Whiting Petroleum Corporation announced on March 16 that the company is taking measures to reduce activity given recent commodity prices and has adopted a revised capital budget range of $400 to $435 million. At the midpoint, this represents a $185 million or 30 percent decrease relative to their prior 2020 capital budget. Whiting expects to drop one rig and one completion crew within the next month. The capital reduction is projected to have a moderate impact on full-year 2020 total production and oil production. The company plans to provide formal guidance ranges when it releases first quarter 2020 financial and operating results.
Bradley J. Holly, Whiting’s chairman, president and CEO, commented, “In light of the volatility in commodity prices, we have immediately reduced our development activity and plan to maintain a lower level until we see a sustained commodity price recovery. This new spending plan preserves our liquidity while improving capital efficiency. Increased operating efficiencies and strong well performance underpin this plan, and we continue to focus on enhancing cash flow by working with our service providers to further lower well costs and increase well productivity. In addition, we remain on track to exceed our cost reduction goals for lease operating expense and G&A.”
About Whiting Petroleum Corporation
Whiting Petroleum Corporation, a Delaware corporation, is an independent oil and gas company that explores for, develops, acquires and produces crude oil, natural gas and natural gas liquids primarily in the Rocky Mountain region of the United States. The Company’s largest projects are in the Bakken and Three Forks plays in North Dakota and Niobrara play in northeast Colorado. The Company trades publicly under the symbol WLL on the New York Stock Exchange. For further information, please visit http://www.whiting.com.by