This Forth Worth, Texas-based company operates mainly in the Permian Basin area of Texas and recently announced that it will acquire 5,645 acres in northern Midland Basin near its existing operations in Midland, Upton, Martin and Andrews counties.
As a result of the new acquisition Athlon Energy (ATHL) expects average daily production to exceed expectations given at its IPO in August 2013.
Besides strong output, the $2.6 billion company has also been able to reduce costs by cutting down on lease operating expenses significantly – to $7.19 per barrel of oil equivalent in the third quarter of 2013, from $10.21 a year ago. Meanwhile, revenues have surged 65% to 180% in each of the past four quarters.
Written by Karen Riccio