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EOG Resources Reports 2004 Net Income
* Achieves 10.4 Percent Production Increase and 8 Percent Reserve Growth
* Announces Two-For-One Stock Split
* Increases Common Stock Dividend 33 Percent
* Reaffirms 2005 Organic Production Growth Target of 13.5 Percent
PRNewswire-FirstCall
HOUSTON

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FOR IMMEDIATE RELEASE: Wednesday, February 2, 2005

EOG Resources, Inc. (EOG) today reported fourth quarter 2004 net income available to common of $204.1 million, or $1.69 per share. This compares to fourth quarter 2003 net income available to common of $71.8 million, or $0.61 per share. For the full year 2004, EOG reported net income available to common of $614.0 million, or $5.15 per share as compared to $419.1 million, or $3.60 per share for the full year 2003.

The results for fourth quarter 2004 included a previously disclosed $2.8 million ($1.8 million after tax, or $0.01 per share) gain on the mark-to- market of financial commodity price transactions. During the quarter, the net cash outflow from the settlement of financial commodity price transactions and premium payments associated with certain natural gas financial collar contracts was $12.7 million ($8.1 million after tax, or $0.07 per share). Consistent with some analysts' practice of matching realizations to settlement months, adjusted non-GAAP net income available to common for the quarter was $194.2 million, or $1.61 per share. EOG's fourth quarter 2003 results included an after tax benefit of $14.1 million ($0.12 per share) from a reduction in the Canadian tax rate, a $43.1 million ($27.7 million after tax, or $0.23 per share) loss on the mark-to-market of financial commodity price transactions and the net cash inflow from the settlement of financial commodity price transactions including premium payments associated with certain natural gas financial collar contracts of $1.2 million ($0.8 million after tax, or $0.01 per share). Reflecting these items, fourth quarter 2003 adjusted non-GAAP net income available to common was $86.1 million, or $0.73 per share. (Please refer to the table below for the reconciliation of adjusted non-GAAP net income available to common to net income available to common.)

"In 2004, we reaped the benefits of EOG's consistent business and operational strategies. We executed our plan and delivered record production from the drillbit, continued to develop long-term production growth prospects and maintained our reputation as a low-debt, low-cost producer. We continue to focus on shareholder returns, posting a 25 percent return on equity and an 18 percent return on capital employed for the year," said Mark G. Papa, Chairman and Chief Executive Officer. (Please refer to the table below for the calculation of return on equity and return on capital employed.)

Stock Split and Dividend Increase Announced

The board of directors approved a two-for-one stock split in the form of a stock dividend. It will be payable to record holders as of February 15, 2005 and issued March 1, 2005. In addition, the board increased the cash dividend on the common stock by 33 percent following a 20 percent increase in 2004. Effective with the dividend payable on April 29, 2005 to record holders as of April 15, 2005, the board declared a post-split quarterly dividend of $.04 per share on the common stock. This represents the fifth increase in six years.

Operational Highlights

"In 2004, our operations performed above our original expectations, exceeding our previously stated growth targets for both North American natural gas and total company production primarily from internally generated high rate of return prospects," said Papa.

Total company production increased 10.4 percent during 2004 on a daily basis, compared to 2003. In the U.S. and Canada, natural gas production increased 5.0 percent and total production increased 7.2 percent during 2004, compared to 2003. Excluding the impact of production from the North Texas Barnett Shale Play, natural gas production in the U.S. and Canada increased 4.2 percent with the strongest increases contributed by the Rocky Mountain region and the Canadian shallow natural gas program.

"Our operations in the U.S. and Canada have expanded considerably over the past few years. These areas of our portfolio, excluding the Barnett Shale, continue to deliver steady profitable growth that we expect to continue beyond 2005," said Papa.

"In the Barnett Shale, we worked to prove the geologic concept in the non- core area where our activity centered during 2004. This year, the focal point of operations will be on increasing production and determining the play's ultimate reserve size. We continue to be very enthusiastic about the Barnett Shale and expect to have further definition before year-end regarding its aerial extent and optimum well spacing," said Papa.

