OXYCHEM Market Analysis and Guidance
DJ BASIN - WELL DESIGN CHANGES DRIVING CAPITAL EFFICIENCY 24
Subsurface Design
Niobrara
Benches
Codell
Niobrara
Benches
Codell
Previous 18 WPS
Niobrara: 27 bpf/800 ppf
Codell: 18 bpf/550 ppf
Enhanced 8-12 WPS
Execution
Driving Innovation and Efficiency
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Oxy's ingenuity in well design and execution
enabling the development of unique locations in a
cost-effective manner
Set new drilling cycle time records in all lateral
length categories 2Q23 including 32%
improvement in ft/d
Highest pumping hours in June for two major frac
providers' fleets across all basins
Production uptime increase of 10% relative to
2019 due to:
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Optimized artificial-lift timing
Niobrara: 40 bpf/1,500 ppf
Codell: 35 bpf/1,100 ppf
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Gas lift utilization
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о
Full bulk-and-test facility design
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Optimized spacing, landings, and right-sized
completions to improve productivity and limit
interference
Development designs optimized with machine
learning and Oxy's proprietary workflows
Al-driven plunger lift optimization
Electric, CNG, and battery (BESS) powered rig
utilization and capability driving down emissions
intensity
Performance
Development Optimization
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Cumulative bo/ft
Smaller surface impacts and accelerated time-to-market
Resilient economics at lower commodity prices
Developing the same reserves for 20% less capital
20
15
10
5
Enhanced Design
Previous Design
0
0 4 8
12
Months
16 20
24
OXY
NOTE: WELLS PER SECTION (WPS); BARRELS PER FOOT (BPF); POUNDS PER FOOT (PPF); COMPRESSED NATURAL GAS (CNG); BATTERY ENERGY STORAGE SYSTEM (BESS)View entire presentation