[Editor's note: This story was updated at 4:40 a.m. CDT April 26.]
Anadarko Petroleum Corp., which is the target of a bidding war between Occidental Petroleum Corp. and Chevron Corp., beat analysts' estimates for quarterly profit on April 25, fueled by higher sales volume and lower costs.
Occidental made a counterbid for Anadarko's vast shale holdings in the prolific Permian Basin of West Texas and New Mexico on April 24, offering $57 billion compared with Chevron's roughly $48 billion bid, both including debt.
If Anadarko's board accepts Occidental's offer, it may lead Chevron to raise its bid or the second-largest U.S. oil producer could walk away from the deal with a $1 billion breakup fee.
Average sales volumes of oil, natural gas and NGL rose 11.2% to 715,000 barrels of oil equivalent per day (boe/d) in the first quarter, while total expenses fell 4.4% to $2.38 billion.
This helped the Woodlands, Texas-based company cushion an 11.2% fall in average sales price of oil to $56.51 per barrel.
Anadarko said adjusted net income fell to $259 million in the three months ended March 31 from $279 million.
On a per share basis, the company earned 53 cents per share and beat expectation of 25 cents, according to IBES data from Refinitiv.
Shares of the company, which have risen 16.2% since Chevron's bid, were trading flat at $71.80 after the bell.
Anadarko has not scheduled an investor conference call to discuss the results.
2023-11-01 - Chevron’s $53 billion acquisition of Hess Corp. will concentrate the California major even further in upstream oil and gas production—the part of its portfolio where Chevron sees the most future upside.
2023-11-06 - The U.S. oil giant has quietly evaluated opportunities to produce lithium from subsurface brine water in Arkansas—a process Exxon says is an extension of its current upstream capabilities.
2023-10-10 - Exxon Mobil scooping up Permian Basin giant Pioneer Natural Resources in a $60 billion deal could spur other megadeals across the U.S. oil patch, experts say.
2023-10-30 - ExxonMobil Corp., Imperial’s majority shareholder, will make a proportionate tender to maintain the company’s proportionate ownership stake in Imperial Oil.
2023-11-09 - Sitio Royalties reported that it was selling its “lower-margin” assets in the Appalachia and Anadarko basins and also closed additional Permian Basin acquisitions.