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At March 31, 2016, $COP's balance sheet included a total environmental accrual of $263MM versus $258MM at Dec. 31, 2015, for remediation activities in the US and Canada. The company expects to incur a substantial amount of these expenditures within the next 30 years.
$COP said it expects fiscal 2018 production, excluding Libya, to be between 1,195 and 1,235 MBOED. In the first quarter, production is expected to be in the range of 1,180 to 1,220 MBOED. ConocoPhillips sees its full year capital expenditure to be $5.5Bil.
Integrated energy company $COP returned to positive territory in 4Q17, helped mainly by income tax benefit and gains from a dispute settlement. Fourth quarter profit was $1.32 per share, compared to a loss of $0.03 per share in 4Q16. On a non-GAAP basis, the company posted earnings of $0.45 per share. Production, excluding Libya, declined 23% YoY.
Exploration and Production company $COP’s net loss widened in the second quarter 2017, mainly due to non-cash impairment charges and premiums on early retirement of debt. ConcoPhillips reported a net loss of $3.4Bil or $0.78 per share in 2Q17, compared to a loss of $1.1Bil or $0.86 per share.
$COP estimates to use about $5Bil for debt reduction over 2017-2018 and an additional $3Bil for share buybacks. This total amount of $8Bil will have to be funded from the combination of cash balances which are the result of dispositions and free cash flow.
$COP stated that 1Q17 production in US onshore was up 2-3% over expectations. This improvement was driven by technology and other efficiency drivers such as data analytics. The company had predicted that for 2017, it would be 5-10% lower versus 2016. $COP now believes it will be at the low end of this decline range due to progress made in 1Q17.
$COP said Capex for 1Q17 came in at about $950MM so the run rate for full-year 2017 would come to about $3.8Bil. The company expects to spend $5Bil in 2017. $COP was able to grow volumes at this low Capex rate. Exploration Capex was lower in 1Q17. The company believes the completion work on rigs will push Capex up through 2017.
Energy corporation $COP posted a profit in 1Q17 after a series of losing quarters, helped by tax benefits and higher realized prices. Net earnings were $0.8Bil, or $0.62 per share, compared to a 1Q16 loss of $1.5Bil, or $1.18 per share. Excluding special items, net loss was $0.02 per share. Revenue rose 54% to $7.77Bil.
$COP's production, excluding Libya, for 4Q16 declined by 12 thousand barrels of oil equivalent per day (MBOED) from last year. The decrease was the result of normal field decline and dispositions, partly offset by new production from major projects and development programs, improved well performance, and lower downtime.
$COP reported a narrower 4Q16 loss, driven by higher revenue as well as lower costs and expenses. Net loss narrowed to $35MM or $0.03 per share from $3.5Bil or $2.78 per share last year. Revenue grew to $7.25Bil from $6.77Bil. Adjusted loss per share narrowed to $0.26 from $0.90.
$COP expects 2017 production of 1,540-1,570 thousand barrels of oil equivalent per day (MBOED), which is flat to 2% growth over last year. Capital expenditures are expected to be $5Bil, and production and operating expenses are estimated to be $6.1Bil. $COP sees 1Q17 production of 1,540-1,580 MBOED.
$COP expects to add four rigs in Eagle Ford and four rigs in the Bakken regions in 2016. The company will be looking to add rigs in its Permian acreage in 2017. $COP is seeing progress in recoveries and costs in the Bakken and Eagle Ford regions which is the reason the company allocated the additional rigs in these places.
$COP said the APLNG Train 2 had a smooth startup and has been ramping up with no issues so far. Train 1 continues to run at more than 10% over the nameplate capacity. The company is focused on the upstream on ramping up gas supply to run both trains at full capacity. $COP believes it could achieve this target in 2Q17.
$COP started 2016 with a Capex projection of $6.4Bil and flat volumes. The company is currently down to $5.2Bil in Capex with a 3% increase in volumes, adjusting for dispositions. This progress was helped by cost reductions and $COP is getting bigger savings in 2H16 in Alaska, Europe and the Far East.