Shut-in of Unhedged Rocky Mountain Gasalign="center">
HOUSTON, Oct. 3 /PRNewswire-FirstCall/ -- Cabot Oil & Gas Corporation (NYSE: COG) today announced additional horizontal drilling success at County Line. The Company recently completed the Timberstar Forbis #1 well (100% working interest), which had a 5,680' foot horizontal leg in the James Lime formation with an eight-stage frac. The well's initial production rate was 10.2 Mmcfe and is currently producing to sales at 9.6 Mmcfe per day. "Last month we highlighted an acquisition of additional acreage in this play from a major and reinforced our focus in the area due to previous success," said Dan O. Dinges, Chairman, President and Chief Executive Officer. "We have five horizontal James wells planned for the remainder of 2007, and we expect more in 2008."
In response to continued weakness in Rocky Mountain natural gas prices, Cabot has shut-in 10 Mmcf per day of the region's gas production for the month of October. "This represents the portion of our Rocky Mountain production that is not covered by our hedge portfolio," commented Dinges. "Before taking this action, we were pleased to have returned to pre-divestiture total Company daily production volumes of above 240 Mmcfe per day."
Cabot Oil & Gas Corporation, headquartered in Houston, Texas is a leading independent natural gas producer with substantial interests in the Gulf Coast, including Texas and Louisiana; the West, with the Rocky Mountains and Mid-Continent; the East and in Canada. For additional information, visit the Company's Internet homepage at http://www.cabotog.com.
The statements regarding future financial performance and results and the other statements which are not historical facts contained in this release are forward-looking statements that involve risks and uncertainties, including, but not limited to, market factors, the market price (including regional basis differentials) of natural gas and oil, results of future drilling and marketing activity, future production and costs, and other factors detailed in the Company's Securities and Exchange Commission filings.
SOURCE Cabot Oil & Gas Corporation
CONTACT: Scott Schroeder of Cabot Oil & Gas Corporation,