Denver-based Ovintiv reported last week production in Permian Basin in third quarter of 194,000 boed (83 percent liquids). The company is increasing fullyear 2023 production guidance to 550,000 boed to 560,000 boed on strong well productivity and faster-than-expected integration of Permian assets acquired in multi-billion dollar deals earlier this year. Fullyear capital investment is now projected to be $2.745 billion to $2.785 billion. Ovintin acquired leasehold interests and related assets of Black Swan Oil & Gas, PetroLegacy Energy and Piedra Resources.
Ovintiv expects all acquired Permian wells in progress to be on production by yearend. Ovintiv plans to spend $1.43 billion to $1.47 billion in Permian this year to bring on 170 to 180 net wells.
Brendon McCracken, president and CEO, said Nov. 7, “Strong well performance across the portfolio – combined with seamless integration of our new Permian assets – has allowed us to significantly exceed our oil and condensate guidance, reflecting both enhanced capital efficiency and higher returns on our invested capital.”