Consistent with the previously stated goals for the Barnett Shale, EOG had approximately 400,000 acres under lease in the play at year-end 2004. Net natural gas production reached 30 million cubic feet per day (MMcfd) during December.

In the United Kingdom North Sea, in the fourth quarter of 2004 and in the first quarter of 2005, EOG commenced production from two Southern Gas Basin wells that represent EOG's first producing assets in that region. Current natural gas production is approximately 40 MMcfd, net.

In Trinidad, EOG began natural gas sales to the Nitro 2000 (N2000) Ammonia Plant in August 2004. Last year, total production in Trinidad increased 25 percent, compared to 2003. EOG will supply approximately 60 MMcfd, net of natural gas to the M5000 Methanol Plant, scheduled to come online in July. With a full year of N2000 sales and the startup of the M5000 Plant, EOG's production in Trinidad is expected to increase 20 percent during 2005, compared to 2004. In addition, EOG has signed a contract to supply approximately 20 MMcfd, net of natural gas to the National Gas Company of Trinidad for their input into the Atlantic LNG 4 Plant beginning early in 2006. Terms of the contract call for wellhead pricing to be a function of Henry Hub, the industry benchmark for natural gas spot and futures trading in the United States. Finally, in Trinidad, EOG announced a 10-year extension and amendments to the pricing terms of the SECC natural gas sales contract. Under the new agreement, wellhead natural gas pricing for EOG will contain a fixed price component and be linked partially to Caribbean ammonia and methanol commodity prices. Using current commodity prices, the revised pricing structure is expected to result in higher wellhead netbacks to EOG.

"EOG has never been better positioned to achieve its production growth targets and continue the momentum we have steadily built over the years. Based on our company's consistent performance and current commodity prices, we expect to achieve 13.5 percent organic production growth in 2005, which includes an 11 percent increase in natural gas production from the U.S. and Canada. To achieve this, we expect our capital expenditure budget to be approximately $1.6 billion, compared to the $1.5 billion we spent last year," said Papa. "Although production from the Barnett Shale will contribute to this production goal, the strong ongoing performance from our other assets in the U.S. and Canada remain integral to our future success."

Reserves

At December 31, 2004, total company reserves were approximately 5.6 trillion cubic feet equivalent, an increase of 430 billion cubic feet equivalent (Bcfe), or 8 percent higher than 2003. From drilling alone, EOG added 850 Bcfe of reserves. For the year, total reserve replacement, the ratio of net reserve additions from drilling, acquisitions, revisions and dispositions to total production was 194 percent. (Please see attached table for supporting data.) Proved undeveloped reserves as a percentage of total reserves decreased to 25 percent at year-end 2004, down from 33 percent at year-end 2003. For the 17th consecutive year, internal reserve estimates were within 5 percent of reserve estimates prepared by the independent reserve engineering firm of DeGolyer and MacNaughton. The firm prepared independent reserve estimates on properties comprising 77 percent of EOG's proved reserves on a Bcfe basis.

Capital Structure

At December 31, 2004, EOG's total debt outstanding was $1,078 million and cash on the balance sheet was $21 million. The company's debt-to-total capitalization ratio was 27 percent at December 31, 2004, down from 33 percent at December 31, 2003. In addition to $31 million of debt pay down during the year, EOG also redeemed $50 million of a preferred issuance leaving $100 million of preferred stock outstanding.

"During 2004, we funded our capital expenditure program, increased the dividend on the common stock, paid down debt and redeemed preferred stock," said Papa. "At current commodity prices, we would expect to further reduce EOG's debt during 2005."

Conference Call Scheduled for February 3, 2005

EOG's fourth quarter and full year 2004 conference call will be available via live audio webcast at 8:30 a.m. Central Time (9:30 a.m. Eastern Time) Thursday, February 3, 2005. To listen to this webcast, log on to http://www.eogresources.com/ . The webcast will be archived on EOG's website through February 17, 2005.

