Denver-based Ovintiv said April 28 its focus on operational efficiency and supply chain management led to 2021Q1 well costs at or below 2021 guidance. Ovintiv drilled 22 net wells and turned 24 net to sales in Permian Basin in 2021Q1. Drilling and completion costs averaged $480 per foot in 2021Q1 – down 11 percent from 2020 – to match guidance. In Q1 Ovintiv went from spud to rig release in 6.9 days and averaged 1 day faster wells than 2020. Ovintiv’s Permian production averaged 101 Mboed (82 percent liquids) in Q1.
Ovintiv also said it began sourcing wet sand from a local mine in Howard County, leading to cost savings of at least $100,000 per well.