SAN RAMON, Calif. (AP) — Chevron Corp. said production from company wells likely declined in the second quarter and it sold crude and other liquid hydrocarbons for lower prices. Natural gas prices also fell in the U.S.
Chevron, America's second-largest petroleum company next to Exxon Mobil Corp., included the operating results as part of a preliminary report that's based on the first two of the three-month quarter. Chevron will release its full report for the April-June quarter on July 27.
Chevron didn't say how its financial results would compare with the same period last year. Analysts are expecting lower net income and higher revenue.
Analysts surveyed by FactSet expect Chevron to earn $3.18 per share in the second quarter, down from $3.85 per share in the same part of 2011. Revenue is expected to be higher at $72.2 billion, compared with $68.2 billion in the year-ago period.
Chevron said total production in April and May dropped 4.2 percent in the U.S. to 665,000 barrels per day, when compared with last year's second quarter. Production also fell 2.5 percent to 1.95 million barrels per day at its international wells.
Crude prices were flat in the U.S. at an April-May average of $108.80 per barrel, though Chevron said it sold liquid hydrocarbons in the first two months of the quarter for about 1.5 percent less at $102.14 per barrel. Internationally, liquid hydrocarbons sold at an average of $104.47 per barrel, down 2.2 percent.
The company sold natural gas in April and May at an average of $2.05 per 1,000 cubic feet in the U.S., less than half the price from last year's quarter. Outside the U.S., Chevron sold natural gas prices at $6.23 per 1,000 cubic feet, up 13.5 percent from a year ago.
The lower crude prices helped lower costs at some of Chevron's refineries. The company said its refineries likely generated higher revenue per barrel on the West Coast and in Singapore. Revenue per barrel likely dropped at its Gulf Coast refineries.
Chevron shares fell 55 cents to $104.30 in premarket trading.
