Capital Spending News

February 13, 2015

2015, capital plan, Operations Update

Updates from March 3, 2015 include:

Anadarko Announces 2015 Capital Program And Guidance – Click for release.

Recap: 2015 guidance of $5.4 to $5.8 billion, down roughly 40% from 2014’s total of $9.3 billion. U.S. onshore activity will get the brunt of the pullback, with APC reducing its short-cycle activity by 40% and deferring the completion of 125 wells. Initial production rates expected to remain consistent with 2014 volumes.

Updates from February 25, 2015 include:

Antero Resources Reports Fourth Quarter and Year-End 2014 Financial and Operating Results – Click for release.

Recap: 2015 budget of $1.6 billion, revised downward from $1.8 billion and 36% below 2014’s total of $2.5 billion. YoY production is expected to climb by 40% to 233 MBOEPD.

Bill Barrett Corporation Reports 2014 Financial and Operating Results and Announces 2015 Operating Plan – Click for release.

Recap: 2015 capital plan of $240 to $280 million, with volumes of 15.6 MBOEPD at its midpoint. 100% of oil production hedged at $90/barrel in the upcoming year. Production is in line with the company’s 2014 exit rate, and a total of $569 million was spent in fiscal 2014.

Chesapeake Energy Corporation reports financial and operational results for the 2014 full year and fourth quarter – Click for release.

Recap: 2015 guidance of $4.0 to $4.5 billion, with volume midpoint forecasted at 650 MBOEPD. In 2014, the company spent $6.7 billion (including acquisitions) and averaged production of 706 MBOEPD. Its 2015 plan includes cutting its rig count from 64 to somewhere between 35 and 45 rigs, and its Eagle Ford position will garner the most capital.

Encana Reports Strong Performance in 2014, Reduces 2015 Capital – Click for release.

Recap: Revised 2015 guidance downward to $2.0 to $2.2 billion, down from previous estimate of $2.7 to $2.9 billion. The new capital plan is 14% lower than 2014’s budget of $2.4 to $2.5 billion. Production volumes for 2015 projected at 230 MBOEPD.

Gulfport Energy Corporation Reports Fourth Quarter and Year-End 2014 Results – Click for release.

Recap: 2015 capital budget of $545 to $595 million, with volumes of 72 to 80 MBOEPD. By comparison, 2014’s capital budget was $675 to $725 million with projected volumes of 50 to 60 MBOEPD.

MarkWest Energy Partners Reports Record 2014 Fourth Quarter and Full-Year Financial Results – Click for release.

Recap: 2015 capital forecast of $1.5 to $1.9 billion, down from 2014’s total expenditures of $2.2 billion (including acquisitions). Majority of operations will be based in the Marcellus.

Memorial Production Partners LP Announces Fourth Quarter and Full-Year 2014 Results and
2015 Guidance – Click for release.

Recap: Forecasting a production increase of roughly 30% despite a capex cut of nearly 30%. 2015 volumes expected to range from 41.5 to 44.0 MBOEPD on a midpoint budget of $200 million, compared to 2014’s volume of 33.3 MBOEPD on expenditures of $282 million.

Oasis Petroleum Inc. Announces Quarter and Year Ending December 31, 2014 Earnings and Provides an Operational Update and its 2015 Outlook – Click for release.

Recap: 2015 guidance finalized at $705 million, below previous guidance of $750 to $850 million. Capex in 2014 was more than twice as high ($1,425 million). Production expected to dip slightly YoY, with 2015 expected to range from 45 to 49 MBOEPD – down from 2014’s range of 48 to 50 MBOEPD.

Whiting Petroleum Announces $2.0 Billion 2015 Capex Budget – Click for release.

Recap: 2015 budget of $2.0 billion is half of 2014’s budget pro forma for the Kodiak acquisition, but WLL expects production to increase by approximately 6% to more than 160 MBOEPD. Nearly half of its budget will go to development of the Bakken, where it has the largest asset base of any E&P.

