EOG Resources Exceeds Expectations with Q3 Earnings Boosted by Increased Production

Post by : Bianca Suleiman

EOG Resources reported impressive third-quarter results on Thursday, managing to navigate lower oil prices thanks to a significant rise in production and flourished natural gas revenues.

The U.S. oil and gas company recorded an adjusted profit of $2.71 per share, surpassing the analysts’ average prediction of $2.43, according to LSEG data.

Despite benchmark Brent crude prices declining over 13% year-on-year during this quarter, EOG offset this drop with strong output from its U.S. shale operations. Production soared to 1.3 million barrels of oil equivalent per day (boepd), a rise from 1.08 million boepd compared to the same time last year.

This growth stems from the firm's expansion in the Utica and Marcellus regions after acquiring Encino Acquisition Partners for $5.6 billion earlier this year. EOG also showcased strong performance from its Delaware Basin, Eagle Ford, and Utica shales, bolstered by contributions from its international assets.

Looking ahead, the Houston-based company anticipates production to lie between 1.35 million and 1.39 million boepd in the next quarter, with full-year expectations between 1.21 million and 1.23 million boepd.

Although the average realized price for oil dipped 14.2% to $65.95 per barrel, natural gas prices surged by 36% to $2.80 per thousand cubic feet, mitigating the effects of declining crude prices.

EOG’s consistent output growth and strategic diversification across key shale regions establish it as one of the most resilient entities in the U.S. energy landscape amid a fluctuating oil market.