Bonanza Creek Energy, Inc. (NYSE:BCEI) Q3 2019 Earnings Conference Call - Final Transcript
Nov 07, 2019 • 10:00 am ET
Ladies and gentlemen, thank you for standing by, and welcome to the Q3 2019 Bonanza Creek Energy, Inc. Earnings Conference Call. [Operator Instructions]
I would now like to hand the conference over to your speaker today, Mr. Scott Landreth, Senior Director of Finance and Investor Relations. Thank you. Please go ahead, sir.
Thanks, Jimmy. Good morning, everyone, and welcome to Bonanza Creek's third quarter 2019 earnings conference call and webcast.
On the call this morning, I am joined by Eric Greager, President and Chief Executive Officer; Brant DeMuth, Executive Vice President and Chief Financial Officer; and Dean Tinsley, Senior Vice President of Operations and Engineering.
Yesterday, we issued our earnings press release, posted a new investor presentation and filed our 10-Q with the SEC, all of which can be accessed on the Investor Relations section of our website. Some of the slides in the November investor presentation will be referenced during our prepared remarks this morning. Please be aware that our remarks will include forward-looking statements that are subject to many risks and uncertainties that could cause actual results to differ materially. You should read our full disclosures regarding forward-looking statements contain in our 10-Q, 10-K, and other SEC filings.
Also, during this call, we will refer to certain non-GAAP financial measures because we believe they are good metrics to use in evaluating performance. Reconciliations of these measures to the most directly comparable GAAP measures are contained in our earnings release and investor presentation. We will start the call with prepared remarks and then move to Q&A.
Now, it is my pleasure to introduce Eric Greager, President and CEO. Eric?
Thanks, Scott. Good morning, everyone, and thank you for joining us for our third quarter earnings call.
We will keep our prepared remarks brief in order to leave plenty of time for Q&A. Our third quarter results were in line with the expectations we communicated on our call last quarter. As was expected, and due largely to the timing of wells turned to sales from our one-rig program, third quarter production of 24.3 Mboe per day was essentially flat with the second quarter. Our average production through nine months was 23.2 Mboe per day, which is up over 50% compared to average Wattenberg production through Q3 of 2018.
This performance year-to-date has resulted in us raising our annual production guidance twice, once after 2Q earnings and once again with our release yesterday. Our current annual production guidance is a range of 23 to 24 Mboe per day, up from 20 to 24 Mboe per day to begin the year. Our oil mix for the quarter of 57% was in line with our expectations. Going forward, we expect quarterly oil cuts to fluctuate in the high 50% to low 60% range, which will be highly correlated to wells that have been turned to sales in recent quarters, and higher oil cut associated with new production.
Capex for the quarter was $46 million, bringing the total through nine months to $173 million. We're