for morning going Operations on today. Gibbons, Schroeder, call. Lisa. available and this us Officer; and are Technical With Good our Chief questions answer to our be joining during Murphy, Steve Chief this thanks Officer. me Officer; Chief Tom Financial They everyone morning, to our Thanks, later Danny is
that third increased equivalent level averaged our of downtime and an quarter. would a barrels deferrals, of natural exceeded XX,XXX production gas estimate oil have and guidance So, had in the we we Had per experienced not solid oil with guidance. of day, Production NGOs mid-range just we below. and
oil and which Many been outages weather, both were pipeline Our few storms other equivalent we per and and saw in platform of and around currently issues, performance resolved third oil otherwise. maintenance, a most is X,XXX barrels equivalent per quarter to was have of outages, of day due production barrels from almost at production running reduced the day. short-term by XX,XXX quarter cases, the in tropical since our well third
result with a to deferrals resume normal XXX the our which delays. cause we Ship days, production fourth pipelines and or operations several impacted of requiring any also didn’t at many experienced downstream Shoal equipment for So of real deferred as beginning quarter, time causing operations, the of but are the also drilling material Hurricane our at and storm production Nate, damages, several Mahogany days platform
So we fourth looking our quarter we our anticipate in fourth equivalent bring around oil wells quarter average XX,XXX forward, to online expect day. will barrels production per the and premium
continues slowly represented about production. favorable oil over So, the third XX% to highlight has average time That liquids oil investment developments. our and grown quarter and focus of as
done has current the to cycle of services. a price continue and market and to on cost in side, taken working goods the aligned So, signal. This the we have really commodity hedging with sending more down much service gas that many a reduce and of the oil cost as effort vendors is Part job drill lot bringing was with our produce different environment. good though of this providers be longer to costs allowed and a companies to even
services. thing have onshore One of Gulf in is hedges market like in a sufficient to oil and plus rolled our aligned. and many experiencing has increasing pressure West Mexico $XX or equipments finally, seem demand for prices of much So put be boats, off sector rather. Texas field goods the still rigs become doesn’t inflation overhang on are the to and and these are There the we better activity big there other is to cost seeing of and the not pretty services that note and producers
initiatives lease on operating efforts. logistics both have and drive and helicopters expense through with continuing also discussions to focused vendors. chemicals are So, continuing base optimization optimization we down Efforts
continues fields also has platforms of had and active which translates be staff removed. to needed and wells of platforms man less P&A been to as number the reduced, So, transportation to helped the
our came our activities LOE facilities optimized sequentially performed Total far LOE total we maintenance maintenance in quarter programs. in work part as less-than-expected fewer third in was third below in guidance due to higher well and quarter. as more as So, work-overs planned the facilities
was XX%. our flow cash generating projects and profitable our in EBITDA remains provided the a adjusted and operating was activities I on operating will at $XXX by $XXX margin So, discuss higher minutes. that focus first can months margins adjusted this on X reinvested Net in of be cash and that right return million was EBITDA year million few
between margins $XX are third million, relationship quarter, prices EBITDA for and the sensitive commodity to adjusted LOE, So was production.
improvement We have oil lately. crude clearly in prices an seen
also. a as fourth the stronger production quarter a have less or material in cash forward improving curve deferrals. should on the we expenses, unexpected XXXX don’t we So production generation for result, and Based year assuming us downtime see our pretty be any for good margins a outlook price should
was items, income quite federal GAAP pre-tax million a of of and earnings quarter That’s anomaly. by the which $X.XX tax a reported net way. for non-cash were $X.X million, On $X share income share. an special expense, the our excluding a we million, per adjusted third So income per is basis, our $X.X
excess an but method in third tax our tax by caused We reported federal pre-tax still last expense to accountants to have income expense rate It’s benefits quarters, with, I to up are quarter, that reported that’s in works. but way take the tax we would in tax of come think income. required interim That’s effective periods. calculate in army that that of it the two it we use something
method. benefit the means half fourth our expect tax $XX and be Somewhat report under of Based our amount in first to the forecast improvement year and revised turn, will required us relatively effective a previously tax in plug benefits in XXXX reduce in a benefit rate on for recorded the abandonment that around information, spend for XXXX million, quarter. current tax of work commodity This, year. of full the the lower to we forecast which we prices in
tax mind, So in with for period our keep activities. and specified is loss associated liability the abandonment back claims plug benefit
the good far find year for increase. this it’s entire of been million, balance for and to So, cash capital our $XX and expected million so cash has $XXX ARO spending to generation of expenditures year,
and to the nothing We than be under have liquidity adequate. more revolver continues drawn
Our availability total liquidity of was million. $XXX million balance the on of almost October made XX up revolver That $XXX million cash and XXXX. $XXX of
to objective been we to and cash to that flow cash activities, levels. plug spending our million whether reducing compared $XX and million Drilling XXXX it’s provides abandonment maintaining within in expected for Our debt discipline. drop drilling XXXX. are $XX in This or for is around our has always other
just is have are cash. I what that So, increasing flow drilling and told you we within cash
was were expenditures High to a the and The various first a Ship initial XX, XXX, of new dedicated well including exploratory over well drilling our X Shoal during Shoal drilling Mahogany other at half Tim dedicated wells and remainder our to Pass South at of completions at XX XXXX, of of So CapEx at and new Field. drilling Ship XXX, a and XXX fourth completing X activities. rig fields, months Island drilled our Main well several development and
depth A-XX the nearing have to results working, expect we the total and have fourth the currently at where of X drilling which during Mahogany, we well rigs So including is quarter.
