Vine Royalty keeps tabs on all the operators that we work with. One of our Wattenberg analysts found this in the Greeley Tribune.
Based on what Sharon Dunn of the Greeley Tribune is saying in her article from 10/28/15, it looks as though the Wattenberg’s biggest player is retreating from Weld County. Anadarko has reported a $2.2 billion (with a “b”) loss for 3Q15. This hasn’t shocked many people, including Anadarko themselves. All you have to do is look at commodity prices. It simply doesn’t pay to bring oil to market. This has forced Anadarko to substantially scale back spending in Weld. According to Anadarko execs, the company still believes in the Wattenberg’s potential not just for them, but for the country. They also like the fact that they still have, and will continue to have, a dominant presence in the area. Anadarko will shift the game plan to keeping costs low and prepping for greater, long-term success. How are they doing this? “Drill now, frac later.” While prices are down, it will give Anadarko time to organize and improve efficiency in drilling/production; thus, better positioned, with greater profits, when prices start to climb in the future.