Marathon Oil curtails quarterly loss
- Business & Finance
Oil and natural gas exploration and production company, Marathon Oil, narrowed its 2Q 2016 loss compared to the one reported in the same period last year.
Marathon on Wednesday reported a second quarter 2016 net loss of $170 million, compared to a net loss of $386 million in the corresponding period last year.
The company’s revenues dropped to $1.3 billion in 2Q 2016, from $1.53 billion in 2Q 2015.
Marathon’s second quarter total production averaged 384,000 net boed which is, according to the company, in line with guidance.
The company experienced a decline in U.S. oil production, while its International E&P production increased.
Namely, North America Exploration and Production (E&P) production available for sale averaged 224,000 net barrels of oil equivalent per day (boed) for second quarter 2016, down 13 percent from 2Q 2015 that totalled 274,ooo net boed.
International E&P production available for sale (excluding Libya) averaged 120,000 net boed for second quarter 2016, up 11 percent compared to the year-ago quarter and 108,000 net boed.
The company explained that the increase over the prior quarter was primarily a result of a full quarter of production in Equatorial Guinea, the resumption of production from Brae Alpha in the U.K., increased production efficiency at other Brae facilities and better reliability from Foinaven.
The company has adjusted its full-year 2016 E&P production guidance range resulting in a new range of 330,000 to 345,000 net boed, which reflects divestitures and acquisitions closed to date.
Additionally, Marathon expects its full-year 2016 capital program to be $1.3 billion, or $100 million lower than the original budget, despite the inclusion of increased activity from the Oklahoma STACK acquisition.
Offshore Energy Today Staff