EOG RESOURCES INC (EOG)

EOG Resources, Inc., a Delaware corporation formed in 1985, explores for, develops, produces and markets crude oil, natural gas liquids (NGLs) and natural gas, with operations concentrated in major U.S. producing basins, offshore Trinidad and Tobago, and select other international areas including planned drilling offshore Australia; the company is exiting operations in Oman and Canada. As of December 31, 2023, EOG held total estimated net proved reserves of 4,498 MMBoe (1,756 MMBbl crude oil and condensate, 1,254 MMBbl NGLs, and 8,930 Bcf natural gas), with 99% of reserves located in the U.S. and 1% in Trinidad. EOG's core strategy centers on maximizing rate of return through disciplined cost control, capital efficiency, and reserve growth, evaluating each drilling prospect by expected return, while employing advanced technologies such as 3D/microseismic imaging, reservoir simulation, and horizontal drilling techniques to reduce costs and risk.

U.S. operations span key basins including the Delaware Basin (Wolfcamp, Bone Spring, Leonard plays), South Texas (Eagle Ford and Dorado gas plays), the Rocky Mountain area (Powder River, DJ, and Williston Basins), and emerging areas like the Utica play in Ohio, with total U.S. net acreage of approximately 3.37 million acres and 640 net wells completed in 2023 (600 planned for 2024). Internationally, EOG maintains producing offshore assets in Trinidad through multiple licenses and production-sharing contracts, with 2023 net production of about 160 MMcfd of natural gas and 0.6 MBbld of crude oil and condensate, while continuing exploration activity and infrastructure development there and preparing for exploratory drilling offshore Western Australia. The company markets its crude oil, NGLs, and natural gas through diversified channels, including pipeline transport to major U.S. hubs, export sales, and long-term supply commitments, with pricing generally tied to market indices; three purchasers each accounted for more than 10% of total revenues in 2023, though EOG does not consider any single customer relationship material to its overall financial condition.

EOG employed approximately 3,050 people as of year-end 2023 and emphasizes human capital initiatives spanning culture, compensation, training, diversity and safety. The company operates in a highly competitive industry against larger integrated and national oil companies and faces extensive federal, state, and international regulation covering drilling, leasing, royalties, hydraulic fracturing, emissions, and climate-related matters, including methane emission rules and evolving GHG regulatory frameworks; EOG has set an ambition to achieve net zero Scope 1 and Scope 2 greenhouse gas emissions by 2040. While compliance with environmental and regulatory requirements increases costs, EOG states such compliance has not had a material adverse effect on its financial condition to date, though future regulatory changes could pose additional financial and operational risks.