Pioneer Natural Swings to Profit, but Slashes 2017 Budget
U.S. shale oil producer Pioneer Natural Resources Co said on Tuesday it swung to a quarterly profit but would cut $100 million from its 2017 capital budget. The company, one of the largest oil producers in the Permian Basin of West Texas and New Mexico, posted second-quarter net income of $233 million, or $1.36 per share, compared to a net loss of $268 million, or $1.63 per share, in the year-ago period. Production rose 11 percent to 259,087 barrels of oil equivalent per day. (Reporting by Ernest Scheyder; editing by Diane Craft)
US Shale Output Poised to Keep Rising Despite Investor Concerns
Shale production in the largest U.S. oilfield should rise by as much as 300,000 barrels per day by December, according to updated forecasts following the industry's latest quarterly results. The higher outlooks, amid worries the recent breakneck pace of gains may not be sustained, come on the heels of one high-profile Permian Basin producer's oil output miss last quarter and decisions by several other energy companies to trim annual budgets. Oil production from the Permian Basin of West Texas and New Mexico is closely watched because its low costs and rapid growth have pressured efforts by the Organization of the Petroleum Exporting Countries to drain a global crude supply glut.
Enterprise Products to Buy Midstream Assets
Pipeline company Enterprise Products Partners LP said it would buy member interests in EFS Midstream LLC from affiliates of Pioneer Natural Resources Co and Reliance Industries Ltd for $2.15 billion. The purchase price of this deal, which is expected to close in the third quarter, will be paid in two installments, Enterprise Products said on Monday. EFS Midstream was formed by affiliates of Pioneer Natural and Reliance Industries in June 2010 to construct, own and operate facilities providing gas gathering, treating, and transportation services in the Eagle Ford Shale in South Texas. (Reporting by Sneha Banerjee in Bengaluru)
Pioneer Natural Resources has Quarterly Loss on Writedowns
Pioneer Natural Resources Co on Tuesday reported a quarterly net loss compared with profit a year ago as the company wrote down the value of oil and gas assets due to low commodity prices. Pioneer's first-quarter loss of $78 million, or 52 cents per share, compared with $123 million, or 85 cents per share in the year-earlier periods. Sales volumes averaged 194,000 barrels oil equivalent per day (boed), up 17 percent from the 2014 first quarter. (Reporting by Anna Driver; Editing by Ted Botha)
Pioneer Natural CEO to retire, be replaced by operating chief
U.S. shale oil producer Pioneer Natural Resources Co said on Thursday its Chief Executive Officer Scott Sheffield will retire at the end of the year and be replaced by Tim Dove, the company's chief operating officer. Sheffield said he is retiring to spend time with his family. Dove joined a predecessor company to Pioneer in 1994 and has worked there ever since. (Reporting by Ernest Scheyder; Editing by Marguerita Choy)
Fracker Pioneer's Q2 Loss Widens on Derivatives
U.S. oil producer Pioneer Natural Resources Co posted a second-quarter net loss on Wednesday that widened from a year earlier on noncash mark-to-market losses for derivatives it uses to insulate its revenues from volatile oil prices. Pioneer, known as one of the most efficient oil producers in the Permian Basin of West Texas, said its second quarter net loss was $268 million, or $1.63 per diluted share. Excluding derivatives, the adjusted loss was $37 million, or $0.22 a diluted share. (Reporting by Terry Wade)
Pioneer Natural Posts Quarterly Loss, Cutting Rig Count 50%
Pioneer Natural Resources Co, a U.S. shale oil company, on Wednesday reported a quarterly loss compared with a year-earlier profit and said it would slash by half the number of rigs it operates to 12 in response to the collapse in crude prices. Dallas-based Pioneer posted a fourth-quarter loss of $623 million, or $4.17 per share, compared with a profit of $431 million, or $2.92 per share, in the year earlier period. The Dallas company plans capital expenditures for 2016 of $2 billion, down from its preliminary forecast of $2.4 billion to $2.6 billion and 2015 spending of $2.2 billion. (Reporting by Anna Driver; Editing by David Gregorio)
Apache Sees Modest Impact on Output from Permian Freeze
Icy weather in the Permian Basin of Texas that snarled truck traffic, caused power outages and disrupted operations for oil and gas companies at the start of the year is expected to have a small impact on Apache Corp's output, according to a company spokeswoman. "We are still quantifying the production deferment volumes, but anticipate a modest impact in the first quarter," Houston-based Apache said in an email. On Tuesday, West Texas producer Pioneer Natural Resources Co said severe winter weather significantly disrupted its production and drilling operations in the Permian Basin. Assessing the storm's impact will take several weeks, Pioneer said.
