NuVista Energy Ltd. detailed a fourth-quarter 2015 operational update on Jan. 18 and also reconfirmed its credit facility.

Field-estimated production for the fourth quarter of 2015 was about 23,400 barrels of oil equivalent per day (boe/d), despite downtime due to temporary Nova and Alliance outages and holdbacks.

Production increased 9% from third-quarter 2015, and met fourth quarter guidance, which ranged between 23,250boe/d and 24Mboe/d. Due to several recent tie-ins, December field estimated production exceeded 27Mboe/d.

NuVista said that the Bilbo well’s improvements have continued, and that early results at Elmworth as the new facility is ramped up are encouraging. Also, the Northeast Elmworth stepout results at 1-1 provide increased confidence in a growing inventory toward Gold Creek. As a result, the Elmworth development block was expanded by 20%.

Well costs are decreasing due to application of new technology, the company said. During fourth-quarter 2015, a new drilling and completions cost of CA$4.8 million set a benchmark for development wells, the company said.

Until the spring breakup, NuVista will drill with two rigs, and prior to spring breakup, about eight to 11 additional wells are scheduled to come on production, possibly eight in first-quarter 2016.

The last five development wells cost about CA$3.5 million to drill and CA$2.2 million to complete. These wells are being equipped and tied in, the company said, and the expected average cost is CA$6.7 million, 30% lower than 2014’s average drilling, completions, equipping and tie in costs.

The 2015 capital program totaled CA$273 million, CA$12 million below the midpoint of the guidance range.

During the first quarter, the capital spending for second-half 2016 will be evaluated. Capital spending for the year will range between CA$140 million and CA$160 million. The production guidance range of 24,500boe/d to 26Mboe/d was reaffirmed, the company said.

In 2016, about 22% of production will be derived from condensate.