ConocoPhillips, the largest gas and oil company that is independent from the U.S., has reported that they have achieved a higher profit in the third quarter of 2014 just after the sale of its unit in Nigeria.
Basic prices on oil have plummeted by over 20% in the latest weeks as universal orders slow down and the amount of goods increase. Crude oil traded in the city of New York cut down at $79.44 for every barrel on the last week of October, but they have recently recovered a bit to above $81 in just a few days.
Conoco is expected to use up around $16 billion in the next year. This is lowered down by $700 million than that of last year which was projected for 2014.
Over the past years, Conoco has dropped assets of the lower margin to direct more capital to ventures such as shale drilling around the area of Eagle Ford in Southern Texas and even the famous Bakken formation somewhere in North Dakota.
At the beginning of 2015, the capital in the major projects of Conoco would start to be tapered off as more flexibility to ramp up or down their initial capital if the circumstance will dictate it. This is said by the Chief Executive Officer of Conoco, Ryan Lance.
For the last quarter of the year, Conoco predicts that the construction of ongoing procedures will go up to 1.575 million Boeds. Beforehand, it was said that it would create as high as 1.590 million Boeds.
The shares made by the company have risen up by 0.8% which is equal to $71.32 in an afternoon trading.
As Conoco expects to have higher prices to keep up with their revenue and make sure to avoid bankruptcy, many still wonder whether the big plans of the company would be set in motion in the near future.