Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Bloomberg Customers

Sanchez Energy Drops After Watery Well Report From Eagle Ford

Sanchez Energy Corp., the Houston-based energy producer that began trading in 2011, declined the most in three months after reporting an Eagle Ford well yielded more water than oil.

Sanchez fell 7 percent to $29.74 at the close in New York, the biggest drop since Nov. 7. Trading volume was more than sevenfold higher than the three-month average.

The Sante North 1H well produced 766 barrels of water, 150 barrels of oil and 104,000 cubic feet of natural gas during a 24-hour test on Jan. 26, according to a Sanchez filing with the Railroad Commission of Texas dated yesterday.

“At first glance it looks bad,” Nicholas Pope, a New York-based analyst for Cowen & Co. who rates the shares a buy and doesn’t own them. “I don’t even know if it is a true 24-hour test. There are a lot of things that can affect a rate like that.”

Sanchez Chief Financial Officer Michael G. Long didn’t immediately return a voicemail message seeking comment.

“That Sante North well is an important well,” Antonio Sanchez III, chief executive officer and son of the largest individual shareholder in the company, told analysts during a Nov. 7 earnings call. The well is an attempt to find more oil in the Eagle Ford of Texas, where Sanchez plans to focus 90 percent of its drilling money this year, according to a company investor presentation.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.