EOG Resources, Inc. is one of the largest independent (non-integrated) oil and natural gas companies in the United States with substantial proved reserves in the United States, Canada, offshore Trinidad and, to a lesser extent, the United Kingdom North Sea. EOG Resources, Inc. is listed on the New York Stock Exchange and is traded under the ticker symbol "EOG".

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are not guarantees of performance. Although EOG believes its expectations reflected in forward- looking statements are based on reasonable assumptions, no assurance can be given that these expectations will be achieved. Important factors that could cause actual results to differ materially from the expectations reflected in the forward-looking statements include, among others: the timing and extent of changes in commodity prices for crude oil, natural gas and related products, foreign currency exchange rates and interest rates; the timing and impact of liquefied natural gas imports and changes in demand or prices for ammonia or methanol; the extent and effect of any hedging activities engaged in by EOG; the extent of EOG's success in discovering, developing, marketing and producing reserves and in acquiring oil and gas properties; the accuracy of reserve estimates, which by their nature involve the exercise of professional judgment and may therefore be imprecise; the availability and cost of drilling rigs, experienced drilling crews and tubular steel; the availability of pipeline transportation capacity; the extent to which EOG can replicate on its other Barnett Shale acreage the results of its most recent Barnett Shale wells; the results of wells yet to be drilled that are necessary to test whether substantial Barnett Shale acreage positions outside of Johnson and Parker Counties, Texas, contain suitable drilling prospects; whether EOG is successful in its efforts to more densely develop its acreage in the Barnett Shale and other production areas; political developments around the world; acts of war and terrorism and responses to these acts; and financial market conditions. In light of these risks, uncertainties and assumptions, the events anticipated by EOG's forward-looking statements might not occur. EOG undertakes no obligations to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. As noted above, statements of proved reserves are only estimates and may be imprecise. Any reserve estimates provided in this press release that are not specifically designated as being estimates of proved reserves may include not only proved reserves, but also other categories of reserves that the SEC's guidelines strictly prohibit EOG from including in filings with the SEC. Investors are urged to consider closely the disclosure in EOG's Form 10-K for fiscal year ended December 31, 2003, available from EOG at P.O. Box 4362, Houston, Texas 77210-4362 (Attn: Investor Relations). You can also obtain this form from the SEC by calling 1-800-SEC-0330 or from the SEC's website at http://www.sec.gov/ . In addition, reconciliation and calculation schedules for Non-GAAP Financial Measures referred to in this presentation can be found on the EOG Resources website at http://www.eogresources.com/ .

                           EOG RESOURCES, INC.
                             FINANCIAL REPORT
            (Unaudited; in millions, except per share amounts)

                                   Quarter                Twelve Months
                              Ended December 31         Ended December 31
                               2004       2003          2004         2003
  Net Operating Revenues       $693.7     $396.5      $2,271.2     $1,744.7
  Net Income Available to
   Common                      $204.1      $71.8        $614.0       $419.1
  Net Income Per Share
   Available to Common
    Basic                       $1.73      $0.62         $5.25        $3.66
    Diluted                     $1.69      $0.61         $5.15        $3.60
  Average Number of Shares
   Outstanding
    Basic                       118.1      114.9         116.9        114.6
    Diluted                     120.6      117.2         119.2        116.5



                        SUMMARY INCOME STATEMENTS
                        (Unaudited; in thousands)

