Founded in 1950, we are an independent oil and natural gas company focused on growing production and reserves from our oil-weighted multi-play, multi-pay assets in the Permian Basin.
In 2013, we completed the onshore strategic repositioning that began in 2009, shifting our operations from the offshore waters in the Gulf of Mexico to the onshore, Permian Basin region in Texas. We have assembled seasoned technical and operational teams with extensive experience in the Permian Basin to manage and progress our growth plan.
We operate 100% of our Permian acreage, which provides additional flexibility to modify our development plans based on a continuously changing environment and commodity prices. Our current acreage position in the Basin provides visible growth potential from our 15-year inventory of horizontal drilling locations, based on our current two-rig horizontal drilling program.
We exited 2013 with Permian production of over 3,500 Boepd (80%+ oil), a 120% increase over our exit rate in 2012, and we anticipate continued growth in 2014 and future years. Importantly, our early transition to a horizontal development program, which was expanded from two fields in 2013 to four fields in 2014, has improved our overall capital efficiency and driven a substantial increase in our proven reserve base.