Gulfport Energy Corporation (NASDAQ:GPOR) (“Gulfport” or the “Company”) today provided an update for the quarter ended March 31, 2017. Key information includes the following:
- Net production during the first quarter of 2017 averaged 849.6 MMcfe per day, an 8% increase over the fourth quarter of 2016 and a 23% increase versus the first quarter of 2016.
- Realized natural gas price, before the impact of derivatives and including transportation costs, averaged $2.68 per Mcf during the first quarter of 2017, a $0.63 per Mcf differential to the average trade month NYMEX settled price.
- Realized oil price, before the impact of derivatives and including transportation costs, averaged $47.52 per barrel during the first quarter of 2017, a $4.34 per barrel differential to the average WTI oil price.
- Realized natural gas liquids price, before the impact of derivatives and including transportation costs, averaged $0.63 per gallon, equivalent to $26.46 per barrel, during the first quarter of 2017, or approximately 51% of the average WTI oil price.
Chief Executive Officer and President, Michael G. Moore commented, “Gulfport’s first quarter results reflect the team’s continued focus on execution and our ability to further increase efficiencies in the field and deliver on results ahead of expectations. Our first quarter production of 849.6 million cubic feet per day came in above expectations, driven by the continued strong performance of our Utica Shale assets and the team’s ability to track ahead of expectations for the scheduled turn-in-lines during the quarter. In addition, during the quarter we commissioned field level compression in an affected gathering area in the Utica Shale and the initial results performed above expectations. We closed the acquisition of the SCOOP assets from Vitruvian II Woodford, LLC on February 17, 2017, and since the closing have been running four operated rigs on the acreage and began Gulfport’s first operated completions in the play. The frac design on these wells includes an enhanced completion when compared to historical practices for the area and we recently began flowback on this pad and look forward to providing initial production results in the coming weeks. On the realization front, we posted strong first quarter results, illustrating the benefits of our existing marketing portfolio in the Utica Shale. To further complement this and secure the movement of Gulfport’s anticipated SCOOP production, during the first quarter we executed a firm transportation commitment with Midship Pipeline Company, a wholly owned subsidiary of Cheniere Energy, on the Midship Project, securing foundation shipper status and providing our molecules delivery to premium end-markets beginning in early 2019. Our first quarter production and pricing results were very encouraging and we are excited as we look forward to the remainder of the year, as we integrate a new core asset into the portfolio, providing the investment community with a diversified, high-growth opportunity in two of North America’s lowest cost natural gas basins.”Read the whole release by clicking here.
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