint venture and Blue Eagle purchased approximately 2,487 net acres in McMullen County, Texas in the oil window of the play.

In DeWitt County, Texas, Blue Eagle's first well, the T-Bird 1H, continues to outperform expectations and is currently producing 930 barrels of oil equivalent per day, which is comprised of 185 barrels of condensate, 300 barrels of natural gas liquids and 2.7 MMcf of residue gas. The well has produced approximately 230,000 barrels of oil equivalent during its first 180 days on production. Blue Eagle owns a 100% working interest in this well.

In DeWitt County, Texas, Blue Eagle participated in a non-operated horizontal well with its 43.9% working interest. The Matejek Gas Unit 1 was drilled to a total measured depth of 17,865 feet, including a 3,600 foot lateral, and completed with a 14-stage fracture stimulation. The well is currently shut-in waiting on pipeline hookup which is expected to be completed later this month.

In Atascosa County, Texas, the Grass Farms 1H is currently drilling the lateral at a total measured depth of 13,150 feet towards a total measured depth of 13,380 feet, including a 6,000 foot lateral. A fracture stimulation date has been secured for this well in September, a month later than originally anticipated. Blue Eagle owns a 100% working interest in this well.

West Texas

In Nolan County, Texas, the Spires 126 2H was drilled to a total measured depth of 9,000 feet, including a 2,000 foot lateral, and completed open hole and un-stimulated. The well was recently placed on-line and during the first 20 days of production, the well averaged 125 barrels of oil equivalent per day, which was comprised of 47 barrels of oil, 46 barrels of natural gas liquids and 210 Mcf of residue gas. Abraxas owns a 100% working interest in this well.

In Coke County, Texas, the Sadie #2A was drilled to a total vertical depth of 6,425 feet and is waiting on completion and the Sadie #1B is currently drilling below 4,600 feet towards a total vertical depth of 6,500 feet. These two delineation wells are targeting the Canyon Sands. Abraxas owns a 100% working interest in these wells.

In Reeves County, Texas, Abraxas previously announced that it acquired an additional 640 net acres, for a total of approximately 3,000 net acres, in the emerging Wolfbone play. Two wells directly adjacent to our acreage are currently being drilled by the industry.

Canada - Pekisko

In Alberta, Canada, the Twining 6-11 was drilled to a total measured depth of 8,900 feet, including a 3,025 foot lateral, and is waiting on completion and the Twining 6-12 recently reached total measured depth of 9,150 feet, including a 3,380 foot lateral. These two wells are targeting the Pekisko formation. Canadian Abraxas owns a 100% working interest in each of these wells.

Guidance

For July, Abraxas produced approximately 4,160 barrels of oil equivalent per day up from an average of 3,845 barrels of oil equivalent per day for the second quarter. Abraxas expects production for 2011 to average 4,000 – 4,200 barrels of oil equivalent per day, including its equity interest share of Blue Eagle's production, which would generate an exit rate for 2011 between 4,700 and 4,900 barrels of oil equivalent per day.

Comments

"We've been busy! It is a refreshing change to get back to a very active drilling program. So far, we are quite pleased with the results of our operated (and non-operated) wells and we hope to continue this success throughout the year. The purchase of the drilling rig will enable us to be quite active in the Williston Basin on an operated basis and in an efficient manner for years to come," commented Bob Watson, Abraxas' President and CEO.

Oil & Gas Post

Promote Your Page Too
LINK

Abraxas Petroleum Announces Production And 2011 Estimates

- Abraxas Petroleum Announces Production And 2011 Estimates



Aug 9, 2011

During the month of July, Abraxas (NASDAQ:AXAS) produced 4,160 barrels of oil equivalent per day up from an average of 3,845 barrels of oil equivalent per day for the Q2.

Abraxas expects production for 2011 to average 4,000 to 4,200 barrels of oil equivalent per day, including its equity interest share of Blue Eagle's production that would generate an exit rate for 2011 between 4,700 and 4,900 barrels of oil equivalent per day.

Abraxas Petroleum (NASDAQ:AXAS) has a potential upside of 97.6% based on a current price of $3.09 and an average consensus analyst price target of $6.11.

Oil & Gas Post

Promote Your Page Too
LINK

Abraxas Buys Drilling Rig

- Abraxas Buys Drilling Rig

Wednesday, July 06, 2011
Abraxas Petroleum Corp.

Abraxas has purchased a drilling rig and hired an experienced rig operator.

