EOG Resources (EOG) Goldman Sachs Energy, CleanTech & Utilities Conference 2025 summary

Strategic priorities and value proposition

• Focused on four pillars: capital discipline, operational excellence, sustainability, and a unique, decentralized culture to drive value into 2025.

• Capital discipline targets double-digit ROCE, pristine balance sheet, and consistent shareholder returns.

• Operational excellence leverages proprietary technology, self-sourcing, and continuous cost improvements.

• Sustainability emphasizes safety, environmental leadership, and community engagement.

• Decentralized culture empowers employees at the asset level, fostering innovation and value creation.

2025 operational outlook and capital allocation

• Activity levels in 2025 expected to remain consistent with 2024, with some shifts across basins.

• $400 million spent on strategic infrastructure in 2024; Janus Gas Plant to complete in H1 2025 with $100 million more CapEx.

• Portfolio reviewed for value creation and shareholder returns across the cycle.

• Final capital allocation and volume guidance to be detailed in late February.

• Share repurchases emphasized due to perceived disconnect between intrinsic value and share price.

Commodity market outlook and risk management

• Oil market faces low inventories but OPEC+ supply increases and geopolitical uncertainties.

• Plans account for potential oversupply; can maintain production and dividends at $45 WTI, though base plan assumes higher prices.

• Natural gas demand expected to rise by 20–24 Bcf/d from 2025–2030, driven by LNG, industrial demand, exports, and AI.

• AI demand for gas estimated at 3–4 Bcf/d over five years, with upside potential.

• Well-positioned with diverse takeaway contracts and infrastructure for gas markets.