Pioneer Natural Resources
Pioneer Natural Resources (PXD) is one of the largest landholding energy stocks in the Permian with 900,000 gross acres and more than 7,000 wells. The bulk of those conventional wells are located in the West Spraberry field of the Permian.
The Spraberry is the 5th largest oil field and 15th largest natural gas field in the U.S. Those wells feature long-lived oil reserves, steady production growth and low maintenance capex costs. All of which have padded the bottom line for PXD over the years.
However, PXD isn’t sitting on its laurels with regards to the Permian.
The company has begun a series of horizontal drilling programs designed to frack the Spraberry as well as the neighboring Wolfcamp. These exploration efforts have yielded and extra 141 million barrels of oil equivalent (BOE) to Pioneer’s already impressive reserves estimations in the region.
Overall, PXD stock predicts that it has nearly 10 billion BOE in potential resources in the play. Given its sheer acreage position in the region, PXD could be the best of the energy stocks to buy in the prolific Permian. And given the recent pullback in PXD stock, now could be a great time to load up on shares.