The TexLa region consists of properties located in east Texas and north Louisiana and primarily produces natural gas from the Cotton Valley, Travis Peak and Bossier Sand formations at depths ranging from 7,000 feet to 12,500 feet.
Proved reserves for these mature, low-decline producing properties represented approximately 12% of total proved reserves at December 31, 2016, of which 95% were classified as proved developed. To more efficiently transport its natural gas in east Texas to market, the Company owns and operates a network of natural gas gathering systems comprised of approximately 635 miles of pipeline and associated compression and metering facilities that connect to numerous sales outlets in the area. This region produced approximately 72 MMcfe/d or 12% of the Company’s 2016 average daily production. During 2016, the Company invested approximately $9 million to develop the properties in this region.
The numbers provided above are pro forma for the closing of Jonah, Salt Creek, South Texas and California.
Additional information regarding this asset can be found in our Emergence Presentation.