Post Tagged with: "PDC Energy"

Source: Reuters

Investors brace for poor U.S. shale earnings amid weak oil and gas prices

Source: Reuters (Reuters) – Investors are bracing for weaker results from U.S. shale players in coming days as lower oil and natural gas prices and cost-cutting measures have weighed on third-quarter operations. Major shale producers ConocoPhillips (COP.N) and Concho Resources (CXO.N) this week kick off quarterly earnings reports for a group whipsawed this year by volatile pricing and investor demands for improved returns. Oil and gas producers have cut drilling and slashed jobs amid worries over pricing outlooks. U.S. oil prices are down 17% and natural gas is down about 31% from a year ago, undercutting production increases. Costs of job cuts and retiring debt also will pressure profit at some companies, analysts said ahead of reports. “I think we are moving from a growth to a value phase,” said Brad Holly, chief executive at Whiting Petroleum Corp (WLL.N) at a Denver oil conference earlier this month. Whiting, Devon Energy[Read More…]

Source: PDC Energy

PDC Energy to Acquire SRC Energy

By Tyler Losier, Energy Reporter, Oil & Gas 360 PDC Energy to acquire SRC Energy in all-stock transaction valued at approximately $1.7 billion PDC Energy Inc. (stock ticker: PDCE), an independent E&P based out of Denver, has entered into a definitive agreement to acquire SRC Energy Inc. (stock ticker: SRCI), also located in Denver, in an all-stock transaction valued at approximately $1.7 billion, including SRC’s net debt of approximately $685 million as of June 30, 2019. This consideration represents a premium of 6.8% to the 30-day average exchange ratio of 0.148x. Under the terms of the two companies’ agreement, SRC shareholders will receive 0.158 shares of PDC for each share of SRC common stock owned, representing an… Login or click here to subscribe Username or E-mail Password Remember Me     Forgot Password

Source: PDC Energy

All Three PDC Energy Incumbents Win Board Seats

By Tyler Losier, Energy Reporter, Oil & Gas 360   Kimmeridge’s candidates defeated, ending months-long battle PDC Energy, Inc., following its 2019 annual meeting of stockholders, announced today that CEO Barton Brookman, and directors Mark Ellis and Larry Mazza, all incumbent board members, have been re-elected based on a preliminary count of the vote. All three challengers, members of the New York-based private equity firm Kimmeridge Energy Management, were defeated. Source: PDC Energy Q1 2019 Earnings Call According to Bloomberg, Kimmeridge is a 5.1% owner of PDC, and over the past few months, it has argued that PDC’s acquisition and operational strategies were flawed, driving low returns for investors. Consequently… Login or click here to subscribe

Activism: PDC Energy Files Presentation to Set the Record Straight

Activism: PDC Energy Files Presentation to Set the Record Straight

PDC Energy Files Presentation to Set the Record Straight

Activist Takes Aim at Shale-Company CEO’s Pay

Activist Takes Aim at Shale-Company CEO’s Pay

From The Wall Street Journal A shareholder activist will challenge PDC Energy Inc. in an effort to change the way the oil producer pays its executives, part of a broader push by investors to force U.S. energy producers to focus more on profitability than growth. Kimmeridge Energy Management Co., which last month disclosed a 5.1% stake in PDC, said it is putting forth a slate of directors to challenge the three board members whose terms expire this year. Denver-based PDC’s chief executive, Barton Brookman, is among those up for re-election. Kimmeridge said it wants the company to align executive compensation more with shareholder returns than production growth. The firm is also advocating for a dividend, exploration of potential deals with rivals and a reduction of administrative costs at PDC, which has a market value of about $2.5 billion. “A lot of the problems in the exploration-and-production space could be fixed with proper compensation[Read More…]

