EOG Resources (EOG)
Posted: Tue Dec 27, 2016 10:16 am
EOG has upside to my valuation of $110/share. This "Core Holding" has very little production hedged, so it has a lot of exposure to rising oil & gas prices. It is also getting outstanding well results. Comments below from Raymond James on 12/27/2016.
> EOG announced record wells in the Delaware Basin with an average IP of 3,400 Boe/d. While the company did not upgrade the standard area type curve to account for such a production profile, we believe the company could make such a move in the future.
> With the company’s acquisition of Yates Petroleum, EOG now possesses 150,000 acres in the Northwest Shelf area (New Mexico). The company hopes to begin testing the acreage in 2017.
> North Dakota: The company drilled its first successful second bench test into the Three Forks, producing at an IP rate of 3,150 BOPD.
> EOG announced record wells in the Delaware Basin with an average IP of 3,400 Boe/d. While the company did not upgrade the standard area type curve to account for such a production profile, we believe the company could make such a move in the future.
> With the company’s acquisition of Yates Petroleum, EOG now possesses 150,000 acres in the Northwest Shelf area (New Mexico). The company hopes to begin testing the acreage in 2017.
> North Dakota: The company drilled its first successful second bench test into the Three Forks, producing at an IP rate of 3,150 BOPD.