- Strathcona Resources (OTCPK:STHRF) Press Release: Fourth Quarter Operating Earnings of $202.1 Million ($0.94 per share)
- Revenue of $1.29 billion (+15.2% y/y).
- Production of 186,064 boe/d (71% oil and condensates, 77% liquids).
- Free Cash Flow of $150.8 million ($0.70 per share).
- View: Strathcona is reducing its 2024 production forecast from 187.5 to 192.5 Mboe per day (from the previous 190 – 195 Mboe per day) and is increasing its forecast weighting of oil to 71% (from 70%) and increasing the expected weighting of total liquids to 78% (from 77%). Guidance on total oil and liquids production remained unchanged. Strathcona’s capital budget of $1.3 billion also remained unchanged.
Production for the first half of 2024 is expected to be essentially stable compared to the fourth quarter of 2023, with growth occurring in the second half of the year, coinciding with the expected in-service date of the Trans Mountain Expansion Pipeline, which should significantly improve local heavy oil prices.