Noble Energy -3.6% as higher expenses masked a strong revenue rise

|About: Noble Energy, Inc. (NBL)|By:, SA News Editor

Noble Energy (NBL -3.6%) is sharply lower after Q2 earnings were cut in half from a year ago, as higher expenses masked a rise in revenue.

Q2 revenue rose 20% Y/Y to $1.38B, total sales volumes jumped 13%, average realized prices for crude oil and condensates rose 5.9%, while average realized prices gained 15% for natural gas liquids and 10% for natural gas.

Total oil and gas production rose 14% to 290K boe/day; NBL expects to produce 290K-305K boe/day in Q3 and 310K-330K boe/day in Q4.

While production from the Denver-Julesburg basin rose in the quarter, NBL says the output fell below its expectations due to downtime at a third-party processing plant and facility upgrades at more than 60 wells.

Total operating expenses for Q2 rose 8.4%.