EOG Resources (EOG) just unveiled an update.
EOG actively manages price risk to stabilize future revenues and cash flows through various financial derivative contracts. They use mark-to-market accounting for these contracts and a 10-year natural gas sales agreement tied to Brent crude oil prices. Despite not receiving cash from the Brent-linked agreement until 2027, EOG gained $55 million from derivative settlements in the first quarter of 2024. Their actual earnings vary from standard NYMEX prices due to factors like location, quality, and revenue adjustments, and their natural gas liquids revenues depend on the market prices of individual components like ethane and propane.
See more data about EOG stock on TipRanks’ Stock Analysis page.
