Whiting Petroleum Corp. (NYSE: WLL) announced preliminary second-quarter 2015 production totals Friday morning. The company said total production reached 15.5 million barrels of oil equivalent during the quarter (170,245 barrels a day), up 2% sequentially.

Whiting said the increase came despite the impact of recent non-core property sales representing 8,300 barrels of oil equivalent per day. The company completed two sales in the quarter for a total value of $185 million. When Whiting announced a first-quarter sale that raised $108 million, it said that it planned to continue selling mature properties where lease operating expenses were higher than its core holdings in the Bakken and Niobrara shale plays. Lease operating expenses for the properties it sold in the first quarter averaged about $25 per barrel of oil equivalent, compared with $6.50 per barrel in the Bakken and $9 a barrel in the Niobrara. The average for the properties sold in the second quarter was about $18.00 a barrel, compared with $6.50 per barrel in the Bakken and $7.50 a barrel in the Niobrara.

So far this year Whiting has completed $293 million in non-core asset sales with associated reserves of 26.2 million barrels of oil equivalent (two-thirds of which is oil) and estimated remaining 2015 production of 8,300 barrels of oil equivalent per day.

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In Friday’s announcement, Whiting projected full-year 2015 production of 59.7 million barrels of oil equivalent, up 7% compared with 2014. More important, perhaps, the company said it plans to raise its capital spending from $2.0 billion to $2.3 billion this year. The increase includes $158 million to its drilling budget for operated wells, $120 million to the budget for non-operated wells and $22 million in rig termination fees.

Whiting noted improvements in completions from an enhanced method that incorporates higher sand volumes. In the three areas where the company used the enhanced techniques, production was 40% to 50% greater than offsetting wells using lower sand volumes. Whiting plans to move one drilling rig back to its Pronghorn field as a result of the improved production.

Regarding capex in the first half of the year, Whiting said:

We estimate 1H 2015 capital expenditures totaled $1,590 million. In the first half of the year, we drilled and completed approximately 23 more net Bakken wells than projected due to an improvement in operating efficiencies. In addition, we incurred $211 million of non-operated drilling expenditures. … In June, we estimate capital spending totaled $155 million, a significant decrease from an average monthly rate of approximately $300 million in April and May. This decline was driven by a decrease in operated drilling activity with our drop to a 10-rig program, our agreement to monetize non-operated drilling expenditures, and a reduction in facilities spending upon the completion of two major gas plant expansion projects.

The production increase was offset in investors’ minds by the additional capex and Whiting’s shares traded down about 1% in the first hour Friday, at $26.95 in a 52-week range of $24.13 to $92.92.

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