Resolute Energy Corporation reported production results for the fourth quarter and full year of 2017. Fourth quarter 2017 company production increased 41% year-over-year to 27,595 barrels of oil equivalent (“Boe”) per day and full year production grew by 77% to 25,086 Boe per day. Fourth quarter 2017 production included a contribution of approximately 2,100 Boe per day from the company's recently divested Aneth Field properties. For the fourth quarter, company production consisted of 52% oil, 75% liquids and 25% gas, and Permian Basin production consisted of 49% oil, 74% liquids and 26% gas.

The company's 2017 plan for its Mustang and Appaloosa assets contemplated drilling 22 wells, completing and bringing on line 21 wells, including two wells that were drilled but uncompleted (“DUC”) at year-end 2016, and exiting the year with two DUCs. As a result of increased drilling and completion efficiency, Resolute was able to complete drilling operations on 25 wells and had three wells drilling over year-end, while still completing and bringing on line 21 wells in these areas. Excluding the three wells that were drilling over year-end, Resolute carried six DUCs into 2018. During 2017, the Company set spud-to-TD records of 14 days drilling mid-length laterals in Mustang and 17 days drilling long laterals in Appaloosa. Wells placed on production in 2017 included fourteen mid-length laterals, nine long length laterals, and four standard length laterals acquired as part of the Bronco acquisition. The Wolfcamp A and Upper Wolfcamp B horizontal wells in Reeves County had average peak 24-hour rates between 2,400 and 2,800 Boe per day.   In addition to Resolute's successful Wolfcamp A and Upper B drilling programs, during 2017 the company also tested the lower Wolfcamp B and the Wolfcamp C in Appaloosa and Mustang. To date, Resolute has drilled two lower Wolfcamp B wells and four Wolfcamp C wells, three of which are producing. The remaining three wells are expected to be on production in the coming weeks.  

Net capital spending for 2017 is expected to be approximately $277 million, after earnout payments of $26 million received from Caprock Midstream.

The company's 2018 plan includes net capital spending of $365 million to $395 million, including $350 million to $375 million in drilling and completion capital to support two rigs throughout the year, and a third rig which commenced work in late February and is expected to be released in mid-September. Additionally, the company expects to spend an incremental $42 million to $49 million on field facilities and other corporate capital, and to receive estimated earnout payments of $27 million to $29 million from Caprock Midstream. Overall, the company expects to drill 42 wells during the year and bring 38 wells on production, carry six DUCs and have two wells drilling over year-end 2018.

For 2018, the company expects production to be 10,950 to 12,045 MBoe, or an average of 30,000 to 33,000 Boe per day. The company expects average quarterly production to ramp from 22,000 to 23,000 Boe per day in the first quarter to an estimated fourth quarter rate of 42,000 to 44,000 Boe per day.