PDC Emphasizes Cash Flow in Executive Compensation

PDC Emphasizes Cash Flow in Executive Compensation

New comp plan is based on cash flow per debt-adjusted share, free cash flow as a percent of total capital investment, capital efficiency, LOE and G&A per BOE and production By Richard Rostad, analyst, Oil & Gas 360 PDC Energy (ticker: PDCE) announced fourth quarter results today, showing $178.8 million in net income, or $2.71 per share. PDC produced 128 MBOEPD in Q4 2018, up 36% year-over-year. The company produced 110 MBOEPD throughout the year, up 26% from 2017 levels. PDC’s Delaware Basin provided much of this growth, and yearly output from the Delaware is up 124%, compared to 14% growth in the Wattenberg. The Delaware now accounts for just under one quarter of PDC’s total output, as the company produced 30.9 MBOEPD from t… Login or click here to subscribe

PDC Energy Issues Statement Responding to Schedule 13D Filing by Kimmeridge Energy Management

PDC Energy Issues Statement Responding to Schedule 13D Filing by Kimmeridge Energy Management

PDC Energy Issues Statement

February 22, 2019 - 9:15 am Closing Bell Story, Corporate Governance, Press Releases
PDC Plans Free Cash in 2019 At $50 Oil

PDC Plans Free Cash in 2019 At $50 Oil

CapEx down 15%, production up 20% By Richard Rostad, analyst, Oil & Gas 360 PDC Energy (ticker: PDCE) announced 2019 guidance today, outlining the company’s transition from aggressive growth to a more moderate posture. PDC plans to spend about $840 million in 2019, down from the $985 million the company spent in 2018. The vast majority of this sum, $800 million, will be directly invested into oil and gas operations, while the remaining $40 million will go to the company’s Delaware Basin midstream infrastructure. PDC forecasts this plan will allow 20% production growth, with yearly output of about 131.5 MBOEPD. This falls short of 2018’s 26% growth but is still a significant increase. However, it only requires slight growth fro… Login or click here to subscribe

PDC Energy Names New General Counsel

PDC Energy Names New General Counsel

PDC Energy Appoints New General Counsel

Northern Delaware Basin Operations 

From Concho.com

PDC: Prop 112 Would Not Affect 2019 Plans, After That Impact Would Be “Dramatic”

Midstream constraints impact DJ results PDC Energy (ticker: PDCE) announced third quarter results today, showing net losses of $3.4 million, or ($0.05) per share. PDC produced about 110 MBOEPD in Q3, up 21% from last year and up 6% sequentially. This is slightly below expectations, due to constraints in the DJ Basin. PDC reports the Delaware produced above expectations, however, somewhat nullifying the constraints in the Wattenberg. The DJ accounts for about 75% of PDC’s output, while the Delaware makes up the remining 25%. PDC reports DCP’s Plant 10 came online in the DJ in late Q3, which has allowed the company to increase its gas volumes. Additional gas takeaway capacity is upcoming, and additional system optimization is underway…. Login or click here to subscribe

PDC Energy Presenting at The Oil and Gas Conference

PDC Energy Presenting at The Oil and Gas Conference

PDC Energy, Inc. (NASDAQ: PDCE) Company Overview PDC Energy is an E&P company headquartered in Denver, Colorado focused on horizontal drilling programs and bolt-on acquisitions in its core areas. Its assets are located in the Wattenberg Field in Colorado and the Delaware Basin in West Texas. Year-over-year total production increase of 34 percent Q1 Year-over-year oil production increase of 51 percent Q1 Summary Q1-2018 Revenue: $282 million Q1-2018 Production: 99 MBOEPD Total Common Stock Outstanding: 66 million Enterprise Value: $5.2 billion Total Debt: $1.2 billion 1P Reserves: 453 MMBOE Operating Margin: -0.11% Management Team Barton R. Brookman, Jr. – President, CEO Lance A. Lauck – Executive Vice President, Corporate Development & Strategy Scott J. Reasoner – COO Scott Meyers – CFO Daniel W. Amidon – Senior Vice President, Secretary & General Counsel The Oil and Gas Conference® PDC Energy is presenting at EnerCom’s The Oil & Gas Conference® at the Denver Downtown Westin[Read More…]

