US producers see decline in first quarter earnings

US major producers of oil and gas reported losses of $1.3 billion in the first quarter of this year compared to $30.8 billion of net income for the same period last year.

Offshore staff

WASHINGTON, DC -- US major producers of oil and gas reported losses of $1.3 billion in the first quarter of this year compared to $30.8 billion of net income for the same period last year. US Independent producers reported losses of $2.7 billion in the first quarter compared to $800 million of net income in the first quarter of 2008.

This is based on a survey of US oil and gas producers from Energy Information Administration’s Financial Reporting System, which represents about half of US oil and gas production.

Majors’ capex in the first quarter declined slightly year-over-year from $22 billion to $21.8 billion, according to the survey. Despite the decline in capex, majors’ oil and gas production continued to grow in the first quarter. This is a result of the carryover impact of higher capex in previous quarters, EIA explains.

Meanwhile, oilfield company net income dropped 22% in the first quarter from the same period last year.

06/19/2009

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