With assets in the Haynesville Shale—in Texas and Louisiana, Tuscaloosa Marine Shale, and Eagle Ford Shale, Goodrich Petroleum (ticker: GDP) has established a strong portfolio in shale-specific plays.
Core Haynesville
Goodrich’s Haynesville Shale makes up the core of its operations, with a total of approximately 47,000 net acres between the Texas Haynesville shale and the Northwest Louisiana Haynesville/Bossier Shale Angelina River Trend (ART). The two plays total 285.8 Bcfe in proved reserves, as of the end of 2016. The majority of the Haynesville reserves are centered in Texas’ Haynesville play, with 281.6 Bcfe.
The company has completed approximately 90 gross, 33 net wells in the Haynesville shale. The play has approximately 235 gross, 96 net potential drilling locations in the NW Louisiana Core area. In order to increase recovery from the Haynesville, Goodrich has instituted new completions designs. The new design involved using 3,000-5,000 lbs. of proppant per foot, versus the prior design which utilized approximately 1000 lbs. of proppant per foot.
In addition to enhanced completions, the utilization of longer laterals is being used to generate additional value in the Haynesville. According to Walter Goodrich, Chairman and CEO of Goodrich Petroleum, in the Q1, 2017 earnings call the company has begun “participation in two non-operated 10,000 ft. high proppant wells which have exceeded expectations,” for the Haynesville.
The company has created a budget of $40 to $50 million for the development of the Haynesville Shale, which includes drilling nine to 12 gross Haynesville wells and four to five net Haynseville wells.
Optionality in other plays
Goodrich also has its Tuscaloosa Marine Shale, which is comprised of 128,000 net acres with a proved reserves value of 16.8 Bcfe; and its Eagle Ford Shale asset which totals 14,000 net acres. Both assets are being held for future optionality.
Goodrich Petroleum Corporation is presenting at EnerCom’s The Oil & Gas Conference® 22
Goodrich will be a presenting company at the upcoming EnerCom conference in Denver, Colorado—The Oil & Gas Conference® 22.
The conference is EnerCom’s 22nd Denver-based oil and gas focused investor conference, bringing together publicly traded E&Ps and oilfield service and technology companies with institutional investors. The conference will be at the Denver Downtown Westin Hotel, August 13-17, 2017. To register for The Oil & Gas Conference® 22 please visit the conference website.
