LINN Energy’s South Texas position consists of oil and natural gas properties located in a large area extending from north Houston to the border of Mexico.
LINN Energy entered the South Texas region in 2014 through the acquisition of assets from Devon Energy Corporation. The majority of the Company’s properties in this region are mature, low-decline natural gas assets with associated natural gas liquids. These wells produce at depths ranging from 4,000 feet to 14,000 feet.
South Texas proved reserves represented approximately one percent of total proved reserves at December 31, 2014, all of which were classified as proved developed. This region produced 12 MMcfe/d or two percent of the Company’s 2014 average daily production. During 2015, the Company anticipates spending approximately two percent of its total oil and natural gas capital budget for development activities in the South Texas region.