                                   Quarter               Twelve Months
                              Ended December 31        Ended December 31
                               2004       2003         2004         2003
  Net Operating Revenues
    Natural Gas              $547,843   $360,554    $1,843,895   $1,537,352
    Crude Oil, Condensate
     and Natural Gas
     Liquids                  142,208     78,399       458,446      283,042
    Gains (Losses) on
     Mark-to-Market
     Commodity Derivative
     Contracts                  2,826    (43,068)      (33,449)     (80,414)
    Other, Net                    777        643         2,333        4,695
      Total                   693,654    396,528     2,271,225    1,744,675
  Operating Expenses
    Lease and Well             72,110     56,211       271,086      212,601
    Exploration Costs          26,475     18,949        93,941       76,358
    Dry Hole Costs             41,937     22,224        92,142       41,156
    Impairments                30,241     25,585        81,530       89,133
    Depreciation,
     Depletion and
     Amortization             144,125    121,265       504,403      441,843
    General and
     Administrative            34,152     28,669       115,013      100,403
    Taxes Other Than
     Income                    38,091     22,620       133,915       85,867
      Total                   387,131    295,523     1,292,030    1,047,361
  Operating Income            306,523    101,005       979,195      697,314

  Other Income, Net             7,296     10,517         9,945       15,273

  Income Before Interest
   Expense and Income
   Taxes                      313,819    111,522       989,140      712,587

  Interest Expense, Net        14,919     13,954        63,128       58,711

  Income Before Income
   Taxes                      298,900     97,568       926,012      653,876

  Income Tax Provision         92,145     23,058       301,157      216,600

  Net Income Before
   Cumulative Effect of
   Change in Accounting
   Principle                  206,755     74,510       624,855      437,276

  Cumulative Effect of
   Change in Accounting
   Principle, Net of
   Income Tax                     ---        ---           ---       (7,131)

  Net Income                  206,755     74,510       624,855      430,145

  Preferred Stock
   Dividends                    2,618      2,758        10,892       11,032

  Net Income Available to
   Common                    $204,137    $71,752      $613,963     $419,113



                           EOG RESOURCES, INC.
                           OPERATING HIGHLIGHTS
                               (Unaudited)

                                           Quarter          Twelve Months
                                      Ended December 31   Ended December 31
                                        2004      2003      2004     2003
  Wellhead Volumes and Prices

  Natural Gas Volumes (MMcf/d)
    United States                          666       632       631      638
    Canada                                 234       195       212      165
      United States & Canada               900       827       843      803
    Trinidad                               224       151       186      152
    United Kingdom                          19       ---         7      ---
      Total                              1,143       978     1,036      955

  Average Natural Gas Prices ($/Mcf)
    United States                        $6.21     $4.52     $5.72    $5.06
    Canada                                5.79      4.33      5.22     4.66
      United States & Canada
       Composite                          6.10      4.47      5.60     4.98
    Trinidad                              1.63      1.41      1.51     1.35
    United Kingdom                        5.08       ---      5.14      ---
      Composite                           5.20      4.00      4.86     4.40

  Crude Oil and Condensate Volumes
   (MBD)
    United States                         22.5      20.1      21.1     18.5
    Canada                                 2.9       2.7       2.7      2.3
      United States & Canada              25.4      22.8      23.8     20.8
    Trinidad                               4.4       2.4       3.6      2.4
    United Kingdom                         0.1       ---       ---      ---
      Total                               29.9      25.2      27.4     23.2

  Average Crude Oil and Condensate
   Prices ($/Bbl)
    United States                       $46.68    $30.27    $40.73   $30.24
    Canada                               42.50     27.74     37.68    28.54
      United States & Canada
       Composite                         46.19     29.98     40.39    30.05
    Trinidad                             41.14     29.24     39.12    28.88
    United Kingdom                       40.82       ---       ---      ---
      Composite                          45.43     29.91     40.22    29.92

  Natural Gas Liquids Volumes (MBD)
    United States                          4.9       3.7       4.8      3.2
    Canada                                 1.1       0.7       0.8      0.6
      Total                                6.0       4.4       5.6      3.8

  Average Natural Gas Liquids Prices
   ($/Bbl)
    United States                       $32.75    $22.44    $27.79   $21.53
    Canada                               26.09     19.92     23.23    19.13
      Composite                          31.48     22.02     27.13    21.13

