EOG Resources (EOG) has significantly reduced its capital expenditure budget for 2020 as the company tries to conserve cash amid the oil price rout. The Houston, Texas-based shale oil producer can withstand the slump by tapping into its large inventory of drilling locations that can deliver decent returns even in a weak oil price environment. The company also has an under-levered balance sheet that can absorb a cash flow deficit. EOG Resources, therefore, is in a good position to face the oil price slump.
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The dual shocks to the