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Carrizo Oil & Gas, Inc. (CRZO)

  • Tue, Jan. 27, 7:59 AM
    • Carrizo Oil & Gas (NASDAQ:CRZO) announces a 2015 drilling and completion capex plan of $450M-$470M, a ~35% decline from 2014 spending.
    • Reports preliminary total production estimate for Q4 is 37.7K boe/day and 22.1K bbl/day of oil, both exceeding the high end of company guidance.
    • CRZO increasing its type curve EUR for the Eagle Ford Shale to 510K boe per well from 499K boe due to continued strong performance across its position.
    • In the Utica Shale, CRZO's second well, the Brown 1H, was brought online Jan. 15, which averaged 502 bbl/day of condensate and 1.1M cf/day of rich natural through the first five days of production.
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  • Wed, Jan. 21, 2:03 PM
    • “Companies will start to sell off the family silver” amid sustained low oil prices, and Halcon Resources (NYSE:HK) and Goodrich Petroleum (NYSE:GDP) are among energy companies that need to keep an eye on their liquidity the most and are thus the most likely candidates to sell assets, analysts say.
    • HK has the most debt relative to its market value among similar-sized North American peers, according to Bloomberg data, and its plan to cut 2015 drilling to just three rigs vs. earlier plans for as many as 11 opens up the possibility that it could try to sell some of the acreage where it is not currently drilling, SunTrust's Neal Dingmann says.
    • Analysts also tab Clayton Williams Energy (NYSE:CWEI), Denbury Resources (NYSE:DNR) and Penn West Petroleum (NYSE:PWE) as energy companies most likely to sell assets.
    • Also, Dingmann names top Bakken producers Continental Resources (NYSE:CLR) and Whiting Petroleum (NYSE:WLL) as potential targets of takeover interest as producers with stronger balance sheets that have become more affordable with oil’s plunge; other analysts mention Carrizo Oil & Gas (NASDAQ:CRZO) and PDC Energy (NASDAQ:PDCE) as potential candidates.
  • Wed, Jan. 14, 3:59 PM
    • While Imperial Capital cuts 2015 earnings estimates across its coverage area of small-cap energy exploration companies, it raises its stock price targets on Carrizo Oil & Gas (NASDAQ:CRZO) and Synergy Resources (NYSEMKT:SYRG) based upon strong liquidity positions and low breakevens.
    • CRZO is a low-cost Eagle Ford producer that achieves above breakeven returns at $50/bbl crude pricing at current cost structure, growing to more than 40% with expected cost reductions; the firm says CRZO boasts best-in-class execution, noting the company raised its guidance several times last year due to its geological and geophysical  operations teams’ ability to improve performance.
    • SYRG is one of the best-positioned companies in the group and does not need to reduce capex to improve liquidity, with subsequent lower earnings jeopardizing debt covenants; even after a recent $125M acreage acquisition, SYRG maintains a very low level of debt, with a calendar 2015 net debt/EBITDA ratio of 1.0x and liquidity coverage of 2.0x.
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  • Dec. 17, 2014, 2:20 PM
    • New York Gov. Cuomo's administration says it will ban fracking statewide, citing health concerns and what it considers as limited economic benefits to drilling.
    • NY's acting health commissioner said at a cabinet meeting in Albany today that studies on fracking’s effects on water, air and soil are inconsistent, incomplete and raise too many “red flags” for the state to allow it; the state Department of Environmental Conservation will now issue a legally-binding recommendation prohibiting fracking.
    • The state has had a de facto moratorium on fracking for more than six years, so nothing really changes with today's decision.
    • Parts of New York sit atop the gas-rich Marcellus shale formation, whose top producers include CHK, RRC, RDS.A, RDS.B, TLM, APC, ATLS, COG, CVX, CNX, EQT, EOG, XOM, WPX, XCO, CRZO, SWN, AR.
  • Dec. 5, 2014, 5:38 PM
  • Nov. 6, 2014, 10:59 AM
    • Carrizo Oil & Gas (CRZO -1.2%) is lower despite reporting Q3 results that surpassed analyst estimates on both EPS and total revenues, buoyed by strong production from its Eagle Ford and Marcellus shale assets.
    • CRZO says Q3 production volumes totaled 33,587 boe/day, up 12% Y/Y, and raises its 2014 crude oil production growth target to 63%.
    • Drilled 15 gross operated wells in the Eagle Ford shale during the quarter, and recently began completion operations at its second operated well in the Utica Shale.
    • Says it continues to evaluate midstream solutions for its Utica production, with negotiations at "an advanced stage."
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  • Nov. 6, 2014, 6:34 AM
    • Carrizo Oil & Gas (NASDAQ:CRZO): Q3 EPS of $0.69 beats by $0.05.
    • Revenue of $196.2M (+35.9% Y/Y) beats by $9.47M.
    • Press Release
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  • Nov. 5, 2014, 5:30 PM
  • Oct. 28, 2014, 11:32 AM
    • U.S. energy company CEOs remain confident they can still make money in a world of $80 crude oil prices, according to a Bloomberg report.
    • The industry is used to price swings, Halliburton (NYSE:HAL) CEO David Lesar tells Bloomberg; if crude floats at $80-$100, "that’s a range that the service industry and our customers can easily live within."
