It was a tough quarter for oil and gas companies of all sizes and stripes, from ExxonMobil
But then who'd have imagined that oil and gas prices would drop by roughly two-thirds in less than a year? They did, and Dallas-area independent oil and gas operator Denbury Resources
Denbury's loss resulted from lower oil and gas prices, along with a $65.9 million (after tax) derivative contracts charge. Without the charge, the company would have earned $0.19, or the amount that analysts were expecting.
Beyond the purely financial metrics, the quarter was, by most standards, an active one for Denbury. It completed the purchase of the Hastings Field in Southeast Texas from Venoco
Denbury, which originally was formed in Canada in 1951, is the biggest oil producer in Mississippi. It currently maintains CO2 pipelines in Mississippi and Louisiana. Beyond that, it operates in the Barnett Shale of North Texas, alongside the likes of Chesapeake
And in the non-operating arena, Denbury moved into a position of increased prominence during the past quarter. It was chosen to replace Rohm & Haas -- which was being acquired by Dow Chemical
Despite its reported loss, I'm closely watching this smallish -- but spunky -- company from Plano, Texas. Its CO2 activities alone make it especially compelling, and management clearly isn't afraid to keep the activity flowing.
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Fool contributor David Lee Smith doesn't own shares in any of the companies mentioned. He does, however, encourage your questions, comments, or kibitzing. Chesapeake Energy is a Motley Fool Inside Value selection. Try any of our Foolish newsletters today, free for 30 days. The Fool has a disclosure policy.