Gastar Exploration Inc. (NYSE MKT: GST) detailed its 2015 capital budget, the company said Sept. 15.
The board of directors approved a budget of about $257.3 million, Gastar said. This amount is divided into $222.7 for drilling, completions and infrastructure, $28 million for land/seismic and about $6.6 million in other costs, Gastar added.
The budget will allow 44 gross (27.1 net) Hunton Limestone wells, six gross (three net) Marcellus wells and two gross (1.5 net) Utica wells, the company said. The Utica allocation allows one gross (1.5 net) horizontal well, one gross (one net) vertical well and two gross (1.5 net) Midcontinent Stack wells, the company added.
About $5.5 million will be needed to complete the Hunton Limestone wells, with an average 4,200-foot lateral, the company said. About $7.8 million will be needed for the Marcellus wells, with an average 5,000-foot lateral. The horizontal Utica wells, with an average 6,700-foot lateral, will require about $16 million. The MidContinent Stack wells will need about $12 million. They have an average 10,500-foot lateral, the company noted. The vertical Utica well will need about $3 million, the company added.
Gastar said it planned to operate about 74% of its drilling and completions capex during 2015, noting that it might reduce part of the capex.
Houston-based Gastar Exploration Inc. develops and produces domestic oil, natural gas and NGL.
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