(The full figure is from the presentation by J. David Hughes at the ASPO-USA conference in Austin.)
Today Oil&Gas Journal came with an Unconventional Oil&Gas Report. An interesting article is “PNR discontinues divesting Barnett shale properties” and this is a sign that some companies might rethink future investments in Barnett:
“Pioneer Natural Resources Co. (PNR) discontinued efforts to divest its properties in the Barnett shale saying that several bids were received during December but none matched the value PNR places on the assets. As a result, PNR will retain operatorship of the assets. The Dallas independent holds 155,000 gross acres in the play. PNR’s Barnett shale properties were reclassified to discontinued operations in the third quarter of 2012 (OGJ Online, Sept. 18, 2012). With the discontinuance of the divestment process, the financial and operating results for these properties will be reclassified back to continuing operations beginning in the fourth quarter of 2012. PNR’s future plans for its Barnett shale properties will be discussed during a quarterly conference call on Feb. 14.”
This means that reserves will go back to resources. The sweet spot production in Barnett might be over.