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ConocoPhillips First Quarter 2023 Results

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   |    Monday,May 08,2023

ConocoPhillips announced first quarter 2023 results.


  • Delivered record company and Lower 48 production of 1,792 thousand barrels of oil equivalent per day (MBOED) and 1,036 MBOED, respectively.
  • Distributed $3.2 billion to shareholders through a three-tier return of capital framework, including $1.7 billion through share repurchases and $1.5 billion through the ordinary dividend and VROC.
  • Generated cash provided by operating activities of $5.4 billion and cash from operations (CFO) of $5.7 billion.
  • Ended the quarter with cash and short-term investments of $8.9 billion.
  • Acquired 30% equity interest in Port Arthur LNG joint venture upon final investment decision for Phase 1.
  • Commenced construction on the Willow project after receiving a positive record of decision from the U.S. Department of the Interior approving a development plan with three core pads.
  • Announced plans to assume upstream operatorship of APLNG following the closing of EIG's transaction with Origin Energy and to acquire up to an additional 2.49% shareholding interest, subject to regulatory approvals and customary closing conditions.
  • Accelerated the company's GHG emissions-intensity reduction target through 2030 from 40-50% to 50-60%, using a 2016 baseline.
ConocoPhillips reported first-quarter 2023 earnings and adjusted earnings of $2.9 billion, or $2.38 per share, compared with first-quarter 2022 earnings of $5.8 billion, or $4.39 per share, and first-quarter 2022 adjusted earnings of $4.3 billion, or $3.27 per share.
Ryan Lance, chairman and chief executive officer, said:"Our first quarter results are a clear demonstration of the durable, returns-focused value proposition that we laid out at our recent analyst and investor meeting. We achieved record production, advanced our joint venture at Port Arthur LNG, received a favorable record of decision for the Willow project in Alaska and announced plans to assume upstream operatorship of and further expand our ownership position at APLNG. We also accelerated our 2030 GHG emissions-intensity reduction target, progressing our net-zero operational emissions ambition."

Quarterly Dividend and Variable Return of Cash

ConocoPhillips announced a quarterly ordinary dividend of $0.51 per share, payable June 1, 2023, to stockholders of record at the close of business on May 16, 2023. In addition, the company announced a VROC of $0.60 per share, payable July 14, 2023, to stockholders of record at the close of business on June 27, 2023.

First-Quarter Review

Production for the first quarter of 2023 was 1,792 MBOED, an increase of 45 MBOED from the same period a year ago. After adjusting for impacts from closed acquisitions and dispositions, first-quarter 2023 production increased by 65 MBOED or 4% from the same period a year ago. This was primarily driven by new wells online in the Lower 48 and improved well performance across the portfolio, partially offset by normal field decline and downtime.

In the Lower 48, first-quarter production averaged 1,036 MBOED, including 694 MBOED from the Permian, 227 MBOED from the Eagle Ford and 98 MBOED from the Bakken. Operationally, a stabilizer expansion in the Eagle Ford and a planned turnaround at QatarGas 3 were successfully completed.

Earnings decreased from the first quarter of 2022 primarily due to lower realized prices partially offset by commercial performance and timing, as well as the absence of special items referenced in Table 1 of this release. Excluding special items, adjusted earnings decreased compared with the first quarter of 2022 due to lower realized prices partially offset by a benefit from commercial performance and timing. The company's total average realized price was $60.86 per barrel of oil equivalent (BOE), 21% lower than the $76.99 per BOE realized in the first quarter of 2022.

For the quarter, cash provided by operating activities was $5.4 billion. Excluding a $0.3 billion change in operating working capital, the company generated CFO of $5.7 billion and received disposition proceeds of $0.2 billion. The company funded $2.9 billion of capital expenditures and investments, including $0.4 billion for its investment in the joint venture responsible for development of Port Arthur LNG and $0.1 billion in Lower 48 acquisitions. In addition, the company repurchased $1.7 billion of shares and paid $1.5 billion in ordinary dividends and VROC.


Second-quarter 2023 production is expected to be 1.77 to 1.81 million barrels of oil equivalent per day (MMBOED). The company raised full-year production guidance midpoint by 10 MBOED. Full-year production is now expected to be 1.78 to 1.80 MMBOED, as compared to prior guidance of 1.76 to 1.80 MMBOED.

Full-year guidance for other items is unchanged.

ConocoPhillips will host a conference call today at 12:00 p.m. Eastern time to discuss this announcement. To listen to the call and view related presentation materials and supplemental information, go to

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