EOG Resources Inc. (NYSE: EOG) on Jan. 28 said it anticipates a $132.1 million non-cash gain from oil and gas hedging contracts in the fourth quarter, according to a filing with the U.S. Securities and Exchange Commission.
The gain represents a reversal from the prior quarter when the shale producer booked a non-cash loss of roughly $52 million on its derivative contracts. That hit came as U.S. oil prices averaged $69.50 a barrel during the third quarter, about $10 above where EOG had hedged a portion of its production.
EOG will report its fourth-quarter results at the end of February.
Wall Street analysts anticipate EOG to report an adjusted per-share profit of $1.40 for the fourth quarter of 2018, down from $1.75 in the third quarter, according to data from Refinitiv. Last year, the company reported a fourth-quarter profit of 69 cents.
All but seven of 29 of the top independent shale producers in the U.S. last year spent more on drilling and shareholder payouts than they generated through operations, according to Reuters analysis.
Joseph A. Mills, currently Roan board member and head of Samson Resources II, will assume the duties and responsibilities of Roan CEO following Tony Maranto’s resignation on April 15.
Each of these 40 companies is one of the largest producers and/or one of the most active operators in a major U.S. shale play.