Anadarko Loses Big in Third Quarter

Anadarko Q3 2015
Anadarko Q3 2015

Anadarko  Petroleum Corporation released its third quarter financials this week, revealing it won't be chasing growth any time soon.

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During a conference call last week, Anadarko's leadership reported a net loss of $2.235 billion. CEO Al Walker emphasized that the company is has stepped out of a growth mode and is instead focusing on reducing costs and improving operating efficiencies to deal with the downturn.

Even though we’re not choosing to chase growth at this time on our 650,000 gross acre position, the work we’re doing is laying the foundation for the future,” said CEO Al Walker. “When we see value in pursuing growth, we’ll be prepared to accelerate activity.

 

Third Quarter Highlights

  • Exceeded the midpoint of guidance by 6,000 barrels per day of higher-margin U.S. oil sales volumes
  • Achieved capital expenditures and lease operating expense (LOE) per barrel of oil equivalent (BOE) below the low end of guidance
  • Completed a successful appraisal test at the Shenandoah field in the Gulf of Mexico
  • Accomplished a project milestone at the Heidelberg spar with the setting of the topsides
  • Continued to actively manage the portfolio by monetizing nearly $2 billion of assets year to date
  • Reduced costs by nearly $70 per foot drilled on each well. a savings of almost of $1 million per well
  • Lowering the high end of our 2015 capital guidance by an additional $100 million