July 20, 2018 - 12:17 pm Closing Bell Story, TOGC23
PDC Energy Announces New CFO

PDC Energy Announces New CFO

PDC Energy, Inc. (ticker: PDCE) has appointed R. Scott Meyers, previously the company’s  chief accounting officer, to the chief financial officer position. Meyers has been with the company since 2009. He was appointed CFO concurrently with the previous CFO’s resignation. PDC noted that David Honeyfield, the previous CFO, did not resign because of disagreements with the company. Prior to joining the company, Meyers served as a senior manager with PricewaterhouseCoopers LLC and Schneider Downs & Co., Inc., an accounting firm based in Pittsburgh, Pennsylvania. Meyers holds a B.S. in accounting from Grove City College, Pennsylvania. PDC CEO Bart Brookman said, “Scott has been a key part of the PDC team for almost a decade and has been integral in the success of our company. We are very pleased that he has accepted the expanded role and we’re confident that he is very qualified for the job.”

EnerCom’s 2017 Conference Breakout Notes: PDC Energy

EnerCom’s 2017 Conference Breakout Notes: PDC Energy

PDC Energy Breakout Notes Barton R. Brookman, Jr., president and CEO of PDC Energy Inc. (ticker: PDCE) presented today at EnerCom’s The Oil & Gas Conference® 22. PDC Energy’s core production is sourced from its acreage in the Watteberg Field, in Colorado’s DJ Basin—where it holds approximately 96,000 net acres. The company is also developing new assets in the Delaware basin, where it now holds approximately 62,500 net acres. During Q2, 2017 PDC indicated that it had a net income of $41.2 million, up from a loss of $95.5 million in Q2, 2016. The company brought six wells to production in the Delaware basin during the course of Q2, and averaged 10,047 BOEPD of production out of the basin. The company’s first extended reach lateral in the Delaware produced over 2,000 BOEPD for 100 days, as of August 8, 2017.  The company spud 44 wells and brought 32 wells to[Read More…]

PDC Energy: Core Wattenberg Strong, Plenty of Upside in the Delaware

PDC Energy: Core Wattenberg Strong, Plenty of Upside in the Delaware

PDC: core strength in the core Wattenberg PDC Energy (ticker: PDCE) has a strong position in the Wattenberg field in the D-J basin, and it’s looking to further develop its acreage in the Delaware Basin. With 95,500 net acres in the Wattenberg and approximately 2,600 existing locations there, PDC has built a powerful foundation in Colorado. PDC has identified an additional 1,800 potential drilling locations in the Wattenberg. PDC reported a proved reserves value of 305 MMBOE which provides for significant potential in the Wattenberg. As of Q1, 2017, PDC has drilled 29 wells—of which four are Standard Reach Laterals (SRL), 11 are Mid-Reach Laterals (MRL), and 14 are Extended Reach Laterals (XRL). PDC has also managed to turn-in-line 40 wells in Q1, bringing that production to market. PDC said its plans include spudding 139 wells and turning-in-line 139 wells in the Wattenberg in 2017. PDC said that it is testing between[Read More…]

PDC Energy (ticker: PDCE) CEO Bart Brookman rang the Nasdaq opening bell today in celebration of PDC’s 40 years trading on Nasdaq.

PDC Energy Celebrates 40 Years on Nasdaq

PDC Energy (ticker: PDCE) CEO Bart Brookman rang the Nasdaq opening bell today in celebration of PDC’s 40 years trading on Nasdaq. The company had numerous executives on site for the occasion at the Nasdaq MarketSite in Times Square. PDCE: a thumbnail PDC started off in Bridgeport, West Virginia, in 1969 as Petroleum Development Corporation. The company was focused on shallow Upper Devonian drilling partnerships in the Appalachian basin, drilling for natural gas. The company began trading on Nasdaq under the symbol PEDT in 1977, with a $1.75 share price, a $9 million market cap and proved reserves of 1.4 MMBOE (89% natural gas). PDC moved its headquarters to Denver in 2009 as it acquired additional assets in the Rocky Mountains. In 2010 it began trading under the ticker PDCE and its focus moved toward liquids. By 2014 the company had achieved a market cap of $2 billion. In 2016, PDC[Read More…]

