Occidental Petroleum Corp. (NYSE OXY) said Feb. 4 its 2016 capital budget was expected to be not more than $3 billion, nearly half its 2015 levels, and reported a bigger-than-expected loss for the fourth quarter.
However, the company expects to grow oil and gas production by 2-4% this year from ongoing operations due to a fall in drilling and completion costs.
Total operating costs declined by nearly $2 per barrel to $11.57 in 2015, Occidental said.
Production in the fourth quarter surged 12.6% to 671,000 barrels of oil equivalent per day (boe/d) from a year earlier, with the company's domestic production increase coming mainly from its Permian shale fields.
Occidental's net loss widened to $5.18 billion, or $6.78 per share, in the quarter ended Dec. 31, from $3.41 billion, or $4.41 per share, a year earlier.
The company reported a core loss of 17 cents per share, bigger than the average analyst estimate of 12 cents, according to Thomson Reuters.
Revenue more than halved to $2.84 billion.
Up to close on Feb. 3 of $68.13, the stock had fallen 17% over the past 12 months.
Recommended Reading
Brett: Oil M&A Outlook is Strong, Even With Bifurcation in Valuations
2024-04-18 - Valuations across major basins are experiencing a very divergent bifurcation as value rushes back toward high-quality undeveloped properties.
Marketed: BKV Chelsea 214 Well Package in Marcellus Shale
2024-04-18 - BKV Chelsea has retained EnergyNet for the sale of a 214 non-operated well package in Bradford, Lycoming, Sullivan, Susquehanna, Tioga and Wyoming counties, Pennsylvania.
Triangle Energy, JV Set to Drill in North Perth Basin
2024-04-18 - The Booth-1 prospect is planned to be the first well in the joint venture’s —Triangle Energy, Strike Energy and New Zealand Oil and Gas — upcoming drilling campaign.
PGS, TGS Merger Clears Norwegian Authorities, UK Still Reviewing
2024-04-17 - Energy data companies PGS and TGS said their merger has received approval by Norwegian authorities and remains under review by the U.K. Competition Market Authority.
Energy Systems Group, PacificWest Solutions to Merge
2024-04-17 - Energy Systems Group and PacificWest Solutions are expanding their infrastructure and energy services offerings with the merger of the two companies.