Shares of the US oil and natural gas company, California Resources Corp. (NYSE:CRC), were up over 25% on Friday.
The company has recently released the results for its first-quarter of 2018 which could be attributed to the spike in share value.
California Resources saw its earnings before interest expense reaches $250 million USD, compared to the previous quarter’s $222 million.
Production results were also negatively impacted by the California wildfires in 2017, which resulted in a loss of almost 400 barrels of oil equivalent (BOE) per day.
Daily average production fell by 2,400 BOE per day, to an average of 123,000 BOE per day, which the company says is due to higher prices and production sharing contracts (PSC).
The company considers this to be a “small negative amount.”
A total of 74 wells were drilled during this quarter, 44 of which were drilled with internally funded capital and 30 which were funded with joint venture capital.
According to Todd A. Stevens, California Resources’ President and Chief Executive Officer, has said that the company “is off to a strong start in 2018.”
The estimated production value for the second quarter of 2018 is set to be between 131,000 to 136,000 BOE per day.
The company’s “top priorities remain centered on value-oriented growth and cash margin expansion” and is expecting to “see associated production growth later this year and into 2019.”
As of noon (EDT), California Resources share value had risen by nearly 30% and reached approximately $33.00.
After opening on Friday at $27.58, the company has already reached a high of $33.78 and a low of $27.06.
Comparatively, California Resources closed at a share value of $25.79 on Thursday.
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