Abraxas purchased a used Oilwell 2000 hp diesel electric drilling rig, which will be refurbished and mobilized to the Williston Basin to drill Bakken/Three Forks wells using a multi-well pad drilling system. Abraxas anticipates that the rig will be ready to spud its first well in October 2011 in the North Fork area of McKenzie County, North Dakota where the Company has 60 gross (18 net) identified drilling locations.

The rig will be owned and operated by Raven Drilling, LLC, a wholly-owned subsidiary of Abraxas. Abraxas has hired an experienced rig operator, Tom Coons, who will run the day-to-day operations of the rig and its crew. Mr. Coons has worked for Abraxas as a drilling consultant in the Rocky Mountain region since 1997 and he has drilled numerous wells in various basins throughout his 40 year career in the business.

"Due to the severe shortage of equipment and services in the Williston Basin, we felt it was prudent to secure our own drilling rig in order to get our operated wells drilled on a timely and cost-efficient basis. The multi-well pad drilling system should save a lot of capital costs as the rig walks from location to location which reduces the mobilization costs, in addition to other cost savings by using the same mud system for multiple wells. On the completion side, we are still in the process of negotiating long-term availability of services; nonetheless, we are beginning to see additional availability in the basin, both of which will be of benefit to us once we get our operated wells drilled and ready for fracture stimulation," commented Bob Watson, Abraxas’ President and CEO.

Oil & Gas Post

Promote Your Page Too
LINK

Abraxas Updates U.S., Canadian Operations

- Abraxas Updates U.S., Canadian Operations

Thursday, June 30, 2011
Abraxas Petroleum Corporation

Abraxas Petroleum Corporation today provided an operational update.

Rocky Mountain – North Dakota / Montana

In McKenzie County, North Dakota, Abraxas drilled the Stenehjem 27-34 1H to a total measured depth of 16,504 feet, including a 5,965 foot lateral in the middle Bakken formation, and completed the well with a 17-stage fracture stimulation. The well was recently placed on production, including gas (and natural gas liquids) directly into the sales line, and is currently in the early stages of cleaning up and producing at rates in excess of 800 barrels of oil equivalent per day, which is comprised of approximately 600 barrels of oil, 100 barrels of natural gas liquids and 700 Mcf of residue gas. We anticipate providing initial rates (after recovery of frac fluid) when 30-day rates are also available. Abraxas owns an approximate 79% working interest in this well.

In various counties in North Dakota and Montana, fourteen non-operated horizontal wells, targeting the Bakken or Three Forks formation, in which Abraxas owns a working interest are currently in progress or recently placed on-line. Four gross (0.15 net) wells went on production in mid-June, three gross (0.15 net) wells have been fracture stimulated and are currently cleaning up, three gross (0.50 net) wells are waiting on completion and four gross (0.07 net) wells are waiting on a drilling rig. Since January 2010, Abraxas has elected to participate in 19 gross (1.02 net) non-operated wells in the Bakken / Three Forks play.

In McKenzie County, North Dakota, two gross (0.11 net) non-operated horizontal wells targeting the Mission Canyon have been drilled and completed and are currently waiting on production facilities.

Abraxas anticipates being in a position in the near future to discuss long-term service availability to allow a multi-year continuous development plan on its Bakken / Three Forks acreage.

Rocky Mountain - Wyoming

In Campbell and Niobrara Counties, Wyoming, a two well oil development program is scheduled to begin this fall. One of these horizontal wells will target the Niobrara formation and one will target the Turner formation. Abraxas owns a 100% working interest in each of these wells.

Rocky Mountain – Alberta Basin Bakken

Abraxas has been approached by a number of companies in the industry with respect to a joint venture or similar arrangement; however, Abraxas has elected to wait for more definitive results from wells drilled to-date in the play before planning a course of action. Abraxas’ leases have a primary term of 5-10 years providing plenty of time to evaluate the results of other operators in the play.

South Texas – Eagle Ford

Abraxas currently owns a 50% equity interest in Blue Eagle, which is a joint venture between Abraxas and Rock Oil Company, LLC.

In DeWitt County, Texas, Blue Eagle’s first well, the T-Bird 1H, continues to outperform expectations and is currently producing approximately 1,100 barrels of oil equivalent per day, which is comprised of approximately 200 barrels of condensate, 340 barrels of natural gas liquids and 3.2 MMcf of residue gas. The well has produced approximately 200,000 barrels of oil equivalent during its first 150 days on production. Blue Eagle owns a 100% working interest in this well.

In DeWitt County, Texas, Blue Eagle participated in a non-operated horizontal well with its 43.9% working interest. The well, the Matejek Gas Unit 1, was drilled to a total measured depth of approximately 17,865 feet, including a 3,600 foot lateral, and recently completed with a 14-stage fracture stimulation. The well flow tested at restricted rates in excess of 780 barrels of oil equivalent per day through a choke while recovering frac fluid. The well is currently shut-in waiting on pipeline hookup.

