Marathon Gets 40% Production Hike As Well Costs Drop To $5 Million
Marathon Oil Corp. saw well costs drop to $5 million in the third quarter of 2018 as it brought 27 new wells online in the Williston Basin, increasing year over year production by 40% to 94,000 BOEPD. With exploration focused primarily in the Myrmidon area (see map), the average 30-day initial production rate was 3,335 BOEPD (76% oil).
The company conducted a successful core extension test in the Ajax area of Dunn County, as the four-well Gloria pad achieved an average 30-day IP rate of 2,370 BOEPD (81% oil).
Marathon disclosed that during the last three months of the 2018, crude oil prices averaged $51.11 a barrel, NGLs averaged $19.01 a barrel, and natural gas payments averaged 3.41 per Mcf.
“While many in our industry talked about capital discipline, we delivered. In 2018, we budgeted conservatively and never wavered, getting more for every dollar of capital we invested,” said president and CEO Lee Tillman. “We drove significant improvement to our corporate returns and cash flow per debt adjusted share.”