Press

Carrizo Oil & Gas Announces Fourth Quarter and Year-End Results


HOUSTON --(BUSINESS WIRE)-- Carrizo Oil & Gas, Inc. (Nasdaq: CRZO) has announced the Company's financial results for the fourth quarter and full-year 2017 and provided an operational update, which includes the following highlights:

  • Total production of 62,417 Boe/d, 39% above the fourth quarter of 2016 and above the high-end of the Company's guidance range
  • Crude oil production of 40,206 Bbls/d, 40% above the fourth quarter of 2016
  • Net loss attributable to common shareholders of $23.4 million , or $0.29 per diluted share, and Net cash provided by operating activities of $142.4 million
  • Adjusted net income attributable to common shareholders of $47.9 million , or $0.58 per diluted share, and Adjusted EBITDA of $184.1 million
  • Adjusted EBITDA margin of $32 /Boe, an increase of 23% versus the prior quarter
  • Proved reserves of 261.7 MMBoe, a 31% increase over year-end 2016
  • 564% reserve replacement from all sources at a finding, development, and acquisition (FD&A) cost of $13.47 per Boe
  • 2018 capital expenditure guidance of $750-$800 million , which reflects an increase in oilfield service costs
  • 2018 production guidance of 58,500-60,100 Boe/d, equivalent to pro forma annual growth of more than 30%

Carrizo reported fourth quarter of 2017 net loss attributable to common shareholders of $23.4 million , or $0.29 per basic and diluted share, compared to a net loss attributable to common shareholders of $0.8 million , or $0.01 per basic and diluted share in the fourth quarter of 2016. The net loss attributable to common shareholders for the fourth quarter of 2017 and the fourth quarter of 2016 include certain items typically excluded from published estimates by the investment community. Adjusted net income attributable to common shareholders, which excludes the impact of these items as described in the non-GAAP reconciliation tables included below, for the fourth quarter of 2017 was $47.9 million , or $0.58 per diluted share, compared to $28.4 million , or $0.44 per diluted share, in the fourth quarter of 2016.

For the fourth quarter of 2017, Adjusted EBITDA was $184.1 million , an increase of 56% from the prior-year quarter primarily due to higher production volumes and commodity prices. This represents the highest level of quarterly Adjusted EBITDA that the Company has reported. Adjusted EBITDA and the reconciliation to net income (loss) attributable to common shareholders are presented in the non-GAAP reconciliation tables included below.

Production volumes during the fourth quarter of 2017 were 5,742 MBoe, or 62,417 Boe/d, an increase of 39% versus the fourth quarter of 2016. The year-over-year production growth was driven by drilling activity in the Eagle Ford Shale and Delaware Basin plus the addition of production from the Sanchez property acquisition in late 2016 and the ExL property acquisition during the third quarter, partially offset by the divestiture of the Company's Appalachian operations during the quarter. Crude oil production during the fourth quarter of 2017 averaged 40,206 Bbls/d, an increase of 40% versus the fourth quarter of 2016; natural gas and NGL production were 78,182 Mcf/d and 9,181 Bbls/d, respectively, during the fourth quarter of 2017. Fourth quarter of 2017 production exceeded the high end of the Company's guidance range of 60,933-62,200 Boe/d.

Drilling, completion, and infrastructure capital expenditures for the fourth quarter of 2017 were $210.4 million . Approximately 49% of the fourth quarter drilling, completion, and infrastructure spending was in the Delaware Basin , while approximately 48% was in the Eagle Ford Shale . Land and seismic expenditures during the quarter were $4.5 million , and were primarily focused in the Delaware Basin .

2017 Proved Reserves

The Company's proved reserves as of December 31, 2017 were 261.7 MMBoe, a 31% increase over year-end 2016, including 167.4 MMBbls of crude oil, a 30% increase over year-end 2016. This represents the highest level of crude oil reserves Carrizo has reported. The Company's PV-10 value was $2.6 billion as of December 31, 2017 .

The table below summarizes the Company's year-end 2017 proved reserves and PV-10 by region as determined by the Company's independent reservoir engineers, Ryder Scott Company, L.P. , in accordance with Securities and Exchange Commission guidelines, using pricing for the twelve months ended December 31, 2017 based on the West Texas Intermediate benchmark crude oil price of $51.34 /Bbl and the Henry Hub benchmark natural gas price of $2.98 /MMBtu, before adjustment for differentials.

                
   Crude Oil  NGLs  Natural Gas  Total  PV-10
Region  (MMBbl)  (MMBbl)  (Bcf)  (MMBoe)  ($MM)
Eagle Ford  124.2   21.7   126.7   167.0   $1,871.2 
Delaware Basin  40.4   20.4   180.5   90.9    715.0 
Niobrara  2.8   0.5   3.3   3.8    52.2 
Total  167.4   42.6   310.5   261.7   $2,638.4 
                      

The table below summarizes the changes in the Company's proved reserves during 2017.

