WPX Energy Announces Second-Quarter 2012 Results

WPX Energy (NYSE:WPX) today announced its unaudited operating and financial results for the second-quarter of 2012. Highlights include:
  • Domestic volumes for all production up 11% for first half vs. year ago on equivalent basis
  • 2Q domestic oil volumes up 57% vs. 2Q 2011
  • Bakken Shale 2Q oil production averages 9,500 barrels per day, up 83% from a year ago
  • Total 2Q oil and NGL production nears 50,000 barrels per day, up 19% vs. a year ago
  • Adjusted EBITDAX exceeds $500 million for first half of 2012
  • Liquidity at $1.9 billion

MANAGEMENT PERSPECTIVE

“Operationally, we’re demonstrating our strength – an ability to grow production in all of our products, particularly oil production right now, which was up 83 percent in the Bakken Shale during the quarter,” said Ralph Hill, CEO.

“And as we’ve seen, gas prices are strengthening. As they improve, we are poised to capitalize on the turnaround. We can be an early mover that generates attractive returns.

“We have world-class natural gas resources in place that can be rapidly developed, especially when you consider our large-scale position in the Piceance where we’re the most cost-efficient producer. We also have significant Mancos resource potential in the San Juan and Piceance basins.

“In the right price environment, we have the assets and the experience to grow our oil, gas and liquids volumes at a double-digit pace. It’s what we’re built to do.

“We’re also priming our growth platform by continuing to implement our Piceance efficiency model in areas such as the Marcellus and Bakken, while focusing our exploration team to increase our oil profile with land purchases in new plays.

“These actions are under way, which is part of why we’re adding to our capital spending. We’ll discuss the land aspect more as we complete our acreage goals.

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