#United States #Oklahoma City #Natural Gas #Ascent Resources #Utica Shale

Ascent Resources Financial Performance: Q4 and FY 2024

Ascent Resources Utica Holdings, LLC has released its operating and financial results for the fourth quarter and full-year 2024, showcasing strong production figures and financial metrics. Despite challenges in natural gas pricing, the company achieved significant operational success, driven by effective strategy and robust output levels.

Key Highlights from Q4 and Full-Year 2024

In the fourth quarter of 2024, Ascent's net production averaged 2,186 million cubic feet equivalent per day (mmcfe/d), while the average for the entire year stood at 2,166 mmcfe/d. Notably, liquids production increased substantially to 44,000 barrels per day, accounting for 12% of total production and marking a 44% increase from the previous year.

Additionally, the company reported cash flows from operations amounting to $280 million for the fourth quarter and a remarkable $1.1 billion for the full year. Adjusted EBITDAX was recorded at $385 million for the quarter, reaching an annual total of $1.5 billion. Furthermore, Ascent achieved $202 million in adjusted free cash flow for Q4, adding to an impressive five consecutive years of positive cash flow generation.

Another major highlight was the year-end total proved reserves, which were reported at 9.0 trillion cubic feet equivalent (tcfe), with a clean reserve replacement ratio of 139%. The company also celebrated a milestone of over two million man-hours without an employee injury, reflecting its dedication to maintaining high safety standards.

Future Outlook: Initial 2025 Guidance

Looking ahead to 2025, Ascent Resources has projected an expected production rate between 2.05 to 2.15 billion cubic feet equivalent per day (bcfe/d), including approximately 14% to 16% liquids. The company aims to allocate between $625 million to $675 million for capital expenditures. Ascent's CEO, Jeff Fisher, expressed optimism about the company’s position to capitalize on the improving macro-environment for natural gas and reiterated a commitment to reducing debt while generating value for stakeholders.

Operational Achievements and Financial Details

During Q4 2024, the company operated 12 wells, hydraulically fractured 8, and successfully brought 15 new wells online, with an average lateral length of 20,649 feet. In total, Ascent spud 60 operated wells, remarkably maintaining efficient operational performance throughout the year.

Financially, Ascent reported a net loss of $135 million in Q4, but adjusted net income was $145 million. The total capital expenditures for the quarter were $142 million, indicating active investment in growth and development despite market fluctuations during the year.

Strategic Focus and Commitment to Sustainability

Ascent Resources is one of the largest private producers focused on natural gas and oil within the Utica Shale region of southern Ohio. The company remains committed to responsible energy production while reducing environmental impacts, underscoring its role in delivering affordable and cleaner-burning energy solutions.

In summary, Ascent Resources has demonstrated resilience and adaptability amidst challenging market environments. With strong financials backing a strategic vision for the future, the company appears well-positioned to continue its upward trajectory in the coming years.