W&T Offshore cuts 2020 capex, keeps production guidance intact

W&T Offshore Inc., Houston, cut its 2020 capital expenditure budget to $15-25 million from its prior level of $50-100 million and its planned asset retirement expenditures to $10-20 million from $15-25 million. The capital reduction is in response to the steep drop in oil prices, the company said Mar. 17.

The company’s annual production guidance of 47,100-52,100 boe/d and other components of its guidance provided Mar. 4 remain unchanged.  

“Because of the low decline profile of our conventional asset portfolio in the Gulf of Mexico, the reduction in our budget has minimal impact on our expected production in 2020,” said Tracy W. Krohn, W&T’s chairman and chief executive officer (OGJ Online, Dec. 12, 2019).