PDC Energy Tallies 25% Reserves Growth, 44% Production Growth in 2016

PDC Energy Tallies 25% Reserves Growth, 44% Production Growth in 2016

PDC Energy year-end proved reserves reach 341.4 MMBOE, $1.7 Billion PV-10, up 25% from 2015 Denver-based PDC Energy (ticker: PDCE) released an update on the company’s year-end production estimates and reserves. The press release put out by the company Wednesday said the company’s proved reserves at the end of 2016 increased 25% year-over-year, while production increased 44% during the same timeframe. PDC’s total proved reserves as of December 31, 2016 increased to 341.4 MMBOE compared to 272.8 MMBOE reported at year-end 2015.  The composition of the reserves at the end of 2016 were 59% liquids and 41% natural gas, with 29% of the reserves classified as proved developed. Year-end 2015 reserves were 60% liquid, 40% natural gas, and 26% proved developed. Proved reserves in the Wattenberg Field and Utica Shale increased 13% to 308.9 MMBOE. In 2016, the company acquired approximately 61,500 net acres in the Delaware Basin and established[Read More…]

E&P A&D Roundup: PDC, Whiting, and Rex Energy Kick Off 2017

E&P A&D Roundup: PDC, Whiting, and Rex Energy Kick Off 2017

Deals: PDC Energy (ticker: PDCE), Whiting Petroleum (ticker: WLL) and Rex Energy (ticker: REXX) With the holiday season over and the turkey more or less digested, it’s back to deal making in the oil and gas patch. PDC Strengthens Core Delaware Footprint and Wolfcamp Drilling Inventory with Bolt-on PDC Energy (ticker: PDCE) announced the purchase of 4,500 net acres in West Texas’ Reeves and Culberson Counties for $118 million from private E&P Fortuna Resources. The acreage is contiguous with the company’s 57,000 Delaware net acres and includes 75 gross one-mile drilling locations in the Wolfcamp A, B, and C zones. The acquisition continues the company’s strategy of expanding and blocking up their Core Delaware Basin position and will increase net acreage, drilling inventory, and estimated reserves potential by 10%, according to President and CEO Bart Brookman. “By creating a large, continuous acreage block, we have the opportunity to focus on[Read More…]

PDC Energy Targeting 40% Production Growth in 2017

PDC Energy Targeting 40% Production Growth in 2017

PDC Energy 2017 capital budget and growth both exceed analyst expectations Denver-based PDC Energy (ticker: PDCE) announced its capital budget and production plans for 2017 on Monday exceeding analyst expectations. According to the company’s press release, PDC plans to grow production more than 40% year-over-year with a capital budget of $725 million to $775 million. The budget is about 7% higher than analysts’ consensus leading to 6% higher production growth than consensus as well, according to a note from Wells Fargo. Production guidance for 2017 will be 30-33 MMBOE in total, or 82.2-90.4 MBOEPD, more than 40% higher than anticipated 2016 production at its midpoint. The anticipated commodity mix is approximately 43% oil, 21% NGLs and 36% natural gas. PDC said it plans to outspend cash flow in the first half of next year, assuming an internal weighted-average NYMEX pricing of approximately $51 per barrel of oil, $3.30 per Mcf of natural gas and[Read More…]

PDC Energy Appoints David Honeyfield CFO

PDC Energy Appoints David Honeyfield CFO

PDC Energy, Inc. (ticker: PDCE) has appointed David Honeyfield its chief financial officer effective December 19, 2016. David Honeyfield was previously CFO for Jonah Energy in Denver.  His previous experience includes six years at Intrepid Potash, where he served as president and CFO. Honeyfield served as CFO at SM Energy, controller and CAO at Cimarex Energy/Key Production Company, and Senior Audit Manager at Arthur Andersen. Honeyfield holds a BA in Economics from the University of Colorado and is a CPA. PDC President and CEO Bart Brookman said, “David has an extensive financial and accounting background in the oil and gas industry … . He has served in various roles of increasing responsibility with several highly successful companies and we are excited to add his expertise and leadership skills to our management team.” PDC: Ready to Integrate and Develop Permian Assets in 2017 Brookman summarized Q3 as a “terrific” quarter for PDC during its 3Q earnings call reported by Oil & Gas 360® in November.[Read More…]

