Stone Energy shows 167% reserve replacement, 143% from drilling

Allen Baker

Petroleum News contributing writer

Stone Energy Corp. has replaced 167 percent of reserves, including a replacement ratio of 143 percent from drilling. The Lafayette, La., company reported its independent consultant’s results on Feb. 16.

According to the report, Stone’s proved reserves rose 9 percent to 816 billion cubic feet of gas equivalent, from 751 bcfe a year ago. Gas reserves represent about 57 percent of the total at yearend 2003. Total production averaged 265 million cubic feet of gas equivalent daily, with 5.7 million barrels of oil and 62.5 billion cubic feet of gas produced over the 12 months. The company drilled 52 gross wells (about 40 net) during 2003, with 21 development wells and 31 exploratory wells.

Of the exploratory wells, 77 percent were productive. Among them were five deep shelf discoveries in eight attempts. Six deep shelf holes are planned this year.

Stone spent $227 million on drilling operations and $55 million on acquisitions, out of capital spending totaling $340 million in 2003.

Stone’s holdings are concentrated on the Gulf Coast, with 91 percent of the reserves there and 9 percent in the Rocky Mountains. About 75 percent of the company’s reserves are classified as proved developed.