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Released November 13, 2025 | SUGAR LAND
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Written by Will Ploch, Assistant Editor-in-Chief for Industrial Info Resources (Sugar Land, Texas)
"This transaction positions Baytex as a focused, high-return Canadian energy producer," said Eric T. Greager, the chief executive officer of Baytex, in a press release. "Monetizing our U.S. Eagle Ford assets strengthens our balance sheet, supports capital allocation to our highest-return opportunities, and positions us to deliver meaningful shareholder returns."
Baytex estimates its drilling program in and around Karnes City, Texas, will have brought onstream 54 new wells in the 2025 calendar year, including 41 net-operated wells. It is not yet known what the unnamed buyer plans to do with the development, whose 2026 program is slated to see up to 60 new wells drilled in its area, which covers the Longhorn, Sugarloaf, Ipanema and Excelsior fields in the heart of the Eagle Ford Shale.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Production Project Database can learn more about Baytex's Eagle Ford program--including capacities, investment values and necessary equipment--from detailed reports on the 2025 and 2026 programs.
Baytex's production in the Eagle Ford averaged 82,839 barrels of oil equivalent per day (BOE/d) for the first three quarters of 2025. The asset's production for the full 2024 calendar year averaged 89,100 BOE/d, about 81% of which was oil or natural gas liquids (NGLs); 64 new wells were brought onstream during that time, including 51 net-operated wells.
Producers consider the Eagle Ford to be a shallower, more mature reservoir, where many of the most productive areas already have been drilled. Since this means operational wells in the area are depleted at a much faster rate, developers must drill more frequently to retrieve product. This makes the Eagle Ford a relatively expensive prospect for exploration, which is not appealing when oil prices are in the lower-to-mid US$60-per-barrel range.
By the Numbers
Heavy crude comprises the majority of Baytex's Canadian oil production, with the related fields also producing limited amounts of natural gas and NGLs. In the Bluesky Formation near Peace River, Alberta, the company produced 11,490 BOE/d in the first nine months of 2025, with 13 new wells set to be drilled by the end of the year, while the Lloydminster Field near Consort, Alberta, saw 12,580 BOE/d with an expected 61 new wells, and the Peavine development in central Alberta saw 19,455 BOE/d with as many as 71 new wells.
In its 2026 drilling programs, Baytex expects to drill up to 16 new wells in the Bluesky Formation, up to 71 new wells in the Lloydminster Field, and up to 36 new wells in the Peavine development. Subscribers can read detailed project reports on the company's 2025 Bluesky, Lloydminster and Peavine programs, and its 2026 Bluesky, Lloydminster and Peavine programs.
"The company's heavy oil assets comprise 750,000 net acres of land and 1,100 drilling locations, which supports approximately 10 years of drilling at our current pace of development," Baytex said in a press release.
While Baytex does not produce as much light crude oil in Canada, its holdings in these areas produce most of the company's Canadian natural gas. For the first three quarters of 2025, the company produced 10,004 BOE/d in the Viking Field near Coleville, Saskatchewan, and 7,547 BOE/d at its Pembina Duvernay holdings near Sedalia, Alberta. Baytex estimates it will have brought on more than 90 new wells in the Viking Field and nine new wells in the Pembina Duvernay area in the 2025 calendar year.
Baytex expects to drill up to 100 and 11 new wells in its 2026 Viking and Pembina Duvernay programs, respectively. Subscribers can read detailed project reports on 2025 and 2026 Viking programs, and the 2025 and 2026 Pembina Duvernay programs.
"Over the next two years, the company expects to transition to a one-rig drilling program [at Pembina Duvernay] with 18 to 20 wells per year, targeting production of 20,000 to 25,000 BOE/d by 2029-2030." the company said in its press release.
Subscribers to Industrial Info's GMI Project and Plant databases can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Key Takeaways
About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
Summary
The Eagle Ford Shale represents a majority of Baytex's production, but the driller believes returning its operations entirely to Canada will be better for its bottom line.Canadian Producer Bids Farewell to Texas... and the U.S.
Baytex Energy Corporation (Calgary, Alberta) is packing up and heading home to Canada. The oil and gas producer announced Wednesday it had agreed to sell its U.S. Eagle Ford assets to an undisclosed buyer for US$2.305 billion, which will end its U.S.-based operations. Executives at the company believe it will benefit from focusing its efforts on its Canadian assets. Industrial Info is tracking more than US$2.5 billion worth of active and proposed projects from Baytex, comprising six drilling developments with programs set to kick off next year."This transaction positions Baytex as a focused, high-return Canadian energy producer," said Eric T. Greager, the chief executive officer of Baytex, in a press release. "Monetizing our U.S. Eagle Ford assets strengthens our balance sheet, supports capital allocation to our highest-return opportunities, and positions us to deliver meaningful shareholder returns."
