Factbox: U.S. energy companies cut capex, rig plans as crude dips
19/02/2015 23:29
(Adds EOG Resources, EP Energy; updates Apache. Adds production forecast for 2015)
Feb 19 (Reuters) - U.S. oil and gas producers, including Chevron Corp CVX.N , Hess Corp HES.N and
ConocoPhillips COP.N , have slashed capital spending plans for 2015, following a 50 percent slump in oil
prices over the past seven months.
In January, crude oil prices LCoc1 fell to $45.19 per barrel, their lowest in more than five years,
hurt by a global supply glut and OPEC's refusal to curtail production. This prompted oil producers to trim
their budgets and lower the number of rigs planned for 2015, hurting their suppliers and service providers.
Global benchmark Brent crude settled at $60.21 on Thursday. O/R
Oil and gas companies could cut spending on exploration and production in North America by 30 percent or
more this year if U.S. crude oil prices continue to trade in the $50-$60 per barrel range, Barclays said in
January. ID:nL3N0UO3UN
Global oil and gas exploration projects worth more than $150 billion are likely to be put on hold in 2015
as plunging oil prices render them uneconomic, according to data from Norwegian consultancy Rystad Energy.
ID:nL6N0TO47H
Canadian oil and gas companies are also cutting 2015 capital budgets. ID:nL1N0VJ0KN
Some companies, however, remain bullish. Continental Resources Inc CLR.N , while slowing spending, has
exited all its hedges and told investors oil prices will soon recover. ID:nL1N0VD17Z
This is a list of U.S. exploration and production companies who have cut their budget. The table is
arranged in descending order of the cuts.
COMPANY 2015 CAPEX 2015 CAPEX 2015 CAPEX RIG PLANS FOR 2015 2014 2015 VS
VS 2014 VS PREVIOUS (AVERAGED) PRODUCTION 2014
ESTIMATE PRODUCTION
ConocoPhillips $11.5 Down $5.6 Down 14.8 Not disclosed 1,532 million Rise by
COP.N billion billion from percent barrels of oil 2-3 pct*
$17.1 equivalent per
billion day
Chevron Corp CVX.N $35 Down $5.3 - Not disclosed 2.57 million Remain
billion bln from barrels of oil flat or
$40.3 bln equivalent per rise by up
day to 3 pct
EOG Resources Inc $4.9 bln Midpoint - Will not add any 288,900 To remain
EOG.N to $5.1 down $3.2 more drilling rigs barrels of flat
bln bln from in 2015 crude per day
$8.1 bln to
$8.3 bln
Occidental Petroleum $5.8 bln Down $2.9 - Not disclosed 591,000 Rise by
OXY.N bln from boepd** 6-10 pct
$8.7 bln
Continental $2.7 bln Down $1.85 Down 41 pct Plans to cut 63.6 million Rise by
Resources Inc for bln from average rig count barrels of oil 16-20 pct
CLR.N non-acquis $4.6 bln from about 50 to equivalent
ition about 34 by end of (estimate)
capital Q1 2015 with an
expenses average about 31
rigs for Q1
Apache Corp APA.N $3.8 bln Down 60 pct - Reducing to 27 rigs Onshore North Expected
from average of 91 American to be
rigs as of Q3 production relatively
302,000 boepd flat
Hess Corp HES.N $4.7 bln Down $900 - Plans to operate an 318,000 boepd Rise 11.6
mln from average of 9.5 pct
$5.6 bln rigs, down from 17 midpoint
rigs in 2014
EP Energy Corp $1.2 bln Midpoint - Plans to operate an 97,700 boepd Midpoint
EPE.N -$1.3 down $950 average of 6-7 up 4
billion mln from rigs, down from 12 pct(94,400
$2.2 bln rigs in 2014 -109,500
boepd)
Oasis Petroleum Inc $750 mln Midpoint - Said it would 44,900 - Rise 5-10
OAS.N to $850 down $630 reduce its rig 45,400 boepd pct
mln mln from count to 10 by the (estimate)
$1.43 bln end of January and
to six by end
March. As of Sept.
30, company was
running 16 rigs
Denbury Resources $550 mln Down $550 - Not disclosed 74,283 boepd Relatively
Inc DNR.N mln from
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