Earnings Highlights APA, CIVI, HP, & OXY

Apache Corporation (APA)
Apache has achieved significant enough efficiency gains from drilling in the Permian that the company can reduce rigs from 8 to 6 and still maintain current production and operations. As a result, the company is able to reduce capital guidance by $150 million while remaining within the company’s original U.S. oil production guidance range.

Given current market conditions, the company is in the process of reducing activity to 6 rigs from 8 rigs in the Permian by the end of the second quarter and adjusting its completion schedule to align with this cadence. For 2025, Apache is maintaining its full-year U.S. oil production guidance range of 125,000 to 127,000 barrels per day.

Apache entered into certain natural gas basis swap agreements for the second through fourth quarters of 2025 on roughly two thirds of the company’s firm transport capacity from the Permian to the Gulf Coast.


Civitas Resources (CIVI)
Civitas Resources is reiterating their full year 2025 production outlook. However, the company is positioned to adjust activity levels lower should market conditions deteriorate further.

In response to current market volatility, the company has removed over $150 million of capital when announcing the Company’s original 2025 plan and to sustain activity rather than adding capex to maintain 2024 production levels.

Nearly 50% of Civitas’ remaining 2025 oil production is hedged with an average floor price of $68 per barrel WTI. Approximately 40% of the company’s remaining 2025 natural gas production is hedged with an average floor price of $3.74 per MMBtu.


Helmerich & Payne (HP)
Looking ahead, HP expects a modestly lower rig count as market volatility overrides any potential incremental demand. The company’s North American rig count ended March 31, 2025, at 149 rigs. North American average rig count is expected to be approximately 143-149 contracted rigs during the April through June period.


Occidental Petroleum (OXY)
Strong operational performance drove first quarter operating cash flow of $2.1 billion and operating cash flow before working capital of $3.0 billion. OxyChem exceeded guidance with pre-tax adjusted income of $215 million.

Oxy is reducing the mid-point of 2025 capital guidance by $200 million and domestic operating costs by $150 million, driven by continued operational efficiency gains and schedule optimization in the Permian and Gulf of America.

Drilling duration per well improved 17% from 2024, supporting an 18% reduction in drilling costs. The company’s full year 2025 production guidance is unchanged from the prior reporting quarter.