Different Ways To Start A Second Chapter -- February 26, 2023

Link here.

"Marcy"? Marcellus.

*********************************
EOG

Link here.

Bottom line: companies don't grow ...

• a) by complaining and whining;
• b) lowering CAPEX

The leaders of EOG Resources Inc., Houston, are ramping up spending plans this year aiming to put up 9% total production growth from their multi-basin portfolio.

EOG’s 2023 capital spending is expected to be $5.8-6.2 billion—versus $4.6 billion last year and about $3.8 billion in 2021—with a goal of 630 net completions across the United States and in Trinidad. The company’s average rig count for the year is expected to tick up by about two rigs and one frac fleet as it targets total production of 986,000 boe/d. [Let's just call it a million boepd.]

Of the $6 billion, $4.4 billion has been allocated to premium areas, with the company’s holdings in the Eagle Ford set to grow most significantly. EOG executives plan to develop about 21,000 net new acres there and add two rigs as part of a plan to complete 155 wells this year, up from 103 in 2022. On a smaller scale, EOG’s Power River and Dorado basin plays are forecast to complete a combined 70 wells versus 49 last year.

By contrast, the company will essentially hold steady in the Delaware basin, its largest operation by far. After completing a net 358 wells in the basin last year, EOG is targeting 365 for 2023.

More at the link.

EOG: 4Q22 and full year 2022 results. Link here.

• sneak-a-peek: mixed
• “special dividend”: $1.00
• reg div maintained: 82.5 cents from 75 cents (increased in January, 2023)
• EPS miss: $3.30 vs $3.31 (others say $3.37) on higher drilling costs.
• revenue beat: $6.72 billion vs $6.62 billion
• most recent: production up 5% q/q to 909,100 bopd 
• forecast, 2023: 944,000 to 1.03 million bopd
• average realized US crude oil price rose 9% to $85.68
• social media;

Dividend history (note: does not include most recent declaration):