  Natural Gas Equivalent Volumes
   (MMcfe/d)
    United States                          830       774       786      768
    Canada                                 258       217       233      183
      United States & Canada             1,088       991     1,019      951
    Trinidad                               251       164       207      166
    United Kingdom                          20       ---         7      ---
      Total                              1,359     1,155     1,233    1,117

  Total Bcfe Deliveries                  125.0     106.3     451.5    407.8



                           EOG RESOURCES, INC.
                          SUMMARY BALANCE SHEETS
               (Unaudited; in thousands, except share data)

                                              December 31,      December 31,
                                                  2004              2003

                                  ASSETS
  Current Assets
    Cash and Cash Equivalents                    $20,980            $4,443
    Accounts Receivable, Net                     447,742           295,118
    Inventories                                   40,037            21,922
    Assets from Price Risk Management
     Activities                                   10,747               ---
    Income Taxes Receivable                        3,232             7,976
    Deferred Income Taxes                         22,227            31,548
    Other                                         41,838            35,007
         Total                                   586,803           396,014

  Oil and Gas Properties (Successful
   Efforts Method)                             9,599,276         8,189,062
    Less:  Accumulated Depreciation,
     Depletion and Amortization               (4,497,673)       (3,940,145)
      Net Oil and Gas Properties               5,101,603         4,248,917
  Other Assets                                   110,517           104,084
  Total Assets                                $5,798,923        $4,749,015

                   LIABILITIES AND SHAREHOLDERS' EQUITY
  Current Liabilities
    Accounts Payable                            $424,581          $282,379
    Accrued Taxes Payable                         51,116            33,276
    Dividends Payable                              7,394             6,175
    Liabilities from Price Risk
     Management Activities                           ---            37,779
    Deferred Income Taxes                        103,933            73,611
    Other                                         45,180            43,299
         Total                                   632,204           476,519


  Long-Term Debt                               1,077,622         1,108,872
  Other Liabilities                              241,319           171,115
  Deferred Income Taxes                          902,354           769,128

  Shareholders' Equity
    Preferred Stock, $.01 Par,
     10,000,000 Shares Authorized:
      Series B, 100,000 Shares Issued,
       Cumulative, $100,000 Liquidation
       Preference                                 98,826            98,589
      Series D, 500 Shares Issued,
       Cumulative, $50,000 Liquidation
       Preference                                    ---            49,827
    Common Stock, $.01 Par, 320,000,000
     Shares Authorized and 124,730,000
     Shares Issued                               201,247           201,247
    Additional Paid In Capital                    21,047             1,625
    Unearned Compensation                        (29,861)          (23,473)
    Accumulated Other Comprehensive
     Income                                      148,015            73,934
    Retained Earnings                          2,706,845         2,121,214
    Common Stock Held in Treasury,
     5,802,556 shares at December 31, 2004
     and 8,819,600 shares at
     December 31, 2003                          (200,695)         (299,582)
        Total Shareholders' Equity             2,945,424         2,223,381

  Total Liabilities and Shareholders'
   Equity                                     $5,798,923        $4,749,015



                           EOG RESOURCES, INC.
                     SUMMARY STATEMENTS OF CASH FLOWS
                        (Unaudited; in thousands)

