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The following table summarizes the status of Kaybob Deep Basin wells that have been drilled and are awaiting production as of February 28, 2013, the estimated remaining capital required to complete these wells, and their anticipated production and sales volumes:
Total Remaining Wells Capital (net) ------------------------------- Gross Net ------------------------------- ($ millions)Shut-in due to capacity constraints 9 8 -Tied-in, capable of producing 10 7 -Completed, awaiting tie-in 14 12 20Drilled, awaiting completion 10 8 51----------------------------------------------------------- 43 35 71---------------------------------------------------------------------------------------------------------------------- Estimated Estimated Net Raw Gas Net Sales Production(1) Volumes(2) ------------------------------------------------ First Month First Year First Month First Year ------------------------------------------------ (MMcf/d) (MMcf/d) (Boe/d) (Boe/d)Shut-in due to capacity constraints 23 11 6,400 3,100Tied-in, capable of producing 54 25 14,900 7,000Completed, awaiting tie-in 59 29 19,000 9,200Drilled, awaiting completion 52 28 17,000 9,100---------------------------------------------------------------------------- 188 93 57,300 28,400--------------------------------------------------------------------------------------------------------------------------------------------------------(1) Based on the Company's 4.9 Bcf type curve for Falher wells and 3.7 Bcf type curve for Montney wells.(2) Based on processing through a deep cut facility.
Once the Musreau Deep Cut Facility is fully operational and the ramp-up of production volumes is complete, the Company estimates that approximately 20 new wells will be required each year to keep the facility operating at capacity.
The Kaybob COU's focus in 2013 is to complete the construction of the Musreau Deep Cut Facility and maximize production volumes through available capacity. The Company is ready for significant growth. With production volumes ramping-up as the Musreau and Smoky deep cut facilities are brought on-stream, Paramount will begin to realize returns on its Deep Basin drilling and infrastructure investments.
Grande Prairie 2012 2011 % Change------------------------------------------------------------------------Sales Volumes Natural gas (MMcf/d) 20.9 16.0 31 NGLs (Bbl/d) 749 505 48 Oil (Bbl/d) 307 393 (22) ---------------------------- Total (Boe/d) 4,536 3,568 27 ----------------------------Exploration and Development Expenditures ($ millions) Exploration, drilling, completions and tie-ins 69.5 106.4 (35) Facilities and gathering 32.9 49.6 (34) ---------------------------- 102.4 156.0 (35) ---------------------------- Gross Net Gross Net ----------------------------Total Land Holdings (sections) 577 379 629 430Wells Drilled 10 6.7 22 15.0------------------------------------------------------------------------------------------------------------------------------------------------
