Devon reports loss
Devon Energy Corp. reported a first-quarter net loss of $1.3 billion, or $3.34 per common share.
The quarterly loss was attributable to a $1.9 billion noncash asset impairment charge primarily related to lower oil and natural-gas liquids pricing. Adjusting for this noncash charge and other items that securities analysts typically exclude from their published estimates, the company earned $270 million, or $0.66 per diluted share in the first quarter of 2013.
Devon continued to deliver strong oil-production growth in the first quarter of 2013. Company-wide oil production averaged 162,000 barrels per day, a 14 percent increase compared to the first quarter of 2012 and an 8 percent increase over the fourth quarter of 2012. Driven by the Permian Basin, the most-significant growth came from the company’s U.S. operations, where oil production increased 23 percent year over year.
Total production of oil, natural gas and natural-gas liquids increased to an average of 687,000 oil-equivalent barrels (Boe) per day in the first quarter. This exceeded the top end of the company’s guidance by 2,000 barrels per day.
Hess Corp. to separate chairman, CEO roles
After consulting with its shareholder, Hess Corp. announced that it will separate the role of chairman and chief executive officer. John Krenicki, former vice chairman of GE, has agreed to serve as non-executive chairman, if he is elected together with the other Hess nominees.
After the annual meeting, which was in May, the newly constituted Corporate Governance and Nominating Committee will outline responsibilities for the non-executive chairman that are consistent with corporate governance best practices. Hess has faced fire from activist shareholders in recent months.
The company recently announced it would grow more profitable and efficient by turning its operations solely to exploration and production.
Gulfport Energy’s first-quarter earnings
Gulfport Energy reported a first-quarter profit of $44.6 million on oil and natural gas revenues of $54.9 million, or 61 cents per diluted share in May.
Gulfport’s 2013 first-quarter results include $61.1 million of mark-to-market income in connection with Gulfport’s 21.4 percent equity interest in Diamondback Energy Inc.
For the first quarter of 2013, net production was 516,954 barrels of oil, 319,658 thousand cubic feet of natural gas and 223,126 gallons of natural-gas liquids, or 575,543 barrels of oil equivalent (boe).
Net production for the first quarter of 2013 by region was 268,448 boe at West Cote Blanche Bay, 223,520 boe at Hackberry, 72,134 boe in the Utica Shale and an aggregate of 11,441 boe in the Bakken, Niobrara and other areas.