EOG and GPOR

[dan_s]

Stifel mentioned two of the Sweet 16 in their predictions for Q2 results:

"For EOG, its Eagle Ford well results usually surprise to the upside and we expect Bakken volumes could ramp up from the
weather-related lags impacting 1Q14. However, we believe narrowed Brent diffs and slightly wider Clearbrook diffs do not
bode well for Bakken realized pricing, in 2Q, regardless of rail or pipelines being used."

"Names that may be susceptible to missing consensus CFPS include APA, EQT, GPOR, MHR, and PVA. APA's volumes in the Central region and Australia could be weaker than expected, resulting in production
coming in slightly below consensus. We believe EQT will be impacted by widening regional gas diffs, which are expected
to have widened from $0.25/mcf last quarter to $0.70-0.80/mcf this quarter, bringing our numbers below consensus. We
anticipate that GPOR will be impacted by similar gas diff issues and its volumes are expected to be relatively flat versus
1Q, with gas cuts that will be increasing in the remainder of the year (from 52% in 1Q to 55% in 2Q and 70-75% by 4Q).
This is a slightly higher gas cut than what consensus numbers are reflecting. For MHR, while the company is comfortable
with its 32.5 mboe/d exit rate, we are forecasting 2Q volumes of 17.2 mboe/d, slightly below the consensus of 17.3 and
wider diffs resulting in CFPS of $0.03 versus consensus of $0.09. MHR is not a CFPS story so we do not think that a
CFPS miss will impact the stock. Additionally, we would be buyers of PVA on any potential weakness related to 2Q
numbers, given the strong 2H14 and better than consensus 2015 growth outlook we are projecting. PVA (Buy, $15.57)
and MHR (Buy, $7.64) are two of our favorite small cap names.