One of the company’s Permian Basin fields risks losing some capital if pricing doesn’t improve.
The company reported a 43.6% fall in natural gas prices per thousand cubic feet in the reported quarter on lower demand coupled with surging production.
Concho, which operates in the Delaware and Midland basins of the prolific Permian shale field, said total production rose to 328,681 barrels of oil equivalent per day (boe/d) from 228,958 boe/d a year earlier.
Production rose about 23% to 140,000 barrels of oil equivalent per day (boe/d) from Bakken and about 38% to 65,000 boe/d from the Gulf of Mexico.
Encana edged past estimates for quarterly profit on July 31, helped by increased shale oil production in the Anadarko and Permian basins.
Shares of the FTSE 250 company fell 3.2% as of 3:00 a.m. CT after the company also reported a 7% drop in like-for-like orders.
Frac sand miner U.S. Silica Holdings reported a bigger-than-expected quarterly profit on July 30, as it sold more sand to U.S. shale producers.
The second-quarter profit was up from $2.4 billion in the previous quarter, while BP’s operating cash flow recovered to $6.8 billion in the quarter from $5.3 billion in the previous quarter as a result of a one-off working capital release.
U.S. light crude prices averaged $59.91 per barrel in the second quarter, 11.8% lower than a year earlier, while Brent crude averaged $68.47 per barrel, 8.7% lower than a year earlier.
Exxon Mobil "is always countercyclical" and "has to be viewed in the long term," says John Groton, director of equity research at Thrivent Asset Management.