Dallas-based Pioneer Natural Resources said May 4 it plans to operate 22-to-24 horizontal drilling rigs in 2021 in Permian Basin, including averages of 1 rig in Delaware Basin and 3 rigs in joint venture area of Midland Basin. The 2021 capital program is expected to place 470 to 510 wells on production, including 90 wells on acreage acquired from DoublePoint. Pioneer expects 2021 oil production of 351,000 to 360,000 b/d and total production of 605,000 to 631,000 boed. Capital budget for 2021 is expected to be between $2.95 billion and $3.25 billion for drilling, completions and facilities ($591 million in 2021Q1). Pioneer placed 106 horizontal wells on production in 2021Q1 with output of 281,000 b/d of oil and 474,000 boed of total production.
CEO Scott Sheffield told reporters May 5 the shale industry needs more consolidation to curb volume increases from smaller producers.