Noble Energy on Monday reported a third-quarter loss of $283 million.
“Noble Energy delivered tremendous performance in the third quarter,” said David Stover, Noble Energy’s chairman, president and CEO in a news release. “This was highlighted by material reductions in our quarterly capital and controllable unit costs, which were driven by continued operational efficiency gains throughout the business.”
The news is not surprising in today’s commodities markets, and especially since Weld County’s No. 1 producer, Anadarko Petroleum, posted a $2.2 billion loss on the quarter just last week.
Company officials will have a conference call this morning to discuss results further. Just last week, officials confirmed the company would “adjust its workforce,” but did not elaborate on planned layoffs.
Noble operates across the globe but focuses its U.S. drilling in the Denver-Julesburg Basin in Colorado, and in fields in Texas and Pennsylvania.
In the DJ Basin, the company reported sales volumes averaged a record 116,000 barrels of oil equivalent per day in the third quarter, up 13 percent from the same time last year. During the quarter, the company operated with four drilling rigs, but has since dropped that to three, and has plans to leave 40 wells uncompleted, or hydraulically fracked. Companies have increasingly chosen to not finish their well drilling until commodity prices return to more favorable levels. When that time comes, they can finish the wells, but spend less, since half of the job has been done.
The company reported efficiency gains in drilling times, and on its recipe for producing a well.
Noble is the second largest oil and gas driller in Weld County, drilling the Denver-Julesburg Basin.
“Production outperformed expectations once again, setting us up to operate within cash flow. Integration of the new Eagle Ford and Delaware assets is proceeding very well, and we have already experienced improved results by leveraging our expertise in other premier U.S. onshore basins. Offshore, our major project execution capabilities are once again delivering significant value, as we recently commenced production on both Big Bend and Dantzler in the Gulf of Mexico, ahead of schedule and on budget. Given our exceptional portfolio, we have substantial investment flexibility, and we are exiting the year with great operational momentum and strong financial liquidity.”
More information will be posted as it becomes available.
This article was written by Sharon Dunn from Greeley Tribune, Colo. and was legally licensed through the NewsCred publisher network.