                                                      Twelve Months
                                                    Ended December 31
                                                  2004              2003
  Cash Flows from Operating Activities
  Reconciliation of Net Income to Net
   Cash Provided by Operating Activities:
    Net Income                                  $624,855          $430,145
    Items Not Requiring Cash
       Depreciation, Depletion and
        Amortization                             504,403           441,843
       Impairments                                81,530            89,133
       Deferred Income Taxes                     204,231           191,726
       Cumulative Effect of Change in
        Accounting Principle, Net of
        Income Tax                                   ---             7,131
       Other, Net                                  4,580             1,033
    Mark-to-Market Commodity Derivative
     Contracts
       Total Losses                               33,449            80,414
       Realized Losses                           (82,644)          (44,870)
       Collar Premium                               (520)           (3,003)
    Tax Benefits From Stock Options
     Exercised                                    29,396            11,926
    Other, Net                                       537             2,141
    Changes in Components of Working
     Capital and Other Liabilities
       Accounts Receivable                      (151,799)          (27,945)
       Inventories                               (17,898)           (2,840)
       Accounts Payable                          136,716            74,645
       Accrued Taxes Payable                      18,197            12,056
       Other Liabilities                          (1,764)           (3,257)
       Other, Net                                 (2,683)          (15,314)
    Changes in Components of Working
     Capital Associated with
      Investing and Financing
      Activities                                 (28,381)          (36,944)
  Net Cash Provided by Operating
   Activities                                  1,352,205         1,208,020

  Investing Cash Flows
    Additions to Oil and Gas Properties       (1,324,542)       (1,204,383)
    Proceeds from Sales of Assets                 13,459            13,553
    Changes in Components of Working
     Capital Associated with
     Investing Activities                         26,788            38,491
    Other, Net                                   (20,471)          (13,946)
  Net Cash Used in Investing Activities       (1,304,766)       (1,166,285)

  Financing Cash Flows
    Net Commercial Paper and Line of
     Credit Repayments                            (6,250)              ---
    Long-Term Debt Borrowings                    150,000            98,050
    Long-Term Debt Repayments                   (175,000)         (134,310)
    Dividends Paid                               (37,595)          (31,294)
    Treasury Stock Purchased                         ---           (21,295)
    Redemption of Preferred Stock                (50,000)              ---
    Proceeds from Stock Options
     Exercised                                    75,510            35,138
    Other, Net                                        97            (3,485)
  Net Cash Used in Financing Activities          (43,238)          (57,196)

  Effect of Exchange Rate Changes on Cash         12,336            10,056

  Increase (Decrease) in Cash and Cash
   Equivalents                                    16,537            (5,405)
  Cash and Cash Equivalents at
   Beginning of Period                             4,443             9,848
  Cash and Cash Equivalents at End of
   Period                                        $20,980            $4,443



                           EOG RESOURCES, INC.
  QUANTITATIVE RECONCILIATION OF ADJUSTED NET INCOME AVAILABLE TO COMMON
                                (Non-GAAP)
                 TO NET INCOME AVAILABLE TO COMMON (GAAP)
           (Unaudited; in thousands, except per share amounts)

   The following chart adjusts reported fourth quarter and twelve months
   ended December 31 net income available to common to reflect actual cash
   realized from previously disclosed oil and gas hedges, to eliminate the
   mark-to-market gain or loss from these previously disclosed oil and gas
   hedges and to eliminate the after tax impact of the cumulative effect of
   change in accounting principle and the tax benefits related to the
   Canadian tax rate reduction in 2004 and 2003.  EOG believes this
   presentation may be useful to investors who follow the practice of some
   industry analysts who adjust reported company earnings to match
   realizations to production settlement months and exclude the impact of
   one-time items.  EOG management uses this information for comparative
   purposes within the industry.

                                         Quarter           Twelve Months
                                    Ended December 31    Ended December 31
                                     2004       2003      2004       2003

  Reported Net Income Available
   to Common                       $204,137   $71,752   $613,963   $419,113

  Mark-to-Market (MTM) Commodity
   Derivative Contracts Impact
    Total (Gains) Losses             (2,826)   43,068     33,449     80,414
    Realized Gains (Losses)         (12,137)    2,829    (82,644)   (44,870)
    Collar Premium                     (520)   (1,638)      (520)    (3,003)
       Subtotal                     (15,483)   44,259    (49,715)    32,541

    After Tax MTM Impact             (9,963)   28,481    (31,992)    20,940

  Impact of One-Time Items
    Add: Cumulative Effect of
     Change in Accounting
     Principle, Net of Income Tax       ---       ---        ---      7,131
    Less: Tax Benefit related to
     the Canadian Tax Rate
     Reduction                          ---   (14,126)    (5,335)   (14,126)

