Bill Barrett expects to realize a cash commodity derivative gain of $20.4M in Q3
Bill Barrett announced that it is providing an update on certain Q3 items, including commodity price and derivatives data and the weighted average basic and diluted shares outstanding for the Q3. For the Q3, West Texas Intermediate, or WTI, oil prices averaged $44.94 per barrel, Northwest Pipeline natural gas prices averaged $2.51 per MMBtu and NYMEX natural gas prices averaged $2.75 per MMBtu. The Company had derivative commodity swaps in place for the third quarter of 2016 for 7,750 barrels of oil per day tied to WTI pricing at $72.57 per barrel, 5,000 MMBtu of natural gas per day tied to NWPL regional pricing at $4.10 per MMBtu and no hedges in place for NGLs. Based on preliminary unaudited results, the Company expects to realize a cash commodity derivative gain of $20.4M in the Q3 due to positive derivative positions. The Company expects its Q3 commodity price differentials to benchmark pricing to approximate: oil less $3.02 price per barrel versus WTI; and natural gas less $0.29 per thousand cubic feet, or Mcf, compared to NWPL.