July 18 Pioneer Natural Resources Co
reported quarterly production near the low end of its outlook
range, hurt by an unplanned shutdown of a processing facility
run by third party.
Production from continuing operations averaged 150,506
barrels oil equivalent per day (BOEPD) for the second quarter.
The company had earlier expected production of 149,000 BOEPD to
The company said natural gas liquids (NGLs) fractionation
downtime hurt production by about 4,800 barrels of oil
equivalent per day (BOEPD) at its Spraberry field in Texas.
Once NGLs are removed from the natural gas stream, they are
broken down into their base components. Separating the mixed
stream of different NGLs is called fractionation.
Midkiff/Benedum gas processing plants were also forced to
reject ethane into the residue gas stream during the quarter
resulting in a loss of production of about 2,000 BOEPD, Pioneer
"Ethane rejection continues and is expected to impact
Pioneer's production over the remainder of 2012."
Pioneer also said expects to report a before-tax net gain of
about $276 million on mark-to-market derivative contracts for
quarter ended June 30.
Shares of the company closed at $89.9 Wednesday on the New
York Stock Exchange.