concho
        
concho
Operations

map new mexico

CORE PROPERTIES:
New Mexico Shelf

Texas Permian

December 31, 2009
Year Ended
                     
December 31,
                     
2009 Average
 
Total Proved
 
Gross Identified
 
Net Daily
 
Reserves
 
PV-10
% Proved
Drilling
 
Total Gross
Total Net
Production
Areas
 
(Mboe)
 
($ in millions)
% Oil
Developed
Location
 
Acreage
Acreage
 (Boe per Day)
Core Operating Areas      
 
 
  New Mexico Permian..
 
128,605
 
$             1,824.3
65.2%
52.1%
1,592
 
150,214
69,931
19,586
  Texas Permian.............
 
77,173
 
856.9
70.5%
44.0%
1,795
 
287,961
91,135
8,113
Emerging  Plays:      
 
  Lower Abo.................  
2,707
 
51.3
63.3%
54.6%
152
 
59,179
48,401
1,581
  Bakken/ Three Forks...  
2,642
 
30.4
77.6%
35.2%
146
 
42,210
11,193
511
Other...........................  
                  376
 
                      1.9
3.0%
83.8%
10
 
         140,238
            56,287
                       155
    Total.........................
(a)
           211,503
(b)
$             2,764.8
67.1%
49.0%
3,695
(c)
         679,802
          276,947
                  29,946

(a)

 

Includes additions of 13.6 MMBoe resulting from the adoption of the new SEC rules related to disclosures of oil and natural gas reserves that are effective for fiscal years ending on or after December 31, 2009. For more information on the comparability of our reserves as a result of the new SEC rules, see “Item 1A. Risk Factors and Item 2. Properties.”

 

 

 

(b)

 

Our Standardized Measure at December 31, 2009 was $1,922.0 million. PV-10 is a Non-GAAP financial measure and is derived from the Standardized Measure which is the most directly comparable GAAP financial measure. PV-10 is a computation of the Standardized Measure on a pre-tax basis. PV-10 is equal to the Standardized Measure at the applicable date, before deducting future income taxes, discounted at 10 percent. We believe that the presentation of the PV-10 is relevant and useful to investors because it presents the discounted future net cash flows attributable to our estimated net proved

 

 

reserves prior to taking into account future corporate income taxes, and it is a useful measure for evaluating the relative monetary significance of our oil and natural gas properties. Further, investors may utilize the measure as a basis for comparison of the relative size and value of our reserves to other companies. We use this measure when assessing the potential return on investment related to our oil and natural gas properties. PV-10, however, is not a substitute for the Standardized Measure. Our PV-10 measure and the Standardized Measure do not purport to present the fair value of our oil and natural gas reserves. See “Item 1. Business — Non-GAAP Financial Measures and Reconciliations.”

 

 

 

  (c)

 

Of the 3,695 gross identified drilling locations, 1,726 locations were associated with proved reserves.