Business
Diamondback Energy, Inc. Announces First Quarter 2020 Financial and Operating Results
MIDLAND, Texas, May 04, 2020 (GLOBE NEWSWIRE) -- Diamondback Energy, Inc. (NASDAQ: FANG) (“Diamondback” or the “Company”) today announced financial and
About this update from Diamondback Energy, Inc.
[{"type":"text","content":"MIDLAND, Texas, May 04, 2020 (GLOBE NEWSWIRE) -- Diamondback Energy, Inc. (NASDAQ: FANG) (“Diamondback” or the “Company”) today announced financial and operating results for the first quarter ended March 31, 2020.\n FIRST QUARTER 2020 HIGHLIGHTS Q1 2020 average production of 201.4 MBO/d (321.1 MBOE/d), with average oil production up 3% over Q4 2019 and up 12% over Q1 2019Q1 2020 net loss of $272 million; adjusted net income (as defined and reconciled below) of $230 million, or $1.45 per diluted shareQ1 2020 Consolidated Adjusted EBITDA (as defined and reconciled below) of $713 million; adjusted EBITDA net of non-controlling interest of $670 millionQ1 2020 capital expenditures of $790 million; turned 80 gross operated horizontal wells to productionDeclared Q1 2020 cash dividend of $0.375 per share payable on May 21, 2020; implies a 3.7% annualized yield based on the May 1, 2020 share closing price of $40.28Standalone liquidity of $1.9 billion as of March 31, 2020Q1 2020 cash operating costs of $8.52 per BOE; including cash general and administrative (\"G&A\") expenses of $0.51 per BOE DIAMONDBACK'S RESPONSE TO COMMODITY PRICE VOLATILITY Immediately ceased all completion operations in early March 2020 for minimum of one monthHedged ~100% of expected 2020 oil production, including basis differentials and a majority of WTI contract roll exposure; removed all three way collar hedge exposure to maximize downside protectionHedged approximately 50% of expected 2021 oil production in the form of swaps and two way collarsThe Company plans to voluntarily curtail 10 - 15% of expected May 2020 oil production in areas where the Company can manage production economically and without the addition of material operating expense. Diamondback will continue to monitor whether additional strategic curtailments are warranted in June and beyondImmediately reduced full year 2020 capital budget by over 40%, with run rate activity based capital spend 60% below original 2020 expectationsPlans to average less than one completion crew in Q2 2020 to meet leasehold obligations, and will assess bringing completion crews back to work in Q3 2020 depending on commodity pricesExpects to complete less than 10% of its estimated full year 2020 completed gross well count in Q2 2020Currently operating 14 drilling rigs, plans to enter Q3 2020 running eight drilling rigs ...