By Ezequiel Minaya
Noble Energy Inc. on Monday reported a second-quarter loss and a
47% decline in revenue amid slumping energy prices.
The oil-and-gas producer saw crude oil and condensate sales dip
50% to $483 million. Natural-gas revenue fell to $215 million
during the latest quarter ended in June from $297 million in the
year-before quarter. Total sales volumes climbed 3.1%.
For the latest quarter, Noble Energy reported a loss of $109
million, or a loss of 28 cents a share, down from earnings of $192
million, or 52 cents a share, a year earlier. Excluding special
items such as write-downs, earnings were 26 cents a share in the
quarter, down from 88 cents.
Revenue fell to $730 million from $1.38 billion.
Analysts polled by Thomson Reuters had expected earnings of 6
cents a share and revenue of $888 million.
The total sales volume climb was composed of liquids including
crude oil, making up 43% and the remaining 57% made up of natural
gas. The modest growth was due mostly to the company's continued
development of the Basin and Marcellus shale resource plays, where
combined production rose 28%.
Shares of Noble were inactive premarket.
In the wake of its recently completed merger with Rosetta
Resources, Noble has already announced some layoffs and
executive-level resignations--some 76 employees in total.
Noble said Monday it expects more than 15% annual production
growth from the acquired assets, which includes 50,000 acres in the
Eagle Ford Shale and 54,000 acres in the Permian.
In February, the company outlined a 40% reduction in planned
capital investments for 2015 to $2.9 billion, following a number of
other energy companies that have slashed their spending in the wake
of sharply lower oil prices.
The Houston-based company has been focusing on developing the DJ
Basin and Marcellus Shale as it seeks to stoke volume and stabilize
the results during the recent swoon in oil prices.
Write to Ezequiel Minaya at Ezequiel.Minaya@wsj.com
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