Then & Now: Sanchez Slashes Capex, Boosts Production While Waiting for a Price Recovery

SUGAR LAND--January 16, 2017--Written by John Egan for Industrial Info Resources (Sugar Land, Texas)--In 2014, Sanchez Energy Corporation (NYSE:SN) (Houston, Texas) produced about 30,000 barrels of oil equivalent per day (BOE/d) with a capital spend of nearly $700 million. For 2016, however, production nearly doubled, to about 52,000 BOE/d, and full-year capital outlays were lowered by over 50%, to between $250 million and $300 million. Better drilling science in Sanchez's core Eagle Ford, plus rising crude-oil prices and the sale of some non-core assets, are boosting the outlook for the independent Oil & Gas producer, which was formed in 2011. Industrial Info is tracking two active projects valued at $260 million in which Sanchez Energy is a joint venture partner.