Updates from February 24, 2015 include:

Carrizo Oil & Gas Announces Fourth Quarter and Full Year 2014 Financial Results – Click for release.

Recap: Drilling and completion expenditures for 2015 estimated at $450 to $470 million, with crude oil production expected to increase 17% YoY to 21.8 to 22.4 MBOPD. Development costs for 2014 were $530 million, while total expenditures for 2014, including exploration and acquisitions, were $1.1 billion.

Chart Industries Reports 2014 Fourth Quarter and Year-End Results – Click for release.

Recap: 2015 estimated expenditures of $60 to $70 million, in line with 2014’s total of $62 million.

Newfield Exploration Provides 2015 Capital Investment and Production Outlook – Click for release.

Recap: 2015 capital budget of $1.2 billion, with 70% directed towards Anadarko Basin development. Production (adjusted for asset sales) to grow by 18% YoY. 2014 estimates included a capital development budget of $1.7 billion.

Rosetta Resources Inc. Announces Two-Year Strategic Outlook and Provides 2014 Operations and Reserve Update – Click for release.

Recap: Two-year plan released, with expenditures of $350 million and production of 58 to 62 MBOEPD for both 2015 and 2016. By comparison, 2014 had a capital budget of $1.1 billion and expected volumes of 60 to 65 MBOEPD.

SM Energy Provides 2015 Guidance, Operational Update, and Reports Results for Fourth Quarter and Full-Year 2014 – Click for release.

Recap: 2015 budget of $1.23 billion with volumes of 165 to 174 MBOEPD. 2014 numbers consisted of an upwardly revised budget of $2.89 billion and volumes of 151 MBOEPD.

Updates from February 23, 2015 include:

Kosmos Energy Announces Fourth Quarter and Full Year 2014 Results – Click for release.

Recap: 2015 budget of $800 million, including $300 million for exploration wells. The 2015 budget is a 52% increase compared to 2014’s budget of $525 million.

Updates from February 19, 2015 include:

Baytex Energy Announces Revised 2015 Budget and Amendments to Bank Credit Facilities – Click for release.

Recap: 2015 budget of $500 to $575 million, of which 80% will be directed to the Eagle Ford. Production estimated at 84 to 88 MBOEPD. The revisions are $75 million and 4 MBOEPD below previous guidance. 2014 guidance included expenditures of $485 million and volumes of 60 to 62 MBOEPD.

California Resources Corporation Announces 2014 Results

Recap: 2015 capital program of $400 to $450 million, down sharply from 2014’s total investment of $2.1 billion. Production is expected to remain flat on a YoY basis.

LINN Energy Announces Fourth Quarter and Full-Year 2014 Results and 2015 Outlook – Click for release.

Recap: Revised 2015 guidance to $520 million, down from previous estimate of $730 million. Production revised slightly downward to 1.0 to 1.2 Bcfe/d. 2014’s numbers included projected expenditures $1.5 billion with volumes of 1.2 Bcfe/d. Gas production is 100% hedged through 2017.

Noble Energy Provides 2015 Guidance – Click for release.

Recap: Projected 2015 expenditures of $2.9 billion with volumes of 295 to 315 MBOEPD. By comparison, the company projected expenditures of $4.8 billion in 2014 with volumes of 302 to 322 MBOEPD – slightly above 2015.

Updates from February 18, 2015 include:

EOG Resources Reports Fourth Quarter and Full Year 2014 Results and Announces Return-Driven Capital Program for 2015 – Click for release.

Recap: 2015 capital program of $4.9 to $5.1 billion, down 39% from 2014’s program of $8.1 to $8.3 billion. Production is expected to remain flat, even though 45% fewer wells will be completed.

Penn Virginia Corporation Provides 2015 Capital Plan and Production Guidance, Announces Year-End 2014 Proved Reserves and Provides Operational Update – Click for release.

Recap: 2015 capital plan of $295 to $345 million, with production of 23.8 to 26.2 MBOEPD. Expenditures in the Eagle Ford will account for more than 90% of the budget. This compares to 2014 estimates of $575 to $640 million with volumes of 25.0 to 26.8 MBOEPD.

