ConocoPhillips Misses Profit Forecast, Raises Annual Output Goal

ConocoPhillips slightly raised its full-year output expectations on Thursday, even as it posted a lower-than-expected quarterly profit, Arathy Somasekhar, and Mrinalika Roy reported for Reuters.

Photo Insert: The better-than-expected second quarter output helped ConocoPhillips raise its full-year production outlook for a second time this year.

Quarterly reports from US oil producers have been dented by weak oil and gas prices in recent months, though higher production has helped offset some of the pain.

ConocoPhillips said production rose 6% to 1.81 million barrels of oil equivalent per day (boepd) in the second quarter, at the higher end of the company's prior guidance, with record output in the US Lower 48 states.

The company, however, was unseated as the second-largest producer in the Permian basin, the nation's top shale region, by Pioneer Natural Resources.

ConocoPhillips' 709,000-boepd production in the Permian in the second quarter fell just short of Pioneer's 711,000 boepd in the same period. Oil major Chevron continued to retain the top spot in the basin with a record 772,000 boepd output.

The better-than-expected second quarter output helped ConocoPhillips raise its full-year production outlook for a second time this year and now expects it to range between 1.80 million boepd and 1.81 million boepd.

The company in May said it expected production between 1.78 million boepd and 1.80 million boepd.

ConocoPhillips also narrowed its capital spending guidance range to between $10.8 billion and $11.2 billion, from previous guidance of $10.7 billion to $11.3 billion. Earnings in the second quarter more than halved to $1.84 per share as the average price for its oil and gas fell 39% to $54.50 per barrel of oil equivalent in the quarter.

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