Page 11 - NorthAmOil Week 45

NorthAmOil
NEWS IN BRIEF
NorthAmOil
UPSTREAM
ARC Resources reports
third-quarter 2019 financial
and operational results
and announces CAD500mn
capital programme for 2020
ARC Resources is pleased to report its third quarter 2019 financial and operational results and announce its 2020 capital program of CAD500mn. ARC’s unaudited condensed interim consolidated financial statements and notes and ARC’s management’s discussion and analysis (MD&A) as at and for the three and nine months ended September 30, 2019 are available on ARC’s website and on SEDAR.
ARC delivered average daily production of 134,813 barrels of oil equivalent (boe) per day in the third quarter of 2019, with a continued focus on the expansion of its high-value liquids production in the Montney. ARC completed the Dawson Phase I & II liquids- handling upgrade early in the fourth quarter of 2019, and is advancing construction of the Dawson Phase IV gas processing and liquids- handling facility, the company’s next major development project, which is anticipated to be brought on-stream in the second quarter of 2020. With final transportation arrangements at Sunrise coming into effect at the beginning of the fourth quarter of 2019, ARC plans to operate the Sunrise Phase II facility at or near its processing capacity of 240 mmcf per day
of natural gas for the remainder of 2019 and will capitalise on the recent strengthening of winter natural gas pricing.
ARC generated funds from operations of CAD145.4mn (CAD0.41 per share) and
CAD524.6mn (CAD1.48 per share) for the three and nine months ended September 30, 2019, respectively, and paid CAD53.1mn (CAD0.15 per share) and CAD159.3mn (CAD0.45 per share) in dividends to shareholders during the same periods.
ARC expects that production will increase through the remainder of the year with final transportation arrangements at Sunrise
that came into effect at the beginning of the fourth quarter of 2019 and all major planned turnarounds and associated downtime for the year now completed. Full-year 2019 average daily production is expected to be near the midpoint of the guidance range of 136,000
to 142,000 boe per day. ARC plans to invest approximately CAD150mn in the fourth quarter of 2019 to substantially complete major infrastructure, establishing a new, larger production base of approximately 155,000 to 161,000 boe per day for ARC in 2020.
ARC RESOURCES, November 07, 2019
Marathon Oil reports third- quarter 2019 results
Marathon Oil today reported third quarter 2019 net income of $165mn, or $0.21 per diluted share, which includes the impact of certain items not typically represented in analysts’ earnings estimates and that would otherwise affect comparability of results. Adjusted net income was $111mn, or $0.14 per diluted share. Net operating cash flow was $737mn, or $757mn before changes in working capital.
“Third quarter again featured exceptional operational performance across our advantaged multi-basin portfolio that
is translating to differentiated financial outcomes in our peer space,” said chairman, president and CEO Lee Tillman. “We’re
driving our corporate returns higher, have
just reported our seventh consecutive quarter of organic free cash flow generation, and
have returned over 20% of our year-to-
date cash flow from operations back to our shareholders. Since the beginning of 2018, we’ve repurchased $1bn of our own shares, representing approximately 7% of outstanding share count, funded entirely by post-dividend organic free cash flow. Additionally, we are generating success across all elements of our comprehensive resource capture framework. We’ve added about three years of new inventory company-wide, while upgrading the returns on hundreds of drilling locations in the Bakken and Eagle Ford. Our REx team is advancing exploration and appraisal activity in two oil plays of scale, with encouraging early well results in a new Texas Delaware
oil play. We also signed an agreement for a synergistic bolt-on acquisition in the Eagle Ford.”
MARATHON OIL, November 06, 2019
Northern Oil and Gas
announces third-quarter
2019 results
Northern Oil and Gas today announced the company’s third quarter results.
Third quarter 2019 production totalled 3.8mn boe and averaged 40,786 boe per day, a 53% increase from the prior year and a
17% increase sequentially. Oil and gas sales in the third quarter totalled $158.0mn. Net income in the third quarter was $94.4mn or $0.24 per diluted share. Adjusted net income in the third quarter was $36.3mn or $0.09 per diluted share. Adjusted Ebitda totalled $124.4mn in the third quarter, a 27% increase from the prior year.
“Strong net well additions from our organic well opportunities and the success we have had in our ground game acquisitions generated strong production growth
during the quarter,” commented Brandon Elliott, chief executive officer. “While well performance and net well additions have remained robust, they did not completely offset 4,500 boe per day of shut-ins and curtailments during the quarter. The good news is we expect the well performance and net well additions to remain strong while
we expect the infrastructure issues to begin to subside as we close out 2019. Future cash flows will support plans to reduce debt ratios and return capital to shareholders in 2020.” NORTHERN OIL AND GAS, November 12, 2019
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