Questar Reports Record 2014 Earnings Per Share of $1.29, an Increase of 7% over Adjusted
2013 EPS – Click for release.

Recap: Expenditures for 2015 are consistent with 2014, with the company projecting $370 million in capital for each year.

Williams Reports Year-End 2014 Financial Results, Updates Guidance – Click for release.

Recap: Plans on reducing expenditures each year through 2017. Midpoint guidance for 2015 expected to be $4.3 billion and eventually reach $3.3 billion by 2017. In turn, cash available for dividends is expected to increase from $1.9 billion to $2.5 billion in the same time frame, equaling a dividend coverage ratio increase of 1.05x to 1.10x.

Updates from February 17, 2015 include:

Contango Announces Fourth Quarter Production Results, Year-end Reserves, Preliminary 2015 Capital Program and Provides Operational Update. – Click for release.

Recap: 2015 capital budget of $51 million, down from 2014’s total of $189 million. Includes deferral of drilling program “until prices improve.”

Devon Energy Reports Fourth-Quarter and Full-Year 2014 Results; Provides 2015 Capital and Production Outlook – Click for release.

Recap: 2015 capital plan of $4.1 to $4.4 billion, down approximately 20% from 2014’s plan of $5.0 to $5.4 billion. Production expected to rise by 20% to 25%.

Magnum Hunter Resources Announces 2015 Upstream Capital Expenditure Budget – Click for release.

Recap: 2015 capital budget of $100 million – $90 million of which will be allocated to leaseholds and drilling operations in the Marcellus/Utica. Volumes projected at 29 to 33 MBOEPD. By comparison, 2014’s budget was $400 million with an anticipated year-end exit rate of 35 MBOEPD.

Rice Energy Announces 2015 Capital Budget and Guidance – Click for release.

Recap: 2015 budget of $890 million, down from $1.1 billion in 2014. Net production in 2015 is expected to reach 450 to 470 MMcfe/d, an increase of 68% compared to 2014. Its subsidiary, Rice Midstream Partners, set its 2015 guidance at $180 million, with $175 million allocated for expansion.

Trinidad Drilling announces cuts in 2015 capital guidance and operational update – Click for release.

Recap: Revised 2015 capital budget to $175 million from $350 million. Expenditures in 2014 were $335 million. Trinidad notes the company has no debt maturities until 2018.

Vanguard Natural Resources, LLC Declares Common and Preferred Unit Distributions, Provides Preliminary Unaudited Financial and Operating Information for 2014 and Full Year 2015 and 2016 Outlook – Click for release.

Recap: Anticipated capital budget of $113.5 million for 2015, with the same amount allotted for 2016. Average production of 327 MMcfe/d in 2014, with a previously established budget of $136.5 million. Volumes in 2015 expected to range from 360 to 398 MMcfe/d.

Updates from February 12, 2015 include:

WPX Energy Aligns Capital Plan with Operating Cash Flow – Click for release.

Recap: Adjusted 2015 capex to a midpoint of $725 million, which is approximately half of 2014’s expenditures. Cash for development will be spread fairly evenly through its San Juan, Williston and Piceance assets, with the San Juan receiving slightly more than the others.

Updates from February 11, 2015 include:

PetroQuest Energy Announces Record 2014 Estimated Proved Oil And Gas Reserves And Production; Provides 2015 Production And Capital Expenditures Guidance; Updates Operating Activities And Hedging – Click for release.

Recap: 2015 expenditures of $60 to $70 million, with 40% directed on its Gulf Coast assets. The budget is 65% below 2014 expenditures, but the company is forecasting production growth of 5% to 10% over 2014 volumes of 118.7 MMcfe/d.

Resolute Energy Corporation Provides Production And Cost Guidance; Announces 2015 Capital Budget; Reports 2014 Reserves And Production – Click for release.

Recap: Met or exceeded all of 2014 guidance rates, with production reaching 12.7 MBOEPD and reserves increasing by 25% YoY. Capital budget for 2015 will be $45 to $50 million and production volumes are expected to remain flat. 2014’s budget was estimated to be $136 to $153 million.