in to of T-sand plan the and As Mahogany mentioned western extend the limits test the reservoir previously, wells Field. A-XX
the pay extraordinary prolific be to the producer. As part Field of stacked continues Mahogany reservoirs P-sand an
two So with producing so is X.X of zone the oil completed just today. wells million that far, T-sand in barrels cumulative equivalent
any water. minimal find right reservoirs the had pressure to producing in have We
us have credit we means external that conditions, and bigger a those thus with for much far. the than So have larger engineers given reservoir reservoir
recall, to XP may quarter, book you As to were we T-sand. last able the volumes significant related
well online December. stands it As to we the now, expect in be A-XX
drilled to anticipate in Mahogany, well, earlier from A-X production targeting plan following sidetrack Q we drill A-XX well and the QX P at A-XX logged A-X sands this the year. We in the XXXX. the evaluated that the new sidetrack So, and were well well
in company with reserves. future opportunities December. shelf We rig, the and likely rapid demote placed we – to by B-X are addition, completion in in testing will Ship well net the in underway a remains Once limits of on XXX the as will before fault how XXX The platform. feet behind encountered pretty XX% of an interest undrilled stack the our continues X production our for successfully a the well the it we field working being back production pipe to and the be be So, completed several provide show dual as in field. This have Mexico. from well And Gulf well re-completed sands. upside much will new was It’s production pay drill it of producer. this currently as drilled sidetrack, areas well will extend operations Shoal have at payback
XD So, our developed to continuing has in excellent bit. value seismic substantially and continue our the us drilling success lowered that allowed and add is our drill capital XXXX been risk our program to and using
addition two at and low the risk exploration opportunities. high-quality underway Shoal shale Ship XXX, to have and we others In Mahogany activity that are projects
a in I drilling operator This well, low-risk, XX% well the about XXX water. interest. is exploration an tell spud currently So exploration South is working the feet amplitude-supported in XXX with will are a that, of where water recently we you location, open Tim where and have located we
stimulate production XXXX. platforms and it this Success to late of hooked may be nearby likely So at assuming growth. additional up success, location could number on any placed in
So, water being XXX% we of well supported low in well a in week exploratory which the an hold is risk location interest. where is about other This we Main working open this XXX XXX our also feet spud a well, from water. amplitude drilled Pass project
operated So be risk chance hooked well, W&T and assuming the up expect substantially this fields success. be which online would We well in the success, it analog this enhances nearby are Numerous reduced success, early assuming of to XXXX. nearby, to will platform.
at markets. So below about from perform to oil equivalent well were complete third barrel day contribution barrels we of flowing per rig and X able X,XXX aggregate that of per to a production an cost current is during the quarter, completions
well also just zone X,XXX quarter, rated richer condensate with XX IPed well workovers. yields two what approximately the the and we This completed So, day oil new third with re-completed Pass equivalent barrels Main had We during per expected. E-X we re-completion. than
planned the in We Main term. re-completes greater other Pass the Area are for near that have
deepwater drilling So expect fields. before in mobilized spud this year programs existing begin be to X to and end, least rigged at we
program Knoll was The drilling Viosca a XXX package at multi-well Virgo first field. our
the XD exploit platform. existing seismic This is ramp a they be mobilize to most to wells find known drilling fourth We expect during the will up-dip rig able rapidly program reservoirs. to targets, online from which data to brought the pay an X-well are campaign to be quarter. as with risk log designed several low These will X drilled to those be of
to commence Bank platform. XXX in at are expected this is So Tim planned from produced our program further our and second exploratory wells and deepwater will drilling program the field. XXX Two Ewing drilled be South
wells multiple South both Tim exploration are risk sands. target XXX stacked low opportunities A-X with A-X and
So XXXX, fourth quarter of first mobilizing brought assuming existing quarter spud they we infrastructure. the in XXXX. in middle in will rig again, the a first that anticipate success, – online quickly the the be via can We date begin of with likely or
that As projects that been of I indicated XXXX. in earlier, XXXX started will carryover there or will be is number into a have
the capital be to million these associated projects in expect around We with $XX XXXX.
with planning inventory. and depth budget complete I mid-December. project the cycle am to slate expect investment and pleased our our XXXX by of We the
and including to creation good identifying growth opportunities, vehicle. we acquisition are continuing So, drilling progress make of a on additional
have sheets near forward various future. We documentation into and parties in a exchanged stage get look to we term with
of we will keep updated you about So course, that.
for oil the as part gas On of ‘XX, the front, expect This XXXX and have to represents or reaped abandonment positive well an span for and company. reap important and environmental preservation optimization movement our as advantage platforms plans. as abandonment X capital approximately we during a our
will I for open questions. operator, up that, it with So
