W and T Offshore's Strong Earnings, Lower Debt

0:00This is Cory with the story, and here's what is making news across Durham right now. W&T Offshore just wrapped up a solid year with their latest earnings report, showing steadier operations in the Gulf of Mexico. Production rose each quarter, hitting an average of 34,000 barrels of oil, equivalent per day for the full year, up from 30,000, 800 the year before. Fourth quarter output reached 36.2000 barrels per day, while adjusted earnings before interest, taxes, depreciation, and... Emeritization came in at $129.6 million. Cash on hand climbed to $140.6 million, and net debt dropped to $210.3 million from two. $184.2 million. That stronger balance sheet is the more room to maneuver without big spending plans. Capital expenditures for last year totaled just $54.8 million. Under their guidance, and they expect only $19.5 million to $24.5 million in spending this year.

1:03Instead of new drilling, they're focusing on workovers, recompletions, and smart acquisitions to boost output from existing fields. The company operates in 50 fields offshore, mostly in federal waters, across about 624,700 gross acres. Investors like the Financial Discipline, especially with total debt down to $350.8 million, and recent moves to cut. Interest costs by 100 basis points through new notes and a credit facility. Key projects are paying off, too, like the West Delta 73 route, which cost about $19.8 million, but should generate. Over $60 million in cash flow, and cut transport costs, by more than $5.75 per barrel starting this quarter. They also finished enhancements from the Cox acquisition, supporting higher December production. Looking ahead, watch for accretive deals with their improved liquidity, though risks like softer commodity prices, weather disruptions, and high. Abandonment costs linger. Management kept the quarterly dividend at one cent per share,

2:06marking nine straight payouts since late last year. Thanks to our sponsor for supporting today's coverage. You know what is better than earbuds and bed? No earbuds at all. S-O-L-I, solely pillow.com.