Noble Energy Provides DJ Basin Update
HOUSTON, Oct. 7, 2013 /PRNewswire/ -- Noble Energy, Inc. (NYSE: NBL) today announced impacts of the mid-September flooding in Northern Colorado on its DJ Basin operations. Total net production loss on average for the third quarter of 2013 was approximately 2 thousand barrels of oil equivalent per day (MBoe/d), of which 70 percent represented crude oil, condensate, and natural gas liquids. The Company continues to return wells to production that were pro-actively shut-in prior to the floods. Only four percent of Noble Energy's operated wells remain offline.
Drilling activities have returned to normal levels, with all rigs currently operating. Limited access to certain affected locations has resulted in delays to the Company's completion activities. The combined impact of remaining well shut-ins and delayed completion operations is anticipated to impact Noble Energy's fourth quarter 2013 average volumes by approximately 5 to 7 MBoe/d, of which 80 percent is projected to be liquid volumes. Acceleration of completion activities is underway and will contribute to the elimination of the backlog by the end of the first quarter of 2014. Despite these impacts, current production levels are already in excess of pre-flood volumes as a result of the strong growth the Company is achieving in the basin.
Gary W. Willingham, Senior Vice President of U.S. Onshore commented, "The storms impacting northern Colorado had significant impacts to local communities and our operations in the area. Our workforce diligently prepared and responded while keeping the safety and protection of human health and the environment the top priority. These impacts to our business are short-term in nature and we look forward to the continued substantial growth and long-term value creation in this core business."
Noble Energy is a leading independent energy company engaged in worldwide oil and gas exploration and production. The Company has core operations onshore in the U.S., primarily in the DJ Basin and Marcellus Shale, in the deepwater Gulf of Mexico, offshore Eastern Mediterranean, and offshore West Africa. Noble Energy is listed on the New York Stock Exchange and is traded under the ticker symbol NBL. Further information is available at www.nobleenergyinc.com.
This news release contains certain "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Words such as "anticipates," "believes," "expects," "intends," "will," "should," "may," and similar expressions may be used to identify forward-looking statements. Forward-looking statements are not statements of historical fact and reflect Noble Energy's current views about future events. They include estimates of oil and natural gas reserves and resources, estimates of future production, assumptions regarding future oil and natural gas pricing, planned drilling activity, future results of operations, projected cash flow and liquidity, business strategy and other plans and objectives for future operations. No assurances can be given that the forward-looking statements contained in this news release will occur as projected, and actual results may differ materially from those projected. Forward-looking statements are based on current expectations, estimates and assumptions that involve a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks include, without limitation, the volatility in commodity prices for crude oil and natural gas, the presence or recoverability of estimated reserves, environmental risks, drilling and operating risks, exploration and development risks, competition, government regulation or other actions, the ability of management to execute its plans to meet its goals and other risks inherent in Noble Energy's business that are discussed in its most recent annual report on Form 10-K and in other reports on file with the Securities and Exchange Commission. These reports are also available from Noble Energy's offices or website, http://www.nobleenergyinc.com. Forward-looking statements are based on the estimates and opinions of management at the time the statements are made. Noble Energy does not assume any obligation to update forward-looking statements should circumstances or management's estimates or opinions change.
The Securities and Exchange Commission requires oil and gas companies, in their filings with the SEC, to disclose proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. The SEC permits the optional disclosure of probable and possible reserves, however, we have not disclosed the Company's probable and possible reserves in our filings with the SEC. We use certain terms in this news release, such as "gross mean resources." This estimate is by its nature more speculative than estimates of proved, probable and possible reserves and accordingly are subject to substantially greater risk of being actually realized. The SEC guidelines strictly prohibit us from including these estimates in filings with the SEC. Investors are urged to consider closely the disclosures and risk factors in our most recent annual report on Form 10-K and in other reports on file with the SEC, available from Noble Energy's offices or website, http://www.nobleenergyinc.com.
SOURCE Noble Energy