Alaska brightens ConocoPhillips’ dismal earnings report
JUNEAU, Alaska (AP) — Alaska is a bright spot in ConocoPhillips’ third quarter earnings.
The region was alone in bringing in positive cash flow for a company with third-quarter losses totaling $1.04 billion worldwide, reported the Alaska Journal of Commerce (http://bit.ly/2eoy0lx ).
Chief Financial Officer Don Wallette Jr. told investors the company cut operating expenses and has taken other steps.
“Financially, we are very well positioned,” he said.
Wallette said $1.23 billion in operating cash flow was generated during the quarter, paying capital costs and dividends.
Investors were paid 25 cents per share in June. The company plans to pay dividends of 25 cents per share on Dec. 1.
The quarter’s capital project spending totaled $199 million in Alaska compared to $304 million during the same time period in 2015.
ConocoPhillips is focused on exploration and production, making it more vulnerable to low commodity prices than some other companies.
Alaska North Slope crude averaged a price of $43.43 in the third quarter.
Crude oil production in the state improved 2.7 percent year-over-year.
ConocoPhillips announced in September that it’s most recent North Slope Colville River Unit development was exceeding its production goal by about 25 percent.
The company released its third quarter financial report Thursday.
Information from: (Anchorage) Alaska Journal of Commerce, http://www.alaskajournal.com