Marathon Oil’s 3Q16 production
For 3Q16, Marathon Oil (MRO) reported total production of 402 Mboe (thousand barrels of oil equivalent) per day, which is more than its 3Q16 production guidance of 370–395 Mboe per day.
Even though Marathon Oil beat its own production guidance, its 3Q16 production fell ~7.0% compared to 3Q15 production of 434 Mboe per day.
But its 3Q16 production is ~4.0% higher sequentially than 2Q16.
Marathon Oil’s 3Q16 production details by segment
For 3Q16, Marathon Oil reported North America E&P (exploration and production) total production of 216 Mboe per day. That’s a fall of ~18.0% from its 3Q15 North America E&P production of 263 Mboe per day.
For 3Q16, the company reported International E&P production of 128 Mboe per day, which is a rise of ~12.0% from 3Q15 production of 114 Mboe per day. For 3Q16, it reported production from Oil Sands Mining of 58 Mboe per day.
Marathon Oil’s year-over-year fall in production can be attributed to reduced capital investments and divestitures in the last year.
Marathon Oil’s production guidance
Due to Marathon Oil’s divestment of the majority of its Wyoming assets, the acquisition of PayRock Energy, and the fall in Eagle Ford high-density pads drilled in 2015, the company has updated its 2016 production guidance.
For 2016, it now expects production of 380–395 Mboe per day. That’s a mid-point rise of ~50 Mboe per day (or ~15.0%) from its previous guidance of ~338 Mboe per day.
For 4Q16, the company expects total production of 365–390 Mboe per day, a mid-point fall of ~13.0% compared to 4Q15 production. Marathon Oil’s 4Q16 guidance reflects all divestitures and acquisitions closed to date.