In February Montage Resources said in 2020 it will increase production approximately 6% over 2019 while slicing its capital expenditure budget by 44%, to $190-$210 million for the year (see Montage Resources 2020 Sneak Preview: More OH Marcellus Drilling). That was BC, before coronavirus. It’s now AD, after (oil price) disaster, and the company has just announced it will decrease capex spending by another $45 million. To be fair, the company does not specifically blame either the coronavirus or the oil price shock for its actions. In a statement, the company says it continues to “monitor market conditions” and adjust accordingly. However, there is a big change in drilling strategy coming…
In February Montage Resources said in 2020 it will increase production approximately 6% over 2019 while slicing its capital expenditure budget by 44%, to $190-$210 million for the year (see 