Newfield Exploration Co. said Friday that it expects to produce about 183 Bcfe this year, an increase of 5% over production results in 2001. For the fourth quarter, the Houston independent expects production to range between 36-40 Bcf, or 390-435 MMcf/d.

Next year’s production target won’t be forecast until Newfield issues its year-end results in February. However, the company said that the $640 million acquisition of EEX Corp., completed in November, adds current production of about 115 MMcfe/d (see Daily GPI, Nov. 27). About 95% of EEX production is natural gas. CEO David Trice said that Newfield expects to double the current level of capital investment in EEX’s onshore properties next year.

Natural gas pricing in the fourth quarter from the Gulf of Mexico and onshore Gulf Coast has typically tracked the Henry Hub, the company said. Gas from Newfield’s Mid-Continent properties has typically sold at a discount of 12-15 cents/Mcfe to Henry Hub. However, the company noted that hedging gains or losses will affect price realizations.

Newfield also has an updated listing of its hedge position (as of Dec. 19) for both its natural gas and crude oil, which is available on its web site at www.newfld.com.

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