|Cabot Oil & Gas Corporation Announces Private Placement of Senior Unsecured Notes and Eagle Ford Shale Acquisition, Provides Update on Share Repurchase Program|
Private Placement of Senior Unsecured Notes
The Company recently closed a private placement of senior unsecured notes to a group of institutional investors. In total, the Company raised
Eagle Ford Shale Acquisition
Cabot recently entered into a definitive purchase and sale agreement to acquire approximately 30,000 net acres in the
"In addition to the number of new locations, this acreage will allow synergies in our operations on many fronts including infrastructure and facility utilization," commented
Share Repurchase Program
Since the second quarter conference call, the Company has repurchased approximately 2.7 million shares. The Company has approximately 11.7 million shares remaining under its share repurchase program. "We continue to believe that there is a meaningful disconnect between the long-term value creation provided by our assets and our current market valuation," stated Dinges. "As a result, we will continue to be opportunistic on share repurchases without compromising the financial flexibility that is provided by our strong balance sheet."
As a result of the addition of a fourth rig in the Eagle Ford, the Company has increased its 2014 capital budget guidance range from
For the third quarter of 2014, the Company expects to grow daily net production volumes by approximately two percent sequentially over the second quarter of 2014. "While the Company recently achieved a new gross Marcellus production record of 1.678 billion cubic feet (Bcf) per day, we did not reach this production level until much later in the quarter than originally expected due to continued infrastructure issues in the field," noted Dinges. "As a result, we are updating our full-year production guidance range to 530 - 555 billion cubic feet equivalent (Bcfe) and reaffirming our 2015 production growth guidance range of 20 to 30 percent." Dinges added, "With our current record production rate and two ten-well pads and one nine-well pad scheduled to be placed-on-production during the fourth quarter, we are confident that we will finish the year strong operationally."
Cabot today announced the promotion of
"Matt has proven to be a valuable addition to our management team," said Dinges. "He possesses an in-depth understanding of the exploration and production space, a tremendous working knowledge of the finance profession and an ability to quickly assess and evaluate market trends. We are pleased to add Matt as an officer of
The statements regarding future financial performance and results and the other statements which are not historical facts contained in this release are forward-looking statements that involve risks and uncertainties, including, but not limited to, market factors, the market price (including regional basis differentials) of natural gas and oil, results of future drilling and marketing activity, future production and costs, and other factors detailed in the Company's
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