STO, BPT, WDS: A quick look at 3 ASX200 oil and gas stocks

Highlights:

• The sub-sector S&P/ASX200 Energy index was up by 0.22% by Friday's close.
• In 3Q FY23, Beach Energy Limited (ASX: BPT) had an overall success rate from 36 wells.
• During 1Q FY23, Woodside Energy Group Ltd (ASX: WDS) Scarborough and Pluto Train 2 in WA were 30% concluded.

The Australian benchmark index S&P/ASX200 increased by 0.37% to 7,220 points by the close of Friday, 5 May 2023, ending its rough patch of the last few days. Simultaneously, the sub-sector S&P/ASX200 Energy index was up by 0.22%.

Let’s now take a quick look at 3 ASX energy stocks- STO, BPT and WDS.

Santos Limited (ASX: STO)

Headquartered in Adelaide, the oil and gas explorer and producer increased 0.563% to AU$7.140 on Friday.

In the first quarter ended 31 March this year, STO’s sales revenue stood at US$1,631 million 13% lesser than US$1,884 million in Q4 2022, mainly because of reduced domestic gas and LNG sales volumes and slashed LNG and oil prices.

During the reported period, STO’s free cash flow of nearly US$720 million places it well to maintain a robust balance sheet. Also, the 1Q production of 22.2 MMboe fell from the previous quarter because of lesser gas volumes in WA.

The Barossa project has been 56% concluded, while Pikka Phase 1 is getting ready for drilling activities in 2Q 2023. FEED entry on the incorporated development concept, laying emphasis on combining the Pavo discovery and phase 2 through Varanus Island.

Beach Energy Limited (ASX: BPT)

The onshore and offshore oil and gas producer in ANZ region’s five basins ended Friday flat at AU$1.410.

In the 3Q FY23 activities report ended 31 March 2023, production reduced by 5% from the earlier quarter to 4.5 MMboe. The Western Flank oil production stabilised, with nine out of ten unconnected wells brought online. The gas production was affected by Otway Basin’s ten-day intended downtime, lesser nominations partially because of surplus gas present in Queensland LNG outage along with Cooper Basin JV unplanned outages.

During the reported period, there was an overall success rate from 36 wells, and six horizontal oil wells concluded. BPT also began its Perth Basin gas exploration work with the spudding of Trigg 1 in April. Moomba CCS is over 50% complete, with the initial CO2 injected aimed for 2024.

BPT’s total sales revenue for the quarter stood at AU$353 million, 13% lesser than the earlier quarter because of lesser sales volumes and reduced realised oil pricing, partly offset by greater realised gas pricing.

Woodside Energy Group Ltd (ASX: WDS)

Australia’s biggest independent dedicated oil and gas producer rose by 0.485% at AU$33.110 on Friday.

In the first quarter ended 31 March 2023, WDS noted production of 46.8 MMboe, which decreased by 9% from the previous quarter because of planned turnaround and maintenance activities. Also, full-year guidance stays the same. The company delivered a sales volume of 50.4 MMboe, reduced by 4% from Q4 2022 because of lesser realised prices. The revenue generated in the quarter was AU$4, 330 million, lesser by 16% than the previous quarter on the back of low production and lesser realised prices.

During the March quarter, 30% was concluded at Scarborough and Pluto Train 2 in WA, with 86% of the manufacturing of export trunkline finalised and the first concrete poured for Pluto Train 2. The development drilling campaign for Sangomar advanced, with ten out of twenty-three wells concluded.