This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Marathon Oil Corporation Reports Fourth Quarter And Full-Year 2012 Results

·            Recorded more than 95 percent average operational availability for Company-operated E&P assets

·            Enhanced global exploration program, announcing plans to pursue activities in Kenya, Ethiopia and Gabon, to create a balanced portfolio targeting significant value creation

·            Continued commitment to financial discipline and progress toward the previously stated goal of divesting between $1.5 billion and $3 billion of non-core assets over the period of 2011 through 2013, of which approximately $1.3 billion was completed or contracted through the end of 2012

·            Issued $1 billion of 3-year senior notes at 0.9 percent interest and $1 billion of 10-year senior notes at 2.8 percent interest

·            Increased quarterly dividend 13 percent to $0.17 per share

2013 Key Benchmarks

·            Project 6 to 8 percent growth in Upstream net production available for sale compared to 2012, progressing toward the Company's goal of 5 to 7 percent compound annual net production growth from 2010 through 2017. (Both exclude Libya and Alaska. Libya is excluded because of the uncertainty around sustained production levels, while Marathon Oil sold its Alaska business on Jan. 31, 2013.)

o    Implement $5.2 billion capital, investment and exploration expenditures budget

o    Spud 350-400 gross operated wells in key U.S. resource plays

o    Continue downspacing pilot in Eagle Ford to identify optimal spacing of wells

o    Continue to build infrastructure to support production growth across Eagle Ford operating area

·            Anticipate 2013 Upstream reserve replacement ratio of more than 100 percent, excluding acquisitions, divestitures and Libya

·            Expect to participate in 10 to 13 exploration wells across the deepwater Gulf of Mexico, Ethiopia, Kenya, Gabon, the Kurdistan Region of Iraq and Norway

·            Continue portfolio optimization through divestitures and capital discipline


Driven by strong reserves growth in the Company's U.S. resource plays, Marathon Oil's total net proved reserves were 2.0 billion boe at the end of 2012, an increase of 12 percent from the prior year. Of that total, 77 percent were liquid hydrocarbons and SCO and 72 percent were developed. The Company's overall reserve replacement ratio was 226 percent, with 389 million boe of net proved reserves added, while producing 172 million boe. Excluding acquisitions of 70 million boe, the overall reserve replacement ratio was 185 percent.

4 of 14

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs