US oil and gas producer EOG Resources Inc (EOG.N) surpassed analysts’ first-quarter profit forecast and announced a special dividend of $ 1 per share on Thursday due to the launch of COVID-19 vaccines and increased travel demand driving crude oil prices.
U.S. crude oil prices rose 23% in the first quarter after the 2020 pandemic affected fuel demand, sparking optimism among shale producers.
EOG’s average crude oil prices have increased by nearly 39% in the quarter from the last three months of 2020 to $ 58.02 per barrel.
However, total production fell from 801,500 boepd of the previous quarter to 778,900 barrels of oil equivalent (boepd) per day, hit by the Winter Storm URI that swept the central and southern states of the United States in mid-February.
A group of US oil and gas producers has recently increased their dividends. U.S. oil producer Chevron Corp (CVX.N) increased its quarterly payment by 5 cents to $ 1.34, while Marathon Oil (MRO.N) increased from 3 cents to 4 cents per share. Continental Resources Inc (CLR.N) refunded the dividend payment. Read more
EOG’s adjusted net income for the March quarter rose from $ 411 million, or 71 cents per share, to $ 946 million, or $ 1.62 per share, in fourth place.
Analysts expected a profit of $ 1.48 per share, according to Refinitiv IBES.
Analysts expected a profit of $ 1.48 per share, according to Refinitiv IBES.
On Wednesday, competitors Marathon Oil and APA Corp (APA.O) also beat their first quarter profit forecast.
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