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Stock impact report

CRC may sell oil wells Berry owned in Utah [Yahoo! Finance]

Jefferies Financial Group Inc. (JEF) 
Last jefferies financial group inc. earnings: 10/25 04:42 pm Check Earnings Report
Company Research Source: Yahoo! Finance
CRC's chief executive told analysts this week the local oil producer is considering selling 100,000 contiguous acres, along with four horizontal wells, the company acquired in December when it bought former local rival Berry Corp. CEO Francisco Leon said during a fourth-quarter earnings conference Monday that CRC is weighing options because capital allocated to Utah would compete with the company's core California holdings, which he noted earn quadruple the sum CRC invests in them. “We see it (former Berry wells in Utah's Uinta Basin) strategically as a high-quality option,” Leon said in response to a question by UBS Investment Bank analyst Joshua Silverstein. “Right now, we're focusing on optimization, well-designed ways where, as we take control of the assets, … we can improve the capital efficiency. “Ultimately, though, it will have to — in order for us to scale it, it has to compete with full-cycle returns across the broader portfolio and against the California assets. And Show less Read more
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