On Oct. 29, Eagle Rock Energy Partners LP (NASDAQ: EROC) detailed its financial results from this year’s third quarter. The quarter ended Sept. 30, the company added.
There was $35.4 million in adjusted EBITDA, 42% higher than the second quarter’s $24.9 million.
There was $16 million in distributable cash flow, higher than the second quarter’s $3.9 million.
There was $266.3 million in net income, Eagle Rock said.
There was $53.6 million in product revenue, 3% higher than the second quarter’s $52 million. This was due to lower commodity prices and higher production volumes, the company noted.
Operating expenses totaled $13.9 million, 4% less than the second quarter’s. General and administrative expenses were 12% lower than the second quarters, at $9.3 million.
Operating income increased to $32.8 million in the third quarter, compared with the second quarter’s $12.8 million loss.
Maintenance capex totaled $14.5 million over the quarter, $0.2 million more than in the second quarter, Eagle Rock said.
Regarding production, 3 gross (3 net) operated wells were completed in the Midcontinent, and six gross (3.8 net) workovers were conducted.
During the quarter, oil production increased 13% from the second quarter, to 338 thousand barrels (Mbbl) from 300 bbl. NGL production increased 2% quarter-over-quarter, to 297 Mbbl from 290 bbl. Natural gas production increased 5% quarter-over-quarter to 3.09 billion cubic feet (Bcf) from 2.94 Bcf. The higher production was due to strong performance from three Golden Trend Field wells and four nonoperated Briar wells in the Woodford Scoop, the company added. Regarding liquidity, the borrowing base under the senior secured credit facility totaled about $330 million on Sept. 30. There was about $104.3 million available under the facility, the company noted. The five-year facility was amended on Oct. 14, the company said.
In the remainder of the fourth quarter, $28 million is expected to be spent on capex. Of that amount, $14 million will be for maintenance capex and $14 million will be for growth capex.
Eagle Rock Energy Partners LP is a Houston-based, domestic-focused upstream MLP.
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