Cimarex (XEC)

[dan_s]

XEC is really a great company. It is a gasser that is now focused on increasing their oil production (same can be said for EOG and NFX).

DENVER (AP) -- Cimarex Energy Co. said Wednesday that third-quarter earnings more than tripled as oil and gas prices increased and the company cranked up production.

The Denver oil and gas exploration company reported net income of $128.2 million, or $1.50 per share, for the three months ended Sept. 30. That compares with $38.7 million, or 46 cents per share, a year ago. Revenue increased 52 percent to $378.6 million from $248.1 million..

Analysts had expected earnings of $1.51 per share on revenue of $395.9 million.

Cimarex said it benefited as petroleum prices rose year-over-year. Gas prices increased 18 percent to $4.48 per 1,000 cubic feet and oil prices improved 14 percent to $73.20 per barrel. The company increased production of oil and natural gas by 36 percent compared to a year ago, bolstered by strong yields from its fields in the western Oklahoma Cana-Woodford shale, Permian Basin and southeast Texas Gulf Coast regions.

The company said it expects to produce between 580 million and 610 million cubic feet of gas equivalent per day in the final three months of the year.