Updates from February 10, 2015 include:

Jones Energy, Inc. Provides 2014 Year-End Reserves, Operations Update, and 2015 Guidance – Click for release.

Recap: 2015 capital budget of $210 million with guidance of 21.7 to 23.7 MBOEPD. $190 million will be dedicated to its Cleveland play. 2014 financials include a budget of $350 million and volumes of 22.0 to 23.0 MBOEPD.

Pioneer Natural Resources Reports Fourth Quarter 2014 Financial and Operating Results – Click for release.

Recap: 2015 capital budget of $1.85 billion, with 63% allocated to its Spraberry/Wolfcamp assets. In 2014, 72% of its $3.30 billion budget was spent on the same assets.

Updates from February 9, 2015 include:

Gran Tierra Re-positions for Lower Oil Prices with a Significant Reduction in its 2015 Capital Spending Program & Focus on Increased Capital Spending Efficiency – Click for release.

Recap: Revised 2015 capital budget to $140 million, down from $310 million budget announced in December. Gross production midpoints revised downward to 22.0 MBOEPD from 26.5 MBOEPD. Gross production as of Jan. 20 was 25.2 MBOEPD. 2014’s budget was $467 million.

Updates from February 5, 2015 include:

Exterran Partners Increases Credit Facility to $1.05 Billion – Click for release.

Recap: Increase of $250 from previous credit facility of $900 million. Includes loan facility of $150 million and will mature in May 2018.

PostRock Energy Announces Cost Reductions, Provides Update and Sets 2015 Capex Plan – Click for release.

Recap: 2015 capital budget of $5.5 million, down 80% from 2014, with an option to increase if prices recover.

Spectra Energy Corp and Spectra Energy Partners Announce 2015 Business Outlook and Financial Plan – Click for release.

Recap: Increasing annual dividends to $0.14/share through 2017, an increase of 9%. Plans on investing $8 billion in expansion capital through 2017.

Updates from February 4, 2015 include:

Matador Resources Company Announces 2014 Production Results and Reserves and 2015 Capital Budget – Click for release.

Recap: 2015 Capital budget of $350 million, down from 2014’s expectations of $440 to $540 million. Total 2014 production was 5.9 MMBOE, and is expected to increase to between 8.0 and 8.5 MMBOE in 2015 (41% YoY increase).

Updates from February 3, 2015 include:

BP Reports Fourth Quarter and Full Year 2014 Results – Click for release.

Recap: 2015 guidance set at $20 billion, down from previous guidance of $24 to $26 billion. Expenditures in 2014 also came in below expectations, with $22.9 billion spent compared to guidance of $24 to $25 billion. The company has divested $4.7 billion since 2013 and plans on increasing its sales to $10 billion by year-end 2015.

Anadarko Announces 2014 Fourth-Quarter And Full-Year Results – Click for release.

Recap: Expenditures in 2014 were $2,169 million, down from $9,256 million in 2013.

Updates from February 2, 2015 include:

EV Energy Partners Announces Reduction of Quarterly Cash Distribution to $0.50 Per Unit; Announces 2015 Guidance and Updates Fourth Quarter 2014 Production Guidance – Click for release

Recap: Reduction of quarterly dividend to $0.50/unit from $0.77/unit, with anticipated distribution coverage ratio of 1.15x for fiscal 2015. Capital expenditures projected at $55 to $65 million in 2015, down from $100 million in 2014. Midpoint for 2015 guidance projected at 170 MMcfe/d, down from 2014 midpoint of 175 MMcfe/d.

Updates from January 30, 2015 include:

Chevron Announces $35.0 Billion Capital and Exploratory Budget for 2015 – Click for release

Recap: Chevron Corporation today announced a $35.0 billion capital and exploratory investment program for 2015. Included in the 2015 program are $4.0 billion of planned expenditures by affiliates, which do not require cash outlays by Chevron. The 2015 budget is 13% lower than total investments for 2014.