In Atascosa County, Texas, the Grass Farms 1H should spud this week as the rig is currently rigging up. This well is located in the oil window of the play and will be drilled to a total measured depth of approximately 12,500 feet, including a 5,000 foot lateral. A fracture stimulation date has been secured for this well in August. Blue Eagle owns a 100% working interest in this well.

South Texas – Portilla

In San Patricio County, Texas, seven wells have been drilled and completed to-date in the multi-well in-fill drilling program and one additional well was recently recompleted. Three of the new wells targeted the dual objectives of the 7,400 and 8,100 foot Frio sands and four targeted the 7,400 foot Frio sand. These wells have increased production in the field by 100% and have added approximately 300 barrels of oil equivalent per day, 82% of which is oil. This drilling program has met the Company’s economic expectations and six additional locations remain to be drilled, all of which are scheduled for later this year. Abraxas owns a 100% working interest in each of these wells.

West Texas

In Nolan County, Texas, the Spires 126 2H recently reached a total measured depth of approximately 9,000 feet, including a 2,000 foot lateral. Completion operations will commence on this well in the near future. Abraxas owns a 100% working interest in this well.

In Coke County, Texas, in the NE Millican Reef field, Abraxas anticipates drilling two vertical delineation wells targeting the Canyon Sand play which is located approximately 30 miles to the southwest of Spires Ranch in the near future. The rig that drilled the Spires Ranch well will move to drill one of these two wells, after which, the rig will return to Spires Ranch for a continual horizontal development program, and assuming favorable results on the first well, the rig will return to NE Millican when convenient to drill the second well. Abraxas owns a 100% working interest in these wells.

In Reeves County, Texas, Abraxas recently acquired 640 net acres, for a total of approximately 3,000 net acres, in the emerging Wolfbone play. Two wells directly adjacent to our acreage are being currently drilled by the industry.

Canada - Pekisko

In Alberta, Canada, production from the Twining 9-11 remains relatively stable at approximately 100 barrels of oil equivalent per day. Two wells offsetting the successful Twining well will be drilled back-to-back, the first of which spudded this week. The two wells will be drilled horizontally and will target the Pekisko formation. Canadian Abraxas owns a 100% working interest in each of these wells.

Comments

“With the expected performance of the Portilla and Twining wells and the recent new production in the Bakken / Three Forks play, we have more than offset production disruptions from wells shut-in in the Williston Basin due to unprecedented high water and flooding. With all of our drilling activity, we should be in a position to continue sequential quarterly production growth for the foreseeable future,” commented Bob Watson, Abraxas’ President and CEO.

Abraxas Petroleum Corporation is a San Antonio based crude oil and natural gas exploration and production company with operations across the Rocky Mountain, Mid-Continent, Permian Basin and Gulf Coast regions of the United States and in the province of Alberta, Canada.

Oil & Gas Post

Promote Your Page Too
LINK

Abraxas Ramps Production at Bakken/Three Forks Play

- Abraxas Ramps Production at Bakken/Three Forks Play

Wednesday, June 29, 2011
Abraxas Petroleum Corp.

Abraxas provided an operational update.

Rocky Mountain – North Dakota / Montana

In McKenzie County, North Dakota, Abraxas drilled the Stenehjem 27-34 1H to a total measured depth of 16,504 feet, including a 5,965 foot lateral in the middle Bakken formation, and completed the well with a 17-stage fracture stimulation. The well was recently placed on production, including gas (and natural gas liquids) directly into the sales line, and is currently in the early stages of cleaning up and producing at rates in excess of 800 barrels of oil equivalent per day, which is comprised of approximately 600 barrels of oil, 100 barrels of natural gas liquids and 700 Mcf of residue gas. We anticipate providing initial rates (after recovery of frac fluid) when 30-day rates are also available. Abraxas owns an approximate 79% working interest in this well.

In various counties in North Dakota and Montana, fourteen non-operated horizontal wells, targeting the Bakken or Three Forks formation, in which Abraxas owns a working interest are currently in progress or recently placed on-line. Four gross (0.15 net) wells went on production in mid-June, three gross (0.15 net) wells have been fracture stimulated and are currently cleaning up, three gross (0.50 net) wells are waiting on completion and four gross (0.07 net) wells are waiting on a drilling rig. Since January 2010, Abraxas has elected to participate in 19 gross (1.02 net) non-operated wells in the Bakken / Three Forks play.

