HOUSTON – Talos Energy Inc. (NYSE: NYSE:TALO), an independent energy company, has revised its operational and financial guidance for 2024 following the early completion of its acquisition of QuarterNorth Energy Inc.
The update, which reflects approximately ten months of contributions from QuarterNorth, projects an increase in average daily production to between 89.0 and 95.0 thousand barrels of oil equivalent per day (MBoe/d), up from the previous estimate of 87.0 to 93.0 MBoe/d.
The company's cash expenses for the full year are also adjusted to include the impact of the QuarterNorth deal and the full-year implications of the EnVen transaction completed in 2023. Talos anticipates around $15 million in expenses for the drydock and maintenance of the Helix Producer I (HP-I) and has planned several deepwater workover projects intended to boost production.
For the first quarter of 2024, Talos expects its average daily production to range from 78.0 to 80.0 MBoe/d. This forecast includes the effects of a one-month contribution from QuarterNorth in March and accounts for planned downtime at the Tarantula facility, affecting output from the Katmai field.
The financial guidance for 2024 outlines a range of cash operating expenses between $510 million and $530 million, general and administrative costs estimated at $100 million to $110 million, and capital expenditures for upstream activities projected to be between $570 million and $600 million. Additionally, the company anticipates interest expenses to fall between $175 million and $185 million.
Talos Energy, with operations in the United States and offshore Mexico, focuses on upstream exploration and production as well as low carbon solutions, aiming to maximize long-term value through technical expertise and operational efficiency. The company also pursues carbon capture and storage projects to reduce industrial emissions along the U.S. Gulf Coast.
This updated guidance is based on information available as of now and may be subject to change due to various factors, including market conditions and operational challenges. The company has cautioned that forward-looking statements involve risks and uncertainties, and actual results may differ materially from those projected.
The information presented here is based on a press release statement issued by Talos Energy.
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