WPX reported fourth-quarter 2019 oil volumes of 111,700 barrels per day, which was 16 percent higher vs. a year ago and 3 percent higher than third-quarter 2019.
Excluding forward mark-to-market losses on derivatives and other items, WPX posted adjusted net income from continuing operations (a non-GAAP financial measure) in fourth-quarter 2019 of $42 million, or income of $0.10 per share.
Cash flow from operations, inclusive of hedge impact, was $1,257 million in 2019, including $351 million in the fourth quarter.
Free cash flow in the second half of the year was $101 million, including $56 million in the fourth quarter. A reconciliation of free cash flow accompanies this release.
“Quite simply, we achieved or exceeded our 2019 targets and accelerated our longer-term targets,” said Rick Muncrief, WPX chairman and chief executive officer.
“We displayed discipline in our capital budget, generated free cash flow in the back half of the year, began returning capital to stockholders a year ahead of schedule, and generated handsome returns on two of our midstream investments.”
Delaware Basin production increased 23 percent year-over-year, rising from an average of 78.2 Mboe/d in 2018 to 96 Mboe/d in 2019.
Williston Basin production increased 45 percent year-over-year, rising from an average of 48.9 Mboe/d in 2018 to 70.9 Mboe/d in 2019.
Oil and NGL sales of $583 million accounted for 97 percent of WPX’s fourth-quarter total product revenues of $601 million. Quarterly oil revenue grew 20 percent vs. the same period in 2018 driven by higher production volumes. Total oil sales in 2019 were just over $2 billion.