Pioneer Says Increasing Drilling Activity
U.S. shale exploration and production company Pioneer Natural Resources Co on Wednesday said it is increasing drilling activity in Texas following the sale of its Eagle Ford shale pipeline and processing business. Pioneer, based in Dallas, said it has already added two drilling rigs in the Permian Basin this month and plans to add an average of two per month during the balance of the year as long as the crude oil price "remains constructive," the company said in a news release. The increase in drilling activity is not expected to have a big impact on 2015 production previously forecast to grow more than 10 percent…
Statoil Won't Add North American Drilling Rigs This Year
Norwegian oil and natural gas producer Statoil ASA has no plans to add North American drilling rigs this year, an executive told Reuters on Wednesday. "I don't see us adding rigs this year," William Maloney, Statoil's head of North American exploration, said in an interview on the sidelines of the IHS CERAWeek conference in Houston, the world's largest gathering of oil producers. Pioneer Natural Resources Co Chief Executive Officer Scott Sheffield told Reuters on Tuesday his company may soon start adding rigs, a step that would mark the start of a reversal of a trend that has seen the U.S. oil rig rate halve since last September.
Williams Adds 3 New Directors as it Seeks to Fend Off Board Takeover
Pipeline company Williams Cos Inc added three new directors to its board on Monday as it works to fend off an attempt by activist investor Keith Meister to replace all of the company's directors. Williams said on Monday it appointed Pioneer Natural Resources Co CEO Scott Sheffield, PPL Corp CEO William Spence and former American Midstream Partners CEO Stephen Bergstrom as directors, effective immediately, increasing the size of its board to 10 directors. Meister, who runs hedge fund Corvex Management LP, nominated a slate of 10 directors last week, after assailing the quality of Williams' current directors.
Pioneer Natural's Losses Widen on Cheap Oil Prices
Oil producer Pioneer Natural Resources Co said on Monday its first-quarter loss widened as the price it received for its crude fell more than 30 percent. The company posted a net loss of $267 million, or $1.65 per share, compared with a net loss of $78 million, or 52 cents per share, in the year-ago period. Production rose 3 percent sequentially to 222,000 barrels of oil equivalent per day. Much of the company's output comes from parts of the Permian shale formation in West Texas. (Reporting by Ernest Scheyder; Editing by Jonathan Oatis)
U.S. Allows Export of Minimally Refined Light Oil
U.S. officials have told energy companies that they may export a variety of ultra-light oil if it has been minimally refined, an apparent marginal loosening of a decades-old ban on selling U.S. crude abroad. The Wall Street Journal reported that the Department of Commerce, which has come under growing pressure to ease restrictions amid a resurgence in domestic production, had given approval via a private ruling to Pioneer Natural Resources Co and Enterprise Product Partners LP to export the so-called condensate. A Commerce spokesman did not comment on the specific rulings…
Pioneer CEO Sheffield Doubts OPEC Will Reach Output Deal
Pioneer Natural Resources Co Chief Executive Scott Sheffield has little hope that OPEC members will agree later this month to curb production, a step that would boost low oil prices. "I give OPEC a 40 percent chance of reaching an agreement," Sheffield said on a conference call with investors on Wednesday. "And even if they do, everyone will cheat. Oil ministers from the Organization of the Petroleum Exporting Countries are scheduled to meet Nov. 30 to negotiate a deal on supply cuts. If OPEC fails to reach an agreement, oil prices likely will stay in the mid-$40 per barrel range for much of next year, Sheffield said.
