Key Points
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Production exceeded guidance: Third-quarter output reached 38,200 BOE per day, 4% above the high end of guidance, driven by workovers, recompletions and reduced downtime. W&T generated $33 million in free cash flow despite a $13.6 million GAAP net loss that included nearly $16 million in hedging losses.
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Balance sheet strengthened: W&T ended the quarter with more than $190 million in cash, reduced net debt by 20% sequentially and increased liquidity to $235 million. Management plans to prioritize potential Gulf of Mexico acquisitions while relying on lower-risk workovers rather than drilling in 2027.
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Near-term production will dip: A planned Mobile Bay repair shutdown and hurricane-related downtime are expected to lower fourth-quarter production to about 33,700 BOE per day. The company raised its 2026 capital-spending guidance to $35 million-$38 million to support production into the first half of 2027.
W&T Offshore (NYSE:WTI) reported third-quarter production above its guidance range and said it strengthened its balance sheet as it generated free cash flow, reduced net debt and built cash for p...