ConocoPhillips has set a 2019 capital expenditure budget of $6.1 billion. The 2019 capital budget includes funding for ongoing conventional and unconventional development drilling programs, major projects, exploration and appraisal activities, and base maintenance activities. The 2019 capital budget reflects the roll-off and roll-on of major projects, additional activity associated with Montney success, and the impact of increased scope and a higher working interest in Alaska. The 2019 capital budget does not reflect potential dispositions that may occur in 2019.
Approximately $3.1 billion, or about 51 percent, is allocated to the Lower 48. The 2019 Lower 48 capital program anticipates running 10-11 rigs across the Eagle Ford, Bakken and Delaware (Big 3) unconventional plays, with flexibility to shift activity among these plays during the year to maximize value. Included in the 2019 Lower 48 Eagle Ford and Delaware capital budget are provisions to conduct multi-well pilots of new completion designs that the company believes may drive future resource upside and be applicable to other unconventional plays. In addition to spending in the Big 3 plays, a portion of 2019 Lower 48 capital spending will target exploration and appraisal activity in areas such as the Louisiana Austin Chalk play, as well as base maintenance and conventional drilling across the region.
Approximately $1.2 billion, or about 20 percent, is allocated to Alaska, compared to 2018 expected expenditures of $0.9 billion, excluding acquisition costs. The increase reflects expenditures at the recently sanctioned GMT-2, higher activity and higher working interest in existing fields, and further exploration activity focused on appraising the successful Willow discovery, partially offset by the roll-off of spending on GMT-1.
For more information, visit www.conocophillips.com or call (281) 293-2073.