Goodrich Petroleum Announces Year-End Reserves And Revised Preliminary 2015 Capital Expenditure Budget – Click for release

Recap: Goodrich revised its preliminary capital expenditure budget for 2015 to $90 – 110 million, comprised of $80 – 100 million of drilling and completion capital expenditures and approximately $10 million of leasehold and infrastructure expenditures.

Updates from January 29, 2015 include:

Bellatrix Exploration Announces Updated 2015 Capital Budget, Guidance and Recently Executed Commodity Fixed Price Contracts – Click for release.

Recap: Revised 2015 budget to $200 million from $300 million. Full year production guidance of 43 to 44 MBOEPD is 8% below initial forecasts but still represents an increase of 14% compared to 2014 volumes.

Ensign Reduces 2015 Capital Expenditure Plans and Adopts Cost Reductions – Click for release.

Recap: Revised 2015 expenditures budget to $220 million, down from $340 million plan announced in December. Deferring construction of eight rigs.

Royal Dutch Shell full year 2014 update: Balancing growth and returns – Click for release.

Recap: Plans to curtail spending by a total of $15 billion for the next three years (through 2017). Its budget in 2014 was already 20% lower than 2013 levels. Also completed a total of $15 billion in asset sales in 2014.

Updates from January 28, 2015 include:

Cenovus responds to low oil prices with additional reductions to its capital budget – Click for release.

Recap: Revised 2015 budget to $1.8 to $2.0 billion – approximately $0.7 billion below initial guidance released in December. Volume projections saw virtually no change and are expected to range from 195 to 212 MBOPD, with the majority from tar sands. The new 2015 budget is 36% below 2014’s budget of $2.8 to $3.1 billion.

Updates from January 27, 2015 include:

Synergy Resources Corporation Launches Common Stock Offering – Click here for full release.

Recap: Offering of $150 million of common stock with underwriter option of $22.5 million in additional stock. Proceeds intended to fund acquisitions and pay down outstanding indebtedness.

Updates from January 26, 2015 include:

Hess Corporation Announces 2015 Capital and Exploratory Budget – Click for release.

Recap: 2015 capital budget of $4.7 billion – down 16% from 2014. Bakken rig count expected to shrink to an average of 9.5 from 2014’s count of 17.0. A total of 66% of spending will be directed to North America operations.

Legacy Reserves LP (ticker: LGCY) Announces Cash Distributions, 2015 Capital Budget – Click for release.

Recap: 2015 capital budget of $30 million, down from $130 million in 2014. Q4’14 cash distribution of $0.61 per share.

Warren Resources Announces 2014 Production, Updated 2015 Capital Budget, Production Guidance and Updated Hedge Positions – Click for release.

Recap: Revised 2015 capital budget to $21 million – down from initial budget of $80 million, which was announced in December. Volumes expected to increase by 52% on a year-over-year basis.

Updates from January 23, 2015 include:

Genel Energy plc (ticker: GENL) announces 2015 capital budget and job cuts – Click for release.

Recap: Budget of $200-$250 million for 2015, 30% lower than previously announced and 70% less than in 2014. 2015 production guidance is being held at 90-100 MBOEPD.

Stone Energy Corp. (ticker: SGY) announced estimated year-end proved reserves and production volumes for 2014, and provided its capital expenditure budget, initial production and cost guidance for 2015 and operational updates. – Click here for full release.

Recap: Budget of $450 million for 2015. Production for 2015 is expected to be 39-43 MBOEPD.

Updates from January 22, 2015 include:

Talisman Sinopec plans to cut 300 jobs – Guardian Report

RSP Permian (ticker: RSPP) provides 2015 capital guidance. Click here for full release.

Recap: Total 2015 capital budget of $400-$450 million. RSP expects production to average between 17.5-18.5 MBOEPD in 2015, or a 49%-57% year-over-year increase.

Updates from January 21, 2015 include:

Magnum Hunter Resources (ticker: MHR) Reports Year-End 2014 Proved Reserves of 83.8 MMBOE. Click for release.

