| U.S Drillers Post Billions In Losses As Hedges Roll Off | |
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Over the next week or so, the U.S. oil and gas industry could announce more than $15 billion in losses for 2015, according to Bloomberg. On January 26, Hess Corporation reported a net loss of $3 billion for the full-year of 2015, with a $1.8 billion loss in the fourth quarter alone. Production was flat at 362,000 barrels of oil equivalent per day (boe/d), but the company also had to reduce its estimated recoverable reserves because of lower oil prices. Hess had proved reserves of 1.086 billion boe, down from 1.431 billion boe a year earlier, or a reduction of 25 percent. Hess will also slash spending this year by 40 percent to $2.4 billion. On January 27, Murphy Oil announced a loss of $2.27 billion for the year. Murphy also slashed capex plans for 2016 by 62 percent compared to last year’s spending levels. Anadarko is set to announce on Feb. 1, and at the time of this writing, expectations are for a full-year $6 billion loss. Continental Resources announced some pretty severe cuts on January 26 to its 2016 spending program. The Oklahoma City-based shale driller said that it will spend $920 million this year, a 66 percent cut from the $2.7 billion it spent in 2015. Related: Rumors of OPEC-Russia Coordination Send Oil Prices Surging The company, having largely abandoned its hedges in late 2014 in an ill-timed move, is having to slim down its operations. The lower spending will translate to lower production, in one of the most concrete signs yet that shale drillers won’t be able to keep up production with oil prices down below $40 per barrel. Continental expects production to fall from 210,000-220,000 boe/d in 2015 to just 180,000-190,000 boe/d in 2016. |
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Hess Corporation
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CODE : HES |
ISIN : US42809H1077 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Hess Corp. is a and oil exploration company based in United states of america. Hess Corp. is listed in Germany and in United States of America. Its market capitalisation is US$ 50.9 billions as of today (€ 47.5 billions). Its stock quote reached its lowest recent point on November 17, 1989 at US$ 10.06, and its highest recent level on April 25, 2024 at US$ 161.45. Hess Corp. has 315 053 615 shares outstanding. |