Ultra Falls After Reduced Gas Production Forecast: Dallas MoverEdward Klump
Ultra Petroleum Corp., the natural gas producer with properties in Wyoming and Pennsylvania, fell after saying this year’s production decline will be deeper than previously forecast.
Ultra, based in Houston, dropped 4.8 percent to $16 at the close in New York. The stock earlier plunged as low as $15.26, the lowest intraday price since May 28, 2004.
Production will be the equivalent of 228 billion to 238 billion cubic feet of gas in 2013, with a capital spending plan of about $415 million, Ultra said in a statement today. The company said in November that output would be about 240 billion cubic feet equivalent this year, with a capital program of about $450 million.
Also today, Ultra said fourth-quarter profit excluding one-time costs and gains was 51 cents a share, 3 cents less than the average of 20 analysts’ estimates compiled by Bloomberg. The company also had a $496.5 million non-cash writedown related to lower gas prices.
The company ended 2012 with proved reserves equivalent to about 3.1 trillion cubic feet of gas, compared with about 4.98 trillion at the end of 2011.