Devon Energy Corp. on April 30 raised its full-year U.S. oil production forecast after posting a better-than-expected quarterly profit on the back higher output, especially in the Delaware Basin within the Permian.
Net loss attributable to Devon widened to $317 million, or 74 cents per share, in the first quarter ended March 31, from $197 million, or 38 cents per share, a year earlier, primarily due to a $670 million non-cash charge related to the company's hedge positions.
Excluding items, it earned 36 cents per share, above analysts' average estimate of 28 cents.
The Oklahoma City-based oil and gas company said the midpoint of its 2019 production outlook represents an estimated oil growth rate of 17%, up from its previous guidance of 15%.
Total production, net of royalties, fell 2.8% to 529,000 barrels of oil equivalent per day in the quarter.
Devon has acreage positions in the Permian Basin, Eagle Ford Shale, Oklahoma's Stack and the Powder River Basin in Wyoming.
Recommended Reading
Canada’s Train Strike Goes Off—Then Back On—the Rails
2024-08-23 - After the Canadian government stepped in to end the work stoppage, the Teamsters Union indicated that the strike would go forward.
Enbridge Cuts Toll to Transport Crude from Canada to Gulf
2024-08-23 - The change comes three months after Canada tripled capacity to 890,000 bbl/d on the Trans Mountain Pipeline.
Analysts: Long Canadian Rail Strike Could Exponentially Affect US NGLs, Crude
2024-08-21 - With the effects of Canada’s rail strike up in the air, the newly opened Trans Mountain Pipeline offers an alternative route for crude headed south.
Brazos Completes Permian G&P Plant, Announces Another
2024-08-15 - Privately held Brazos Midstream completed a 200 MMcf/d cryogenic gas processing plant in the Midland Basin and plans to build a larger gas processing plant in the second half of 2025.
Analysts: Midstream MLPs Outperforming S&P in 2024
2024-08-14 - The midstream sector has been able to take advantage as capex spending slows and cash flows increase.