Voyager achieved its goal of participating in six net wells by the end of 2011, production from those wells is slightly less than expected due to increased drilling and completion activity in the area expanding the timeline from well spud to initial production to approximately 180 days, on average, from what had typically been 90 days. J.R. Reger, the Chief Executive Officer of Voyager, commented, "The increased competition for completion crews and equipment lends further credence to Voyager's non-operator model, as our larger operating partners can achieve better response times than we would be able to achieve on our own. We expect the time from spud to production to revert to more normal historical averages as more completion and production crews migrate to the Bakken from natural gas focused resource plays."

2012 Guidance

Voyager reaffirms its guidance that it expects to spud 10 net wells in 2012. Based on the 2011 time between the spud date and initial production, Voyager currently expects approximately 6 of the 10 net wells to be producing by the end of 2012, with approximately 4 net wells in the process of being drilled or awaiting completion. J.R. Reger, the Chief Executive Officer of Voyager, commented, "We are looking forward to a robust 2012 where the operators are more focused on drilling and development than in 2011. It is a great time to be a non-operator in the Williston Basin. It's exciting to see our operating partners accelerate development and increase the number of completion crews in the area."

Tags: Voyager Oil and Gas