Houston-based Newfield Exploration Company, one of the most active energy firms in Oklahoma’s oil plays reports reported a net loss of $624 million in its first quarter of 2016. It amounted to a loss of $3.52 per diluted share as the company blamed much of the loss on a full-cost ceiling test impairment of $506 million.
After adjusting for the effect of impairments, credit facility amendment fees and unrealized derivative losses, the net loss would have been $16 million.
Revenues for the quarter were $284 million while net cash came to $72 million.
Net production in the quarter was 15.2 MMBOE comprised of 46% oil, 16% natural gas liquids and 38% natural gas. Newfield indicated it increased its 2016 domestic net production guidance to the range of 50 to 52 MMBOE, topping the previous forecast of 49-51 MMBOE.
The company indicated it intends to begin drilling later in the year on spacing pilots in the STACK and the pilots will test well spacing and include multiple wells on single pad locations. The company said it estimates it will be able to conduct the pilots within its previously stated 2016 capital investment outlook of $625-$675 million.
