Gulf-Heavy W&T Offshore Moving Onshore With Permian Basin Buy

摘要

W&T Offshore, which has previously focused almost entirely on the Gulf of Mexico, has fleshed out plans to build an onshore business with a $366 million purchase of properties in the oil-prone Permian Basin. Acquired from private sellers, the West Texas properties will give W&T about 21,500 net acres with estimated proven reserves of 27 million barrels of oil equivalent - 91% of which is oil and natural gas liquids. The properties are currently producing around 2,800 boe/d.The deal prompted the Houston-based independent to raise its production forecast for 2011 by 87 billion to 101.1 billion cubic feet of gas equivalent, up from its previous forecast of 83.2 Bcfe to 96.7 Bcfe.