Northern Oil and Gasoline Inc. reported a fourth quarter 2023 internet revenue of $388.9 million, up from $145 million for the corresponding quarter a yr prior. The corporate mentioned in a media launch that fourth quarter 2023 outcomes had been positively impacted by oil and pure gasoline gross sales.
Oil and pure gasoline gross sales for the fourth quarter have been $543.4 million, a rise of twenty-two p.c over the prior yr interval. Oil and pure gasoline gross sales for full yr 2023 have been $1.9 billion. Internet revenue for 2023 stood at $923.0 million, versus $773.2 million a yr prior.
“NOG closed out 2023 in file style”, commented Nick O’Grady, NOG’s Chief Govt Officer. “Our oil and complete volumes grew to all-time highs and we generated file money stream from operations, whereas we noticed our leverage ranges decline meaningfully yr over yr, even in a yr of decrease commodity costs”.
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“As we glance out to 2024, our plan delivers standout 20 p.c manufacturing development and important money era that may present flexibility to additional improve returns. We’ve got nice choices to ship further shareholder returns, development and different worth enhancing measures”.
Fourth quarter manufacturing was 114,363 barrels of oil per day (boepd), a forty five p.c improve from the prior yr interval. Oil manufacturing grew over 5,300 barrels per day (bpd), or 8.0 p.c sequentially and represented 60.2 p.c of manufacturing within the fourth quarter.
NOG had 27.6 internet wells turned in line throughout the fourth quarter, in comparison with 22.6 internet wells turned in line within the third quarter of 2023.
Through the fourth quarter, NYMEX West Texas Intermediate (WTI) crude oil averaged $78.53 per barrel, and NYMEX pure gasoline at Henry Hub averaged $2.92 per Mcf. NOG’s unhedged internet realized oil value within the fourth quarter was $74.51 per barrel, representing a $4.02 differential to WTI costs.
Capital spending for the fourth quarter, excluding non-budgeted acquisitions and different objects, was $260.0 million. This was comprised of $154.1 million of natural drilling and completion (D&C) capital and $105.9 million of complete acquisition spending, inclusive of floor recreation D&C spending, the corporate mentioned.
Complete 2023 capital expenditures, excluding non-budgeted acquisitions have been $917.1 million, above expectations pushed by important floor recreation alternatives executed and an acceleration of completion exercise within the third and fourth quarters.
At the beginning of February 2024, NOG closed its November 2023 acquisitions of non-operated property within the Utica and Northern Delaware Basins. At closing, NOG acquired roughly 3,000 internet acres within the Delaware Basin in addition to producing and in-process properties in each the Delaware and Utica Basins. The preliminary closing settlements totaled $162.2 million in money plus a $17.1 million deposit paid at signing in November 2023.
Wanting ahead to 2024, NOG anticipates roughly 115,000–120,000 boepd of manufacturing, a rise of roughly 20 p.c on the midpoint from 2023 ranges. NOG at the moment expects complete capital spending within the vary of $825–$900 million for 2024 with roughly 50 p.c of its 2024 finances to be spent on the Permian, 35 p.c on the Williston, and one p.c on the Appalachian. The rest of the finances is for Floor Sport capital and elevated workover and different objects, NOG mentioned.
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