Encana Corp. edged past estimates for quarterly profit on July 31, helped by increased shale oil production in the Anadarko and Permian basins.
Total pro forma production rose 11% to 591,800 barrels of oil per day (boe/d) in the quarter.
Encana inked a deal in June to exit its offshore operations in China and sold its Arkoma Basin natural gas assets earlier in July to focus on its core regions—Anadarko and Permian basins in the U.S. and Montney in Canada.
The Permian and Anadarko basins have been at the heart of the U.S. shale revolution, prompting several companies to invest in assets in the blocks.
Encana's profit was also boosted by a 3.7% rise in realized prices for oil.
The Calgary, Alberta-based oil and gas producer's net income was $336 million in the second quarter ended June 30, compared with a loss of $151 million a year earlier, during which it booked a non-cash charge.
On an adjusted basis, the company earned 21 cents per share, or $290 million in the quarter, beating the average analyst estimate of 20 cents, according to IBES data from Refinitiv.
Several people involved in valuing the Exxon Permian Basin asset during an internal assessment in 2019 said employees were being forced to use unrealistic assumptions, according to a report from the Wall Street Journal.
Equinor's spokesman told Reuters the Norwegian oil and gas company was reviewing its whole portfolio, including its assets in the U.S., following its CEO change last year.
Separately, Penn Virginia also announced the appointment of Julia Gwaltney, previously COO of Gary Permian, as senior vice president of development, effective Jan. 5.