Anadarko raises 2016 asset sales target: Update
The company closed \\$2.5bn in asset sales the first six months, prompting it to raise its full-year target from \\$3bn in March to \\$3.5bn. In addition to debt, including retiring all of its remaining \\$750mn due in 2017, it also plans to use some of the proceeds to step up spending on areas that offer the best returns as oil markets recover.
Anadarko's plans reflect the cautious optimism that is returning to the US shale oil and gas industry amid a recovery in prices from the 12-year lows of around \\$26/bl touched in February. Southwestern Energy has been one of the most aggressive so far, doubling its 2016 spending plan to \\$725mn-\\$775mn, while Pioneer and Devon have also announced a step up in drilling plans.
"Should the commodity-price outlook continue to improve, we will evaluate redeploying some of the additional cash generated via operations and asset sales toward our highest quality US onshore opportunities," Anadarko chief executive Al Walker said.
Walker expects the oil market to balance as supplies decline and demand growth remains strong. US shale oil output had peaked at around 9.6mn b/d and should bottom out at around 8mn b/d, helping oil prices to recover and hold at \\$60/bl by next year. US shale oil output will fall as the industry has not been investing at a level that holds output flat, he said.
"Given this dynamic, I am now encouraged that a sustained \\$60 oil price environment is likely to emerge as we move into 2017," Walker said. "This price level should provide the necessary cash margins and resulting cash cycle improvements to encourage us to accelerate activity and achieve strong results."
Anadarko raised the mid-point of its output guidance for the year, after adjusting for assets sales, by 2mn bl of oil equivalent (boe), or about 5,500 b/d of oil equivalent (boe/d). Sales from its Lucius and Caesar/Tonga fields in the Gulf of Mexico were strong and well performance from its onshore acreage in the Delaware basin in Texas and DJ basin in Colorado improved.
Output for the second quarter fell as a result of the sharp cut to spending plans the company announced earlier in the year. Quarterly output dropped to 792,000 boe/d from 846,000 boe/d, and to 809,000 boe/d from 890,000 boe/d for the first half of the year.
Of that, crude and condensate output fell to 296,000 b/d in the three months from 318,000 b/d a year earlier, and to 305,000 b/d from 326,000 b/d in the first half of the year. Natural gas output fell to 2.188 Bcf/d from 2.35 Bcf/d in the quarter and to 2.25 Bcf/d from 2.55 Bcf/d in the first six months. Natural gas liquids (NGL) output declined to 131,000 b/d from 136,000 b/d in the quarter and to 130,000 b/d from 140,000 b/d in the first six months.
The company's consolidated debt was at \\$14.3bn as of 30 June compared with \\$15.8bn as of 31 March.
The independent posted a net loss of \\$611mn compared with a profit of \\$108mn a year earlier. Earnings marked an improvement from the previous quarter, when Anadarko posted a loss of \\$1.03bn compared with \\$3.27bn a year earlier.
Комментарии