Recap: Proved Reserves Up 25% or 16.5 Million BOE From Year-End 2013 Volumes; PV-10 Increased 22% or $163.5 Million to $909.3 Million From Year-End 2013.

Lonestar Resources, Ltd. (ticker: LNR) Provides Operational Update. Click for release.

Recap: Lonestar project a 2014 exit rate of 6,500 to 7,000 BOEPD. Net production for December averaged 6,551 BOEPD. Lonestar drilled and completed three horizontal wells during Q4’14.

Kinder Morgan (ticker: KMI) Increases Quarterly Dividend. Click her for full release.

Recap: KMI Reconfirms Expectation to Declare Dividends of $2.00 Per Share for 2015. Businesses Generate Over $7.5 Billion in 2014 Segment Earnings

Updates from January 20, 2015 include:

Baker Hughes and Halliburton each reporting company records in their respective Q4’14 results.
Click here for an OAG360 feature article on the announcements.

Antero Resources (ticker: AR) Announces 2015 Guidance and Budget. Click here for full release.

Recap: 2015 budget of $1.8 billion (down 41% from 2014), production expected to average 1.4 Bcfe/d (40% higher than 2014). Rig count expected to drop to 14 from current level of 21.

Antero Midstream Partners (ticker: AM) Announces 2015 Guidance and Operational Update. Click here for full release.

Recap: Projecting 2015 capital budget of $425 to $450 million. Distribution for Q4’15 expected to be 28% to 30% higher than the minimum quarterly distribution (“MQD”) of $0.17 per unit ($0.68/unit annualized) while maintaining an average DCF coverage ratio of 1.1x to 1.2x over the course of the year.

Bonanza Creek (ticker: BCEI) Provides 2015 Operational Outlook and Financial Guidance, Year-End Estimates for Proved and 3P Reserves, Operations Update, and Converts to Three-Stream Reporting. Click here for full release.

Recap: 2015 Budget of $420 million (down 36% from 2014) with forecasted annual growth of 15%. PDP reserves also increased to 41.3 MMBOE (up 48% from 2014). 60% of 2015 oil volumes are hedged.

Carbo Ceramics (ticker: CRR) Announces Quarterly Dividend of $0.33/share. Click here for full release.

Gran Tierra Energy (ticker: GTE) Provides Operations Update. Click here for full release.

Recap: Gross production of 25.2 MBOEPD, or 19.3 MBOEPD net after royalties (99% oil). Less than expected results on test wells in Peru and Colombia.

New Source Energy Partners (ticker: NSLP) Board of Directors Declares Q4’14 Distribution and Revises Full Year 2015 Guidance. Click here for full release.

Recap: Distribution of $0.20/share. Revises 2015 guidance downward to $130 million in revenue and production of 3,850 BOEPD – decreases of 32% and 17% compared to previous guidance.

Rex Energy (ticker: REXX) Provides Update on Core Operations, Production, Hedging, and Liquidity. Click here for full release.

Recap: Full year 2014 production of 154.4 MMcfe/d (up 66% from 2013). Oil and gas production for 2015 is hedged at 70% and 80%, respectively. A six-well pad in Ohio produced averaged rates of 2,365 BOEPD per well, while results in two other core ares are currently being tested.

RSP Permian (ticker: RSPP) Announces 2015 Outlook. Click here for full release.

Recap: 2015 Production guidance midpoint of 18 MBOEPD (72% oil) with expenditures of $400 to $450 million. Plans on shifting from seven rigs (five horizontal) to three rigs (three horizontal) by year-end 2015 while targeting the Spraberry and Wolfcamp formations.

Stone Energy Corporation Announces 2014 Reserves, 2015 Capital Expenditure Budget And Production Guidance, And Operational Update. Click here for full release.

Recap: 2015 capital budget of $450 million – 48% lower than 2014’s total of $875 million. 2014 production averaged 42.6 MBOEPD, while 2015 production is expected to range from 39 to 43 MBOEPD. Reserves increased 5.5% year-over-year to 152 MMBOE.

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