NFX’s drilling efficiencies
Newfield Exploration (NFX) has considerably reduced the “days-to-drill” metric for its 10,000 foot, or “super extended laterals (SXL),” in the STACK play. A recent example includes its “best-in-class” or “BIC” well in the STACK, which was drilled in eight days.
So far this year, SXL wells have been drilled at an average of 17 days. In 2016, the company expects to drill 35 SXL wells averaging 14 days. NFX noted in its 1Q16 earnings conference that its peers are “averaging about 30 days for a comparable well.”
Next, let’s explore Newfield Exploration’s debt position.