In McKenzie County, North Dakota, two gross (0.11 net) non-operated horizontal wells targeting the Mission Canyon have been drilled and completed and are currently waiting on production facilities.

Abraxas anticipates being in a position in the near future to discuss long-term service availability to allow a multi-year continuous development plan on its Bakken / Three Forks acreage.

Rocky Mountain - Wyoming

In Campbell and Niobrara Counties, Wyoming, a two well oil development program is scheduled to begin this fall. One of these horizontal wells will target the Niobrara formation and one will target the Turner formation. Abraxas owns a 100% working interest in each of these wells.

Rocky Mountain – Alberta Basin Bakken

Abraxas has been approached by a number of companies in the industry with respect to a joint venture or similar arrangement; however, Abraxas has elected to wait for more definitive results from wells drilled to-date in the play before planning a course of action. Abraxas' leases have a primary term of 5-10 years providing plenty of time to evaluate the results of other operators in the play.

South Texas – Eagle Ford

Abraxas currently owns a 50% equity interest in Blue Eagle, which is a joint venture between Abraxas and Rock Oil Company, LLC.
In DeWitt County, Texas, Blue Eagle's first well, the T-Bird 1H, continues to outperform expectations and is currently producing approximately 1,100 barrels of oil equivalent per day, which is comprised of approximately 200 barrels of condensate, 340 barrels of natural gas liquids and 3.2 MMcf of residue gas. The well has produced approximately 200,000 barrels of oil equivalent during its first 150 days on production. Blue Eagle owns a 100% working interest in this well.

In DeWitt County, Texas, Blue Eagle participated in a non-operated horizontal well with its 43.9% working interest. The well, the Matejek Gas Unit 1, was drilled to a total measured depth of approximately 17,865 feet, including a 3,600 foot lateral, and recently completed with a 14-stage fracture stimulation. The well flow tested at restricted rates in excess of 780 barrels of oil equivalent per day through a choke while recovering frac fluid. The well is currently shut-in waiting on pipeline hookup.

In Atascosa County, Texas, the Grass Farms 1H should spud this week as the rig is currently rigging up. This well is located in the oil window of the play and will be drilled to a total measured depth of approximately 12,500 feet, including a 5,000 foot lateral. A fracture stimulation date has been secured for this well in August. Blue Eagle owns a 100% working interest in this well.

South Texas – Portilla

In San Patricio County, Texas, seven wells have been drilled and completed to-date in the multi-well in-fill drilling program and one additional well was recently recompleted. Three of the new wells targeted the dual objectives of the 7,400 and 8,100 foot Frio sands and four targeted the 7,400 foot Frio sand. These wells have increased production in the field by 100% and have added approximately 300 barrels of oil equivalent per day, 82% of which is oil. This drilling program has met the Company's economic expectations and six additional locations remain to be drilled, all of which are scheduled for later this year. Abraxas owns a 100% working interest in each of these wells.

West Texas

In Nolan County, Texas, the Spires 126 2H recently reached a total measured depth of approximately 9,000 feet, including a 2,000 foot lateral. Completion operations will commence on this well in the near future. Abraxas owns a 100% working interest in this well.
In Coke County, Texas, in the NE Millican Reef field, Abraxas anticipates drilling two vertical delineation wells targeting the Canyon Sand play which is located approximately 30 miles to the southwest of Spires Ranch in the near future. The rig that drilled the Spires Ranch well will move to drill one of these two wells, after which, the rig will return to Spires Ranch for a continual horizontal development program, and assuming favorable results on the first well, the rig will return to NE Millican when convenient to drill the second well. Abraxas owns a 100% working interest in these wells.

In Reeves County, Texas, Abraxas recently acquired 640 net acres, for a total of approximately 3,000 net acres, in the emerging Wolfbone play. Two wells directly adjacent to our acreage are being currently drilled by the industry.

Canada - Pekisko

In Alberta, Canada, production from the Twining 9-11 remains relatively stable at approximately 100 barrels of oil equivalent per day. Two wells offsetting the successful Twining well will be drilled back-to-back, the first of which spudded this week. The two wells will be drilled horizontally and will target the Pekisko formation. Canadian Abraxas owns a 100% working interest in each of these wells.

Comments

"With the expected performance of the Portilla and Twining wells and the recent new production in the Bakken / Three Forks play, we have more than offset production disruptions from wells shut-in in the Williston Basin due to unprecedented high water and flooding. With all of our drilling activity, we should be in a position to continue sequential quarterly production growth for the foreseeable future," commented Bob Watson, Abraxas' President and CEO.

Oil & Gas Post

Promote Your Page Too