Baytex estimates its drilling program in and around Karnes City, Texas, will have brought onstream 54 new wells in the 2025 calendar year, including 41 net-operated wells. It is not yet known what the unnamed buyer plans to do with the development, whose 2026 program is slated to see up to 60 new wells drilled in its area, which covers the Longhorn, Sugarloaf, Ipanema and Excelsior fields in the heart of the Eagle Ford Shale.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Production Project Database can learn more about Baytex's Eagle Ford program--including capacities, investment values and necessary equipment--from detailed reports on the 2025 and 2026 programs.
Baytex's production in the Eagle Ford averaged 82,839 barrels of oil equivalent per day (BOE/d) for the first three quarters of 2025. The asset's production for the full 2024 calendar year averaged 89,100 BOE/d, about 81% of which was oil or natural gas liquids (NGLs); 64 new wells were brought onstream during that time, including 51 net-operated wells.
Producers consider the Eagle Ford to be a shallower, more mature reservoir, where many of the most productive areas already have been drilled. Since this means operational wells in the area are depleted at a much faster rate, developers must drill more frequently to retrieve product. This makes the Eagle Ford a relatively expensive prospect for exploration, which is not appealing when oil prices are in the lower-to-mid US$60-per-barrel range.
By the Numbers
- US$2.305 billion: Price an unnamed entity paid for Baytex's Eagle Ford operations.
- 54: New wells Baytex estimates it will have drilled in the Eagle Ford in the 2025 calendar year.
- 82,839 BOE/d: The Eagle Ford asset's average production in the first three quarters of 2025, according to Baytex.
With Canadian Assets, Less is More
Baytex's Canadian assets cumulatively produced only 78.4% of what the company produced in the Eagle Ford in the first three quarters of 2025. Nonetheless, executives at Baytex said a renewed focus on its Canadian assets will "drive disciplined growth, capitalize on new opportunities, and deliver long-term value for our shareholders."Heavy crude comprises the majority of Baytex's Canadian oil production, with the related fields also producing limited amounts of natural gas and NGLs. In the Bluesky Formation near Peace River, Alberta, the company produced 11,490 BOE/d in the first nine months of 2025, with 13 new wells set to be drilled by the end of the year, while the Lloydminster Field near Consort, Alberta, saw 12,580 BOE/d with an expected 61 new wells, and the Peavine development in central Alberta saw 19,455 BOE/d with as many as 71 new wells.
In its 2026 drilling programs, Baytex expects to drill up to 16 new wells in the Bluesky Formation, up to 71 new wells in the Lloydminster Field, and up to 36 new wells in the Peavine development. Subscribers can read detailed project reports on the company's 2025 Bluesky, Lloydminster and Peavine programs, and its 2026 Bluesky, Lloydminster and Peavine programs.
"The company's heavy oil assets comprise 750,000 net acres of land and 1,100 drilling locations, which supports approximately 10 years of drilling at our current pace of development," Baytex said in a press release.
While Baytex does not produce as much light crude oil in Canada, its holdings in these areas produce most of the company's Canadian natural gas. For the first three quarters of 2025, the company produced 10,004 BOE/d in the Viking Field near Coleville, Saskatchewan, and 7,547 BOE/d at its Pembina Duvernay holdings near Sedalia, Alberta. Baytex estimates it will have brought on more than 90 new wells in the Viking Field and nine new wells in the Pembina Duvernay area in the 2025 calendar year.
Baytex expects to drill up to 100 and 11 new wells in its 2026 Viking and Pembina Duvernay programs, respectively. Subscribers can read detailed project reports on 2025 and 2026 Viking programs, and the 2025 and 2026 Pembina Duvernay programs.
"Over the next two years, the company expects to transition to a one-rig drilling program [at Pembina Duvernay] with 18 to 20 wells per year, targeting production of 20,000 to 25,000 BOE/d by 2029-2030." the company said in its press release.
Subscribers to Industrial Info's GMI Project and Plant databases can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Key Takeaways
- Baytex is optimistic its Canadian assets will deliver more long-term value for the company.
- The company believes its heavy oil assets supports about 10 years of drilling at its current pace.
- Baytex expects to transition to a one-rig drilling program at Pembina Duvernay in the coming years.
About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
