EOG Resources (EOG) BofA Global Energy Conference summary

Capital structure and shareholder returns

• Updated buyback program aims for a more efficient capital structure, targeting less than 1x total debt to EBITDA and maintaining $5–$6 billion in cash, enabling opportunistic buybacks and bolt-on acquisitions.

• Plans to return over 100% of free cash flow to shareholders in the near term, with a focus on buybacks due to current share price value.

• Dividend increased by 7% this quarter, with a break-even in the $40s per barrel, reflecting strong capital discipline and low-cost operations.

Asset development and operational strategy

• Permian Basin development is highly targeted, with over 20 unique targets and top-tier well productivity, leveraging technology and innovation for continuous improvement.

• Growth is an output of disciplined capital allocation, with ongoing improvement in core and emerging assets like Utica and Dorado.

• Strategic infrastructure investments, such as the Janus plant and Verde Pipeline, provide cost advantages and market flexibility, with infrastructure spend set to decrease after 2025.

Exploration, portfolio management, and regulatory environment

• Maintains a strong exploration focus, testing 3–5 prospects annually, and prefers organic growth over M&A due to lower entry costs and higher asset value.

• Asset divestitures occur only when no further upside is identified, leveraging existing data and infrastructure for exploration.

• Regulatory changes in New Mexico are not expected to impact operations due to strategic acreage positioning and strong stakeholder relationships.