Pioneer Natural Resources ups rig count in Permian Basin
IRVING, Texas — Irving-based Pioneer Natural Resources announced plans to ramp up drilling in the Permian Basin in 2016.
Despite weak commodity prices, margins remain strong due to the company’s focus on cost controls and operational efficiencies. The company announced an increase in drilling budget from $1.85 billion to $2.2 billion, a 19 percent increase, which will allow the company to add on average twp rigs per month.
The company is well-positioned to endure lower oil prices due to its reported $1.7 billion in operating cash flow and $1 billion liquid assets in February. Pioneer is one of the largest acreage holders in the Spraberry and Wolfcamp areas, with about 800,000 gross acres.