Welcome to our dedicated page for Callon Petroleum Company news (Ticker: CPE), a resource for investors and traders seeking the latest updates and insights on Callon Petroleum Company stock.
Callon Petroleum Company (NYSE: CPE) is an independent oil and natural gas company founded in 1950. The company is dedicated to the acquisition, exploration, and sustainable development of high-quality assets in the Permian Basin, located in West Texas. Callon focuses on growing production and reserves from its oil-weighted, multi-play, multi-pay assets, making it a significant player in the energy sector.
Recently, Callon has been actively involved in several large-scale projects across the Permian Basin. The company's second quarter of 2023 highlighted substantial improvements in its cash operating structure and efficiencies in its capital spending program. Despite reporting a net loss of $107.9 million for the quarter, Callon achieved adjusted EBITDAX of $332.3 million and generated $279.5 million of net cash from operating activities.
Callon has announced a two-year, $300 million share repurchase program aimed at increasing shareholder value, which complements its efforts to reduce debt. This initiative is backed by recent upgrades from rating agencies such as Standard & Poor's and Fitch Ratings. As of June 30, 2023, Callon had approximately $1.1 billion in liquidity and less than $2.0 billion in total debt.
Operationally, Callon's third quarter of 2023 saw the company reorganize its operations group to enhance capital efficiency and capital allocation. These changes have already resulted in improved drilling efficiency and well performance. The company reported net income of $119.5 million, or $1.75 per share, for the third quarter and generated $266.8 million of net cash provided by operating activities.
Despite challenges such as weather-related disruptions and a lower-than-expected oil mix in some areas, Callon continues to optimize its production processes. The company expects to maintain a five-rig drilling program in the Permian Basin through the end of the year, aiming for significant improvements in production and efficiency.
Callon's fourth quarter of 2023 showcased exceptional results, with net income of $169.0 million and adjusted EBITDAX of $325.8 million. The company achieved above-guidance production levels and reported significant reductions in well costs, positioning itself strongly for 2024.
The pending merger with APA Corporation is expected to further enhance Callon's value proposition. This merger will expand Callon's Permian footprint and leverage best practices and technical expertise from both companies, driving incremental gains in performance.
Environmental, Social, and Governance (ESG) initiatives are also a priority for Callon. The company has made significant progress in reducing greenhouse gas emissions, reaching its 2024 goals a year earlier than expected.
Overall, Callon Petroleum Company is committed to delivering value to its shareholders through strategic acquisitions, operational efficiency, and sustainable development of its assets.
U.S. Well Services (NASDAQ: USWS) announced a new contract with Callon Petroleum (NYSE: CPE) to provide electric pressure pumping services in the Permian Basin and Eagle Ford Shale for up to three years. This partnership follows a successful field trial that eliminated 270,000 gallons of diesel fuel and significantly reduced greenhouse gas emissions while achieving over 160 frac stages. U.S. Well Services aims to enhance operational performance and fuel cost savings through its all-electric Clean Fleet technology, promoting safety and environmental stewardship.
Callon Petroleum Company (NYSE: CPE) reported strong Q3 2021 results with production averaging 99.7 MBoe/d (64% oil) and net income of $171.9 million, or $3.65 per share. Adjusted free cash flow reached $119.5 million and adjusted EBITDA was $292.2 million. The company finalized the acquisition of Delaware Basin assets for $453.7 million and agreed to divest non-core assets for approximately $210 million. Additionally, Callon converted $197 million of second lien debt into common shares, reducing future interest expenses by nearly $20 million annually. The company's outlook remains positive, focusing on efficient operations and debt reduction.
Callon Petroleum Company (NYSE: CPE) has successfully acquired leasehold interests and related oil, gas, and infrastructure assets from Primexx Energy Partners. The integration of these high-quality assets into Callon’s Permian Basin operations aims to enhance free cash flow and improve overall balance sheet health. Additionally, the company plans to divest non-core acreage in the Eagle Ford Shale for approximately $100 million, further supporting its financial strategy. Production guidance for Q3 has been raised to 98.5 - 99.5 MBoe/d due to strong performance, indicating a positive outlook for the remainder of 2021.
Callon Petroleum Company (NYSE: CPE) announced participation in the Barclays' 2021 CEO Energy-Power Virtual Conference. CEO Joe Gatto will join a webcast fireside chat on September 8, 2021, at 9:55am Central. Investors can access the presentation through the Company's website under the 'Investors' section. Callon is focused on acquiring, exploring, and developing oil and natural gas assets in South and West Texas.
Callon Petroleum Company (NYSE: CPE) announced an agreement to acquire Primexx Energy Partners for approximately $788 million. Primexx holds 35,000 net acres in the Delaware Basin and produced around 18,000 Boe/d in Q2 2021, of which 61% is oil. The deal aims to enhance shareholder value, improve cash margins, and accelerate debt reduction to below 2.0x net debt to adjusted EBITDA by year-end 2022. The acquisition, along with a related debt exchange with Kimmeridge, is projected to generate nearly $1.2 billion in adjusted free cash flow through 2023.
Callon Petroleum Company reported second quarter 2021 results, achieving production of approximately 89.0 MBoe/d (63% oil) and generating net cash from operations of $175.6 million, with adjusted free cash flow of $6.9 million. The company faced a net loss of $11.7 million due to a $190.5 million loss on derivative contracts, but improved adjusted EBITDA to $196.8 million. Notably, Callon completed the divestiture of non-core assets for $30.7 million and issued $650 million in senior unsecured notes, enhancing its credit profile with upgrades from Moody's and S&P.
Callon Petroleum Company (NYSE: CPE) will host a conference call on August 4, 2021, at 8:00 a.m. Central Time to discuss its second quarter 2021 financial results. The company plans to release its financial results after market close on August 3, 2021. Interested parties can access the call via www.callon.com and find an archive of the webcast under the "Investors" section. Callon Petroleum is focused on the exploration and development of oil and natural gas assets in South and West Texas.
Callon Petroleum Company (NYSE: CPE) has priced a $650 million offering of 8.00% senior unsecured notes due 2028. The private offering is exempt from registration under the Securities Act and is set to close on July 6, 2021. Additionally, Callon will redeem all its outstanding $542.7 million of 6.25% Senior Notes due 2023 on July 21, 2021, using proceeds from this offering. The company aims to enhance its capital structure by allocating remaining proceeds to repay amounts under its revolving credit facility.
On June 21, 2021, Callon Petroleum Company (NYSE: CPE) announced its intention to offer $650 million of senior unsecured notes due 2028. The proceeds will be utilized to redeem $542.7 million of existing 6.25% Senior Notes due 2023 and to partially repay its senior secured revolving credit facility. The offering will be exempt from registration under the Securities Act and offered only to qualified institutional buyers. The company focuses on high-quality oil and gas asset acquisition, exploration, and development in South and West Texas.
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