Chord Energy Corporation recently released its 10-Q report, providing a detailed look at its financial performance and operations. Chord Energy is an independent exploration and production company that focuses on acquiring, exploring, developing, and producing crude oil, natural gas, and natural gas liquids primarily in the Williston Basin. The company, headquartered in Houston, Texas, sells its products to refiners, marketers, and other purchasers with access to nearby pipeline and rail facilities.
In the 10-Q report, under Item 2 – Management’s Discussion and Analysis of Financial Condition and Results of Operations, Chord Energy discusses the market conditions and commodity prices that significantly impact its revenue, profitability, and ability to return cash to shareholders. The report highlights the company's efforts to manage its commodities marketing activities in-house and utilize derivative financial instruments to manage commodity price risk.
One significant development outlined in the report is the completion of the Arrangement with Enerplus Corporation on May 31, 2024. This transaction resulted in Chord Energy acquiring Enerplus in a stock-and-cash transaction, expanding its operations primarily in the Williston Basin. As part of the arrangement, Chord Energy issued 20,680,097 shares of common stock and paid $375.8 million in cash to Enerplus shareholders.
The report also provides operational and financial highlights, including production volumes, E&P and other capital expenditures, lease operating expenses, net cash provided by operating activities, and net income for the second quarter of 2024. Notably, production volumes averaged 207,187 Boepd (57% oil), with crude oil volumes reaching 118,143 Bopd during the same period. Additionally, Chord Energy paid a base-plus-variable cash dividend, repurchased common stock, and declared a base-plus-variable cash dividend for its shareholders.
In terms of revenues, the report details the company's revenue sources, including crude oil, NGL, and natural gas revenues, as well as purchased oil and gas sales. The revenues for the three and six months ended June 30, 2024, increased due to the Arrangement with Enerplus, which expanded Chord Energy's operations primarily in the Williston Basin.
Following these announcements, the company's shares moved -1.5%, and are now trading at a price of $151.15. Check out the company's full 10-Q submission here.
