Oneok Inc. had a first-quarter 2020 net loss of $141.9 million, including noncash impairment charges of $641.8 million, compared with earnings of $337.2 million for first-quarter 2019. The company increased NGL raw feed throughput by 6% and natural gas processing volumes by 5% as compared with first-quarter 2019.
Oneok further reduced growth capital expenditures from its Mar. 11, 2020, decrease of $500 million, and now expects to spend $1.4-1.8 billion, including nearly $950 million spent first-quarter 2020. The company has paused most construction activities on the following projects, which it says can be restarted quickly when drilling activity resumes:
- 200-MMcfd Bear Creek natural gas processing plant expansion and related infrastructure in the Williston Basin.
- 125,000 b/d MB-5 fractionator and related infrastructure in Mont Belvieu, Tex.
- 65,000-b/d mid-continent fractionation expansions.
Oneok recently completed:
- Arbuckle II pipeline from its Oklahoma infrastructure to its Mont Belvieu fractionation.
- MB-4 fractionator in Mont Belvieu.
- 45,000 b/d of the 80,000 b/d West Texas LPG pipeline system expansion.
The company expects West Texas LPG’s remaining expansion capacity and connection with the Arbuckle II pipeline, which was delayed due to weather, to be completed in May 2020.