Brookman: A Truly Transformational Quarter for PDC

Brookman: A Truly Transformational Quarter for PDC

PDC: Ready to Integrate and Develop Permian Assets in 2017 PDC (ticker: PDCE) CEO Bart Brookman summarized Q3 as a “terrific” quarter for PDC on its 3Q earnings call today. Brookman called for increased production and activity going forward in both the company’s core Wattenberg and Delaware acreage. Third quarter production increased 39% year-over-year to 65,000 BOEPD, despite a 10% year-over-year decline in CapEx, which was $118.0 million. Per Boe lease operating expenses declined 27% year-over-year to $2.33. Forty gross operated wells were turned online, including the company’s first two-mile lateral wells in the Core Wattenberg in Colorado. The company spudded 16 extended reach lateral wells in the Wattenberg, continuing trends seen throughout the basin. Brookman noted that “these projects are becoming increasingly prevalent in our Wattenberg operating plan and will be a key part of our 2017 capital budget when blended with the recent acreage swap.” PDC’s $1.5 Billion[Read More…]

Hunters and Gatherers in the Hottest Oil Play in the U.S.

Hunters and Gatherers in the Hottest Oil Play in the U.S.

The Delaware Basin is becoming an increasingly attractive asset, but takeaway could become an issue The Delaware Basin has become an extremely sought after asset since the decline of oil prices that began in 2014. Even at $50 oil, many operators feel the area offers good returns, and they’re willing to pay for them. The hunters PDC Energy (ticker: PDCE) entered the basin in August, paying $1.5 billion to acquire two privately held companies with 57,000 net acres in Reeves and Culberson counties, Texas. The company said the deal would expand its inventory life by at least 15 years. Smaller acquisitions in the area have included Resolute Energy’s (ticker: REN) $135 million acquisition of Firewheel Energy for 3,293 acres in Reeves County, and Silver Run Acquisition Corp.’s purchase of Centennial Resources, a Delaware Basin pure-play company with 42,500 net acres primarily in Reeves and Ward counties. Oil production in the[Read More…]

October 14, 2016 - 5:13 pm Closing Bell Story, Midstream, Oil and Gas 360 Articles
PDC Energy Upsizes Offering to Fund $1.5 Billion Delaware Basin Entrance

PDC Energy Upsizes Offering to Fund $1.5 Billion Delaware Basin Entrance

PDC Energy expects gross proceeds of $675 million to help fund a portion of its Delaware Basin acquisition PDC Energy (ticker: PDCE) announced Thursday that it upsized its public offering to 7.9 million shares of common stock for total gross proceeds of approximately $500 million and $175 million of its convertible senior notes due 2021. Originally, the company had planned to offer 6.5 million shares and $100 million in senior notes. PDC has also granted an option for an additional 1.2 million shares of stock up to $25 million principal amount of additional notes to cover over-allotments. The senior notes will be carry an interest rate of 1.125% per annum, payable semi-annually. The notes will be convertible at the option of holders in certain circumstances and during certain periods into cash, shares of common stock or a combination thereof at an initial conversion rate of 11.7113 shares per $1,000 principal[Read More…]

PDC Energy Leaps into the Delaware Basin with $1.5 Billion Deal

PDC Energy Leaps into the Delaware Basin with $1.5 Billion Deal

PDC expands inventory life by at least 15 years with Delaware acquisitions Denver-based PDC Energy (ticker: PDC) announced a $1.5 billion acquisition of two privately held companies with acreage in the core of the Delaware Basin. The privately negotiated transaction includes approximately 57,000 net acres in Reeves and Culberson Counties, Texas, with an average working interest of approximately 93%, according to the company’s press release. Current net production is approximately 7,000 BOEPD from 21 wells, with two additional wells in the completion and flowback phase. During a webcasted presentation, the company said there are currently 710 identified drilling locations on its newly-acquired Delaware Basin assets. That estimate is based on 4-12 total wells per section targeting Wolfcamp A/B/C, and PDC management believes that the potential upside for drilling locations could be significantly higher given the potential for downspacing and additional benches of pay. When asked when PDC might start to[Read More…]