  Adjusted Non-GAAP Net Income
   Available to Common             $194,174   $86,107   $576,636   $433,058

  Adjusted Non-GAAP Net Income
   Per Share Available to Common
    Basic                             $1.64     $0.75      $4.93      $3.78
    Diluted                           $1.61     $0.73      $4.84      $3.72

  Average Number of Shares
   Outstanding
    Basic                           118,070   114,893    116,876    114,597
    Diluted                         120,556   117,209    119,188    116,519



                           EOG RESOURCES, INC.
Quantitative Reconciliation of Discretionary Cash Flow Available to Common
                                (Non-GAAP)
           to Net Cash Provided by Operating Activities (GAAP)
                        (Unaudited; in thousands)

   The following chart reconciles fourth quarter and twelve months ended
   December 31 net cash provided by operating activities to discretionary
   cash flow available to common.  EOG believes this presentation may be
   useful to investors who follow the practice of some industry analysts who
   adjust net cash provided by operating activities for changes in
   components of working capital, other liabilities and preferred stock
   dividends.  EOG management uses this information for comparative purposes
   within the industry.

                                     Quarter              Twelve Months
                                Ended December 31       Ended December 31
                                 2004        2003        2004        2003
  Net Cash Provided by
   Operating Activities        $382,778    $266,818  $1,352,205  $1,208,020

  Adjustments
    Exploration Costs            26,475      18,949      93,941      76,358
    Dry Hole Costs               41,937      22,224      92,142      41,156
    Changes in Components of
     Working Capital and
     Other Liabilities
      Accounts Receivable        93,221      18,546     151,799      27,945
      Inventories                 9,188       1,087      17,898       2,840
      Accounts Payable          (80,157)    (28,517)   (136,716)    (74,645)
      Accrued Taxes Payable     (21,256)     36,643     (18,197)    (12,056)
      Other Liabilities           8,543       4,782       1,764       3,257
      Other, Net                  9,631      20,350       2,683      15,314
    Changes in Components of
     Working Capital Associated
     with Investing and
     Financing Activities        10,150      12,624      28,381      36,944
    Preferred Dividends          (2,618)     (2,758)    (10,892)    (11,032)

  Discretionary Cash Flow
   Available to Common         $477,892    $370,748  $1,575,008  $1,314,101



                           EOG Resources, Inc.

  Quantitative Reconciliation of Common Shareholders' Equity (Non-GAAP)
         as Used in the Calculation of the Return on Equity (ROE)
                         to Shareholders' Equity
            (Unaudited; in millions, except ratio information)

   The following chart reconciles shareholders' equity to common
   shareholders' equity (Non-GAAP) as used in the return on equity (ROE)
   calculation.  EOG believes this presentation may be useful to investors
   who follow the practice of some industry analysts who utilize common
   shareholders' equity in their ROE calculation.  EOG management uses this
   information for comparative purposes within the industry.

                                                  2003              2004

  Shareholders' Equity                          $2,223.4          $2,945.4
  Less: Preferred Stock                           (148.4)            (98.8)
  Common Shareholders' Equity (Non-
   GAAP)                                        $2,075.0          $2,846.6

  Average Common Shareholders'
   Equity - (A)                                                   $2,460.8

  Net Income Available to Common - (B)                              $614.0

  Return on Equity (ROE) - (B) / (A)                                   25%



                           EOG Resources, Inc.

   Quantitative Reconciliation of After-Tax Interest Expense (Non-GAAP)
                      as Used in the Calculation of
                  the Return on Capital Employed (ROCE)
                           to Interest Expense
            (Unaudited; in millions, except ratio information)

   The following chart reconciles interest expense to after-tax interest
   expense (Non-GAAP) as used in the return on capital employed (ROCE)
   calculation.  EOG believes this presentation may be useful to investors
   who follow the practice of