Pipeline Delays Hamper Gulfport Production
OKLAHOMA CITY -- Gulfport Energy Corp. has reduced its production guidance for the third quarter to between 12,250 and 12,750 barrels of oil equivalent per day because of delays associated with its midstream supplier.
The company said its Irons 1-4H well in Belmont County was expected to come online in August, but the "third-party midstream provider has experienced pipeline infrastructure and permitting delays and Gulfport now anticipates the well will begin flowing into sales by October."
Also, the company reported that "higher than anticipated downtime during simultaneous operations" contributed to the lower forecast.
Gulfport had initially projected third-quarter guidance of 14,000 to 15,000 barrels of oil equivalent per day, according to the company's second-quarter results.
However, Gulfport said that it still remains on track to achieve its year-end average production rate between 13,699 and 16,438 barrels of oil equivalent per day.
A production guidance update will be presented with Gulfport's third-quarter earnings in early November, the company said.
Gulfport has contracted with MarkWest Energy Partners as its midstream conduit in the Utica shale play of eastern Ohio.
MarkWest is completing a massive processing plant in Cadiz, Ohio. The first phase of that plant is finished, and sales started to move through the plant earlier this year.
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Published by The Business Journal, Youngstown, Ohio.
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