US Drillers Add Oil Rigs for Second Week in Three
U.S. energy companies added oil rigs for a second time in the last three weeks, extending a 15-month drilling recovery, but the pace of additions has slowed in recent months as firms cut spending plans in reaction to declining crude prices. Drillers added 3 oil rigs in the week to Aug. 11 bringing the total count up to 768, the most since April 2015. General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday. That compares with 396 active oil rigs during the same week a year ago. Drillers have added rigs in 56 of the past 63 weeks since the start of June 2016. The rig count is an early indicator of future output. U.S.
U.S. Shale Outfits Shine Amidst Gloom
A handful of U.S. shale oil producers are pushing up their production forecasts, saying efficiency gains from drilling in prime rock are helping them eke out more crude in the middle of the worst price crash in six years. The slightly bolder outlooks this week from Oasis Petroleum Inc, Devon Energy Corp, Pioneer Natural Resources Co and Diamondback Energy Inc show that the confident swagger that typified the U.S. shale boom's early days has yet to be fully tempered by the more than 50 percent drop in oil prices since last year. Though the consensus view is that rig productivity in U.S.
ZephIR Lidar Expands Engineering Team
ZephIR Lidar has announced the expansion of its Engineering and Supply Chain Team as part of a larger strategy to increase production and meet the growing demand for more accurate wind measurements within the wind energy industry. ZephIR Lidar has invested its own resources and has also applied for and received government-backed ‘Innovate UK’ funding in support of expanding the engineering function for production and manufacturing, as well as creating new jobs in the rural location of Ledbury, UK, where the Company is based. Paul Taylor joins as Program Director, brought into the business to manage a wide range of engineering projects.
West Texas Snow Impacts Crude Output
A snowstorm dumped around two feet (60 cm) of snow in parts of the Permian Basin in West Texas and New Mexico over the weekend, crimping some crude output and leaving roads dangerous for trucks heading to and from oil wells, forecasters and companies said on Monday. Snow had stopped accumulating by Monday afternoon but "travel continues to be impacted as most roads are slick and snow-covered," and some roads across southeastern New Mexico were still closed, according to a notice from the National Weather Service's Midland, Texas, office. Exploration and production companies Pioneer Natural Resources Co and Apache Corp, which operate in the top U.S.
US Oil Rig Count Declines a Bit This Week
The fall in U.S. rigs drilling for oil quickened a bit this week, data showed on Friday, suggesting a recent slowdown in the drilling decline was temporary, after slumping oil prices caused energy companies to idle half the country's rigs since October. Drillers idled 31 oil rigs this week, leaving 703 rigs active, after taking 26 and 42 rigs out of service in the prior two weeks, oil services firm Baker Hughes Inc said in its closely watched report. With the oil rig decline this week, the number of active rigs has fallen for a record 20 weeks in a row to the lowest level since 2010, according to Baker Hughes data going back to 1987.
Hess Would Add Bakken Rigs When Oil Nears $60/Barrel
Hess Corp said on Wednesday it would add drilling rigs in North Dakota's Bakken shale basin, its largest area of operations, if oil prices approach $60 per barrel, a level executives believe offers the best chance to return to profitability. The update came after the U.S. oil producer reported a smaller-than-expected quarterly loss, with cost cuts helping offset more than 60 percent drop in crude prices in the past 18 months. Hess, like other oil producers, has slashed its capital budget and trimmed production plans in the past year, although the company has stopped short of ending drilling and fracking altogether like rival Whiting Petroleum Corp.