ConocoPhillips Reports $1B 3Q Loss
ConocoPhillips Company, the world’s largest independent oil producer, reported a $1 billion loss for 3Q 2016 Thursday. This is a smaller loss than 3Q 2015, in which the Houston-based company sustained a $1.1 billion loss.
Still CEO Ryan Lance believes the “underlying business performance is delivering strong momentum” heading into 2017.
“In the third quarter we achieved cash flow neutrality, with operating cash flow covering capital expenditures and the dividend,” Lance said in a statement. “For the second quarter in a row, we are lowering 2016 guidance on our capital expenditures and adjusted operating costs, while increasing our 2016 production guidance. We’re hitting our key operational targets across the business and achieving important milestones…”
In an Oct. 27 earnings release, 3Q 2016 production was reported as 1,557 thousand barrels of oil equivalent per day (MBOED) – (about 1.56 million barrels of oil equivalent per day) – an increase of 3 MBOED compared with the same period a year ago. The production increase was the result of growth from major projects and development programs, improved well performance and lower planned downtime, offset partly by normal field decline and dispositions.
In July, ConocoPhillips confirmed to Rigzone that it was cutting about 6 percent of its global workforce, as part of its cost-reduction measures to cope with the industry downturn. A majority of the cuts were in North America.
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
Operates 12 Offshore Rigs
- ConocoPhillips Vows Financial Discipline As Aims To Boost Output (Nov 08)
- ConocoPhillips' Profit Beats Estimates, But Budget Cut 10% (Oct 26)
- Most US Gulf Oil Output Offline Ahead of Tropical Storm Nate (Oct 06)