Question-and-Answer Session
Operator
(Operator Instructions) Our first question comes from David Heikkinen – Tudor Pickering & Holt.
David Heikkinen – Tudor Pickering & Holt
Bob, just as you think about guidance including curtailments, how much of that is really voluntary and how much of that is just pipeline pressures coming up and involuntary in the industry?
Bob Simpson
For us, we're projecting involuntary. Unless we have a basis blowout somewhere in like the Rockies, we don't practice in gas because of the dB of the unit. At $3 gas, if you shut it in, you move it to the end of the line and actually present value basis, you didn't help yourself. And so we don't practice manipulation of the volumes in general, unless it's just silly.
David Heikkinen – Tudor Pickering & Holt
Keith, as you think about the tie between increasing CapEx this year and increasing production guidance this year, kind of a rough dollars-in dollars-out balance there, how do you think about the increase in Haynesville drilling or other areas, Bakken and kind of Permian from a dollars-in dollar-out balance as far as how that impacts production, both 2009 guidance and then in 2010.
Keith Hutton
David, I'm not sure what you're asking, dollars-in dollars-out –
David Heikkinen – Tudor Pickering & Holt
It's basically you look at your CapEx up, you production guidance went up associated with that, is that just a direct drive or are you seeing better efficiency for where you're investing the capital now or is it –
Keith Hutton
You're seeing all of it, you're seeing better efficiency, your wells are better than you thought, and so it's just, what you're trying to do, really, by upping your guidance is to make sure you set yourself up for '10 because you're actually seeing wells that are better in some places than you might have thought, so you don't want to slowdown drilling in those particular areas, you want to spread it out so that you're setup to run as gas prices rebound.
So I think that's the real game here. We're pushing more capital towards Haynesville we're pushing more toward Marcellus. Like Bob said, we've got some non-op guys drilling more wells than we would've anticipated they were drilling. Hey, look, it happens to be in Haynesville and Fayetteville and those are great places economically. So all of it's really you're spending the money wisely in the right places and you're setting yourself up for future growth.
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