    • “We think there’s a lot of economic oil at $75... meaning we earn 15%, 16%, 17% returns,” Occidental (NYSE:OXY) CEO Stephen Chazen said during OXY's earnings conference call last week.
    • Harold Hamm of Continental Resources (NYSE:CLR) even says prices could fall to $50/bbl before he would start worrying, and tells CNBC that his company has not yet altered any drilling schedules in response to the drop in crude prices.
    • Some of the best operators can profit at low prices because they’re learning how to drill wells more efficiently and getting more production at lower costs; SM Energy (NYSE:SM) is getting 40% more production for a 10% increase in the cost of each well, and Carrizo Oil & Gas (NASDAQ:CRZO) has nearly doubled its cash flow/bbl from two years ago.
  • Oct. 27, 2014, 11:14 AM
    • Carrizo Oil & Gas (CRZO -4.6%) says Q3 production volumes averaged 33,587 boe/day, up 12% Y/Y and up 1% Q/Q, which the company says was driven by strong results in each of its operating regions and more than offset the sale of Barnett Shale properties during Q4 2013.
    • Q3 oil production averaged ~20K bbl/day, up 64% Y/Y and 8% Q/Q, while natural gas and NGL production averaged 81.5K cfe/day.
    • CRZO says it completed the acquisition of Eagle Ford Shale assets from Eagle Ford Minerals for $250M, and will fund the deal through an offering of $250M of senior notes due 2020.
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  • Aug. 28, 2014, 10:58 AM
    • The Marcellus region is now the world's biggest natural gas shale play, and there’s still $90B to be made by tapping the area’s reserves, according to a study by Wood Mackenzie.
    • The energy consultant predicts that the top 20 operators in the Marcellus will earn nearly $86B over the life of the play after the costs of reaching the reserves; for comparison, it estimates ~$118B to be made by extracting the resources in North Dakota’s Bakken region, but most production there is higher-priced oil.
    • Major Marcellus shale producers include CHK, RRC, RDS.A, RDS.B, TLM, APC, ATLS, COG, CVX, CNX, EQT, EOG, XOM, WPX, XCO, CRZO, SWN, AR.
  • Aug. 20, 2014, 6:22 PM
    • Oil and gas producers in the Midland Basin, part of the larger Permian Basin, may run up against higher costs in the coming months, while those in the Delaware Basin should enjoy expanded production opportunities, Sterne Agee analyst Tim Rezvan says.
    • Commentary from this week's EnerCon Oil & Gas Conference in Denver suggest that "pricing power is swinging back to the service providers, Rezvan says, while noting that Energen (NYSE:EGN) is one Midland producer that does not see cost inflation as an issue; EGN says it likely will add at least two horizontal rigs in the basin in 2015, and does not see problems getting rigs with one- to three-year contracts.
    • Meanwhile, the Delaware Basin - also part of the Permian - remains relatively under the radar, with strong oil cuts and prolific three-stream production rates present across much of the basin, according to Rezvan.
    • Carrizo Oil & Gas (NASDAQ:CRZO) seems particularly bullish on prospects in the Delaware, Rezvan says, as management sees ample opportunities to bolt on more acreage to its initial 17K net acre position.
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  • Aug. 5, 2014, 7:17 PM
    • Natural gas production in the Marcellus region exceeded 15B cf/day in July, the most productive period ever recorded there, according to a new report from the U.S. Energy Information Administration.
    • Marcellus, located mostly in West Virginia and Pennsylvania, now accounts for nearly 40% of total U.S. shale gas production, and its rapid growth isn’t expected to ebb soon, the report says.
    • New wells in the region are expected to deliver another 600M cf/day, more than offsetting decline rates, for a net production increase of 247M cf/day.
    • Major Marcellus shale producers include CHK, RRC, RDS.A, RDS.B, TLM, APC, ATLS, COG, CVX, CNX, EQT, EOG, XOM, WPX, XCO, CRZO, SWN.
  • Aug. 5, 2014, 6:32 AM
    • Carrizo Oil & Gas (NASDAQ:CRZO): Q2 EPS of $0.70 beats by $0.02.
    • Revenue of $193.5M (+44.2% Y/Y) beats by $21.08M.
    • Press Release
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  • Aug. 4, 2014, 5:30 PM
  • Aug. 4, 2014, 2:31 PM
    • Noble Energy (NBL +5.8%) and Anadarko Petroleum (APC +5.3%) spike higher on news of an agreement to remove anti-fracking initiates from the ballot in Colorado.
    • Gov. Hickenlooper and U.S. Rep. Polis are forming a task force to craft regulations to minimize conflicts over the siting of oil and gas facilities in Colorado; under the proposal, two initiatives aimed at tightening controls would be withdrawn and two initiatives considered pro-industry also would be pulled.
    • Wells Fargo views the deal as a positive for companies with exposure to the Denver-Julesburg Basin, including NBL, APC, Bill Barrett (BBG +4.8%), PDC Energy (PDCE +10.1%), Whiting Petroleum (WLL +4.5%) and Carrizo Oil & Gas (CRZO +4.3%).
CRZO vs. ETF Alternatives
Company Description
Carrizo Oil & Gas Inc is an oil & gas exploration, development & production company. It explores in Eagle Ford Shale in South Texas, the Niobrara Formation in Colorado, the Marcellus Shale in Pennsylvania & the Utica Shale in Ohio.