PE - Parsley Reports Solid 1Q20 Cuts Capex Maintains Strong Free Cash Generation View Balance Sheet And Return Of Capital Despite Meager Oil Prices
This is a Z4 Research Pre Call Quick Note
The 1Q20 Numbers:
- Volumes were as expected (in total and in composition),
- Realized oil prices were tight to WTI at a $0.49 discount. We note that Midland pricing has in the last few days reversed back to premiums as the press releases detailing voluntary curtailments have mounted from mid cap and larger players.
- Operating costs continue to impress with cash G&A setting a new quarterly low at $1.65 / BOE (aided by senior staff taking minimum 50% cash pay cuts).
- Management maintained the dividend at $0.05