              
    Crude Oil  NGLs  Natural Gas  Total
    (MMBbl)  (MMBbl)  (Bcf)  (MMBoe)
Proved reserves - December 31, 2016   128.4   23.9   287.5   200.2 
Revisions of previous estimates   (19.9)  (0.9)  27.7   (16.1)
Extensions and discoveries   50.5   13.8   99.0   80.7 
Purchases of reserves in place   21.6   8.6   95.0   46.0 
Divestitures of reserves in place   (0.6)  (0.5)  (170.2)  (29.5)
Production   (12.6)  (2.3)  (28.5)  (19.6)
Proved reserves - December 31, 2017   167.4   42.6   310.5   261.7 
Proved developed - December 31, 2017   69.6   17.5   131.4   109.0 
                  

The following table summarizes the Company's costs incurred in oil and gas property acquisition, exploration, and development activities for the year ended December 31, 2017 .

     
    Total
    ($MM)
Property acquisition costs    
Proved properties   $303.3 
Unproved properties    525.0 
Total property acquisition costs    828.3 
Exploration costs    91.1 
Development costs    570.0 
Total costs incurred (1)   $1,489.4 

_________

      

(1) Total costs incurred includes capitalized general and administrative expense and asset retirement obligations and excludes capitalized interest.

2017 highlights include:

  • Total reserve replacement was 564% at an all-sources FD&A cost of $13.47 per Boe
  • Drill-bit reserve replacement was 330% at an F&D cost of $10.23 per Boe
  • Total proved reserves increased to 261.7 MMBoe, a 31% increase versus year-end 2016
  • Eagle Ford reserves increased to 167.0 MMBoe, a 3% increase versus year-end 2016
  • Delaware Basin reserves increased to 90.9 MMBoe, a 677% increase versus year-end 2016
  • Crude oil represents 64% of total proved reserves and 83% of the total PV-10 value at December 31, 2017
  • Proved developed reserves increased to 109.0 MMBoe at year-end 2017, a 19% increase versus year-end 2016


Visit source site

https://carrizo.com/investor-relations/news/defaul...

Carrizo Oil & GasResultsEarningsNasdaqProductionProven Reserves

More items from oilvoice


Africa E&P Summit

The organisers of the Africa E&P Summit are bringing together Africa's leading exploration companies and governments, just one of the many reasons why you should be attending frontier's event that they are organising and hosting in London at the IET: Savoy Place, 22-23 May. Over 200 key senior exec ...

OilVoice Press - OilVoice


Posted 17 days agoPress > Africasummitoil summit +2

Equinor Deepens in Offshore Wind in Poland

Equinor has exercised an option to acquire a 50 % interest in the offshore wind development project Bałtyk I in Poland from Polenergia. This transaction is a follow-up of the agreement between the two companies which came into force in May 2018 , by which Equinor acquired a 50 % inter ...

OilVoice Press - OilVoice


Posted 5 months agoPress > EquinorEquinor EnergyPoland +2

Nigeria has highest capex on crude and natural gas projects in sub-Saharan Africa Over Next Seven Years, says GlobalData

Nigeria accounts for more than 34% of the proposed capital expenditure (capex) on planned and announced crude and natural gas projects in the sub-Saharan Africa over the period 2018–2025, according to GlobalData , a leading data and analytics company. The company's report: ‘H2 2018 Production ...

OilVoice Press - OilVoice


Posted 5 months agoOpinion > GlobalDataNigeriaCrude +5

CNOOC Signs Strategic Cooperation Agreements with 9 International Oil Companies

HONG KONG, Dec. 18, 2018 /PRNewswire/ -- CNOOC Limited (the "Company", SEHK: 00883, NYSE: CEO, TSX: CNU) announced today that its parent company, China National Offshore Oil Corporation (CNOOC), has signed Strategic Cooperation Agreements with 9 international oil companies including: Chevron, Conoco ...

OilVoice Press - OilVoice


Posted 5 months agoPress > CNOOCChina National Offshore Oil CorporationChevron +11

Total Announces the Distribution of its Second 2018 Interim Dividend

The Board of Directors met on December 12, 2018 and declared  the distribution of a second interim dividend for the 2018 fiscal year of €0.64 per share, in accordance with the Board's decision of July 25, 2018, an amount equal to the first 2018 interim dividend and an increase of 3.2% compared to t ...

OilVoice Press - OilVoice


Posted 5 months agoPress > TotalDividend
All posts from oilvoice