Limited hedging boosts US super-indies
Strong domestic asset bases are helping drive financial performance at Occidental and ConocoPhillips and giving pause for thought on production guidance
US super independents Occidental Petroleum and ConocoPhillips have both enjoyed their best financial quarter since the pandemic devastated energy demand and caused global supply to contract. Occidental posted its first positive net income result in over a year for Q2, while ConocoPhillips more than doubled its income compared with Q1. ConocoPhillips’ unhedged position marks it out among US E&Ps, with most taking a more cautious approach after the volatility of the past year. The company generated c.$2.8bn in free cash flow (FCF) over Q2. Occidental also managed its highest FCF, but revenues could have been even higher if the firm had not collared 630mn ft³/d (17.8mn m³/d) in gas producti
Also in this section
25 April 2024
Some companies with assets in Israel have turned towards Egypt as tensions escalate, but others are holding firm despite rising tensions
24 April 2024
But even planned exploration activity is unlikely to reverse declining output from mature fields
23 April 2024
Cheaper Russian barrels and lower overall crude prices have helped cut key oil consumer’s import bills in election year
22 April 2024
Pursuing three different goals as part of the same package may mean achieving none of them