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(WO) – EOG Resources announced its 2024 operating plan, marking increased investment in exploration and drilling at its Delaware Basin assets.
Total spending in 2024 is expected to be in the range of $6.0 billion to $6.4 billion, including exploration and development drilling, facilities, leasehold acquisitions, capitalized interest, dry hole costs and other Includes property, plant and equipment, plant and equipment. However, real estate acquisition, asset retirement costs and other expenses are not included. – Cash exchange and trading. The capital program also excludes certain exploration costs incurred as operating expenses.
The Disciplined Capital Program has allocated approximately $4.3 billion to drill and complete 600 net wells in EOG’s prime domestic regions. Superior capital efficiency resulted in oil production increasing 3%, total volumes increasing 7%, and total direct investment in drilling and completion activities decreasing by ~$100 million year-over-year. This plan is supported by stable year-over-year activity levels at most of EOG’s premium plays, with activity increasing at Ohio Utica plays.
The capital program will also fund investments in environmental and infrastructure projects, including approximately $400 million in strategic infrastructure projects related to EOG’s Delaware Basin and Dorado assets. These projects are expected to bring several long-term benefits to the company, including improved profit margins through higher prices.
“EOG’s business has never been better and our financial position has never been stronger. Our 2024 plan demonstrates a consistent focus on improving our cost structure. Our resource depth across a multi-location portfolio of premium assets provides long-term returns.” “Visibility of high returns and strong free cash flow generation. Competing across sectors and delivering value to shareholders.” Our confidence in EOG’s ability to create and be part of long-term energy solutions has never been higher,” said Ezra Jacob, Chairman and Chief Executive. EOG executive officer.
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