As others have disclosed recently, equipment shortages and fabrication delays are a real problem in South Texas right now. In our particular case, we have seen several months of slipping schedules for delivery of tanks and vessels required for assembly of new tank batteries and other required facilities. Limited midstream capacity is creating high back pressures and reducing rates on our existing wells and sharply limits the amount of actual incremental field production we can generate from new completions. We're working hard with our midstream provider to resolve these issues, and we are making good progress. However, in the meantime, we have delayed some completions until we can realize more economic benefit from completion spending. -- TranscriptMotley Fool: SM whiffs on revenues. Stock takes a huge beating.
Thursday, August 2, 2012
WOW -- SM Whiffs on Revenues -- Motley Fool
Earlier today (or late last night) in a comment, I mentioned that a reader sent a note to me suggesting things were not so "hunky dory" in the Eagle Ford. Today, in SM earnings transcript:
Posted by Bruce Oksol at 11:47 PM