Tulsa-based WPX Energy Inc. boosted its outlook for 2019 production targets following the replication of its Texas well design in the Williston Basin in North Dakota.

WPX increased its full-year 2019 production estimate to 160-165 million boe/d, up from the previous estimate of 149-161 million boe/d. The company boosted its oil output guidance to 101-103 million b/d from the previously estimated 96-100 million b/d.

WPX’s third quarter output should drive the increase, while fourth quarter production will likely moderate, the company said Tuesday when reporting second quarter earnings results.

The company’s 2Q2019 production far exceeded volumes in the year-ago period, reaching a new record in the Williston Basin as WPX applied its Pecos State well design from the Delaware sub-basin of West Texas in the Bakken Shale.

WPX launched a pilot test on the Pecos State acreage to delineate the southern portion of the leasehold in late 2018 and completed 11 wells with two-mile laterals by the end of last year.

The company continued to test an 800-foot core sample extracted from the Pecos State project, and as of the 2Q2019, had expanded the core sample to 1,240 feet.

WPX reported Delaware well costs dropping by 22% in 2Q2019 from average 2018 costs, stemming from its Pecos State findings. As the upstream company rolled out similar completion designs in its Williston acreage, well costs dropped by 5% in the quarter from the 2018 average.

“That 22%, I think the stimulation design is a big component of it,” said COO Clay Gasper. “Some of the design changes that we’ve made were effectively stimulating the entire lateral and doing it in a much more efficient, cost effective manner -- that’s the real trick of the trade.”

Williston production rose to 5,862 boe/d, the highest on record for the company.

The company’s total overall oil production for the quarter rose by 21% year/year to 97,900 b/d while natural gas production rose by 35% to 205.9 MMcf/d. Natural Gas Liquids (NGL) production rose by 24% to 27,400 b/d.

WPX reported second quarter net income of $305 million (72 cents/share), up from a net loss of $81 million (minus 21 cents)  a year ago.

Total revenues were $695 million, up by 62% from 2Q2018, an increase driven largely by oil sales totaling $511 million.