PDC Energy’s Q2 Call:  We Will Stave Off Colorado Anti-Frac Amendment

PDC Energy’s Q2 Call: We Will Stave Off Colorado Anti-Frac Amendment

Wattenberg power player PDC is confident ballot initiatives will not reach the number of signatures required for certification Colorado ballot initiatives No. 75 (local control over oil and gas) and No. 78 (mandatory 2,500-foot setback) have been a major concern for oil and gas companies as groups that hope to effectively shut down drilling in Colorado collected signatures for two proposed constitutional amendments. After boxes of collected signatures were turned in at Monday’s 3:00 p.m. deadline, Denver-based PDC Energy (ticker: PDCE) said it is confident that the anti-fracing groups will not have enough signatures to get the ballots in front of voters in November. “Unofficial reports indicate that it will be unlikely for either of these measures to make the November ballot,” said PDC Senior Vice President of Operations Scott Reasoner in the company’s second quarter conference call today. “In the event that these do make the ballot, the industry is[Read More…]

EnerCom Receives Awards for PDC Energy and Whiting Petroleum 2015 Annual Reports

EnerCom Receives Awards for PDC Energy and Whiting Petroleum 2015 Annual Reports

Since its founding in 1994, EnerCom has written, designed and managed the production of more than 200 Annual Reports for public oil and gas companies, balancing cutting-edge graphic design with diligent project management – from initial concept meeting to shipping. This year the League of American Communications Professionals (LACP) has awarded its Silver Award to EnerCom for the 2015 PDC Energy (ticker: PDCE) Annual Report, and a Bronze Award for the 2015 Whiting Petroleum (ticker: WLL) Annual Report. PDC Energy 2015 Annual Report PDC wanted to focus its Annual Report message on three key strengths in 2015 that would take the company through 2016—its resilient asset base, experienced management teams and strong balance sheet. To design and produce the company’s 2015 Annual Report to Shareholders, PDC engaged EnerCom Consulting. The EnerCom design team created a set of subtle thematic elements that served to highlight those strengths across the color feature section that wraps the company’s 2015 10-K.[Read More…]

July 19, 2016 - 10:43 am 360 Profile Member, Closing Bell Story
Design Elements, Metallic Inks, Photography Highlight 2015 Oil & Gas Company Annual Reports

Design Elements, Metallic Inks, Photography Highlight 2015 Oil & Gas Company Annual Reports

PDC Energy and Sanchez Energy Annual Reports PDC Energy (ticker: PDCE) is a 42,000 BOEPD producer whose operations are primarily focused on the Wattenberg field in Northern Colorado’s DJ basin. PDC wanted to focus its Annual Report message on three key strengths in 2015 that would take the company through 2016—its resilient asset base, experienced management teams and strong balance sheet. To design and produce the company’s 2015 Annual Report to Shareholders, PDC engaged EnerCom Consulting. The EnerCom design team created a set of subtle thematic elements that served to highlight those strengths across the color feature section that wraps the company’s 2015 10-K. Using bright metallic inks on a light gray, mountain-themed background, EnerCom’s designers created an custom illustration that carried from front cover to back cover, and employed a subtle geometric design element to pinpoint PDC’s focus on its three company pillars. The goal for the 2015 PDC[Read More…]

PDC Energy Reports 2016 First Quarter Financial and Operating Results

PDC Energy Reports 2016 First Quarter Financial and Operating Results

PDC Energy Reports 2016 First Quarter Financial and Operating Results; Production Increase of 58% to 4.6 Million Barrels of Oil Equivalent  Read the conference call transcript here. DENVER, May 06, 2016 (GLOBE NEWSWIRE) — PDC Energy, Inc. (“PDC”, the “Company,” “we” or “us”) (NASDAQ:PDCE) today reported its 2016 first quarter financial and operating results. 2016 First Quarter Highlights Production of 4.6 million barrels of oil equivalent (“MMBoe”), a 58% increase year-over-year; daily production of 50,216 barrels of oil equivalent (“Boe”). Crude oil production of 20,965 barrels (“Bbls”) per day, a 44% increase year-over-year and representing 42% of total production. Turned-in-line 47 gross operated wells, including 34 turn-in-lines in March 2016. Senior unsecured notes raised to ‘BB-’ from ‘B+’ by Standard & Poor’s; Corporate Rating at Moody’s and Standard & Poor’s affirmed at ‘B1’ and ‘B+’, respectively. Completed equity offering of approximately six million shares with net proceeds of approximately $297[Read More…]

PDC Energy Targets 35% Growth with Debt-to-EBITDA Below 2x

PDC Energy Targets 35% Growth with Debt-to-EBITDA Below 2x

PDC Energy increases EURs 9% in core assets A number of analyst notes were released following PDC Energy’s (ticker: PDCE) analyst day held in Denver this week discussing the companies impressive metrics. The company said that it has lowered completed well costs 2-4%, allowing the company to continue growing production while simultaneously lowering its projected 2016 capital budget. PDC Energy’s updated guidance calls for production of 20-22 MMBOE, a 35% year-over-year increase, with a capital budget of $410-$440 million, down $10 million at its midpoint from the company’s previous guidance. PDCE expects to be roughly cash flow neutral and maintain debt-to-EBITDA of 1.1x-1.2x for the year. In EnerCom’s E&P Weekly, PDC Energy has a net debt-to-TTM EBITDA of 1.5x for the week ended April 1, 2015. The company’s debt metrics strong in comparison to the entire E&P group in EnerCom’s universe, which have a median debt-to-EBITDA of 3.2x. “A top-tier[Read More…]

As Capital Tightens, E&Ps Stir the Gumbo

As Capital Tightens, E&Ps Stir the Gumbo

Borrowing Base Redeterminations Kicking into Full Swing Cyclicality in the oil and gas industry is a given.  Across the board in today’s commodity price environment, the E&Ps and the OilService companies that provide them with drilling and completion services have worked hard to right-size costs. Management teams will expand and contract their companies’ drilling activity not necessarily by their doing, but as warranted by the commodity markets.  Companies with the ability to manage through troughs that also have ample capital to meet current and future investment and expenditures–for example, drilling, personnel costs, rent and interest–are rewarded by the market with above average forward valuations. The average Price to Cash Flow per Share ratios of the 301 companies in EnerCom’s database of regularly tracked companies: U.S. E&P, 4.0 times; Canadian E&P, 4.7 times; OilService: 10.3 times; Midstream and non-E&P MLPs: 9.5 times. Oasis Petroleum (ticker: OAS) announced the redetermination of its[Read More…]

October 12, 2015 - 2:38 pm Commodity Pricing, Oil and Gas 360 Articles
PDC Energy – Day Three Breakout Notes

PDC Energy – Day Three Breakout Notes

Bart Brookman, President and Chief Executive Officer of PDC Energy (NASDAQ: PDCE), presented today at EnerCom’s The Oil & Gas Conference 20®. PDC Energy Inc. is a domestic independent exploration and production company that produces, develops, acquires and explores for crude oil, natural gas and NGLs with primary operations in the Wattenberg Field in Colorado and in the Utica Shale in southeastern Ohio. The Wattenberg Field operations are focused on the liquid-rich horizontal Niobrara and Codell plays and the Ohio operations are focused in the condensate and wet gas portion of the Utica Shale play. In its second quarter 2015 results, PDC Energy announced production growth of 15% compared to Q1’15 and 46% compared to Q2’14. Wattenberg well costs decreased to an estimated $3.1 and $4.1 million for standard and extended reach laterals, respectively, compared to 2014. During the company’s breakout session, management was asked the following questions: What kind of impact do line pressures have on some of[Read More…]

August 27, 2015 - 1:54 pm Analytics, Oil and Gas 360 Articles