Southwestern Energy Co. reduced total debt in this year’s third quarter by $227 million, exiting the quarter with total debt of $4.9 billion. Following two US natural gas-focused acquisitions in 2021, the company has said debt reduction remains its highest priority until it reaches its goal of gross debt of $3.5 billion by fourth-quarter 2023 (OGJ Online, Apr. 29, 2022).
For the quarter, the company recorded net income of $450 million and adjusted net income of $360 million. Net cash provided by operating activities was $797 million, net cash flow was $765 million, and free cash flow was $222 million.
Total net production for the quarter was 443 bcfe, of which 88% was natural gas, 10% NGLs, and 2% oil.
Capital investments totaled $543 million for third-quarter 2022 with 31 wells drilled, 36 wells completed, and 31 wells placed to sales.
In the quarter, Appalachia production was 267 bcfe, with NGL production of 84,000 b/d and oil production of 13,000 b/d. The company drilled 16 wells, completed 21 wells, and placed 14 wells to sales with an average lateral length of 15,629 ft.
In the Haynesville, total production for the quarter was 176 bcf. There were 15 wells drilled, 15 wells completed, and 17 wells placed to sales with an average lateral length of 9,332 ft.
Also in the quarter, the company added about 500 MMcfd of new firm transportation to the LNG corridor on Momentum’s New Generation Gas Gathering system and DT Midstream’s LEAP pipeline (starting in 2024).
For fourth-quarter 2022, the company expects production of 417-437 bcfe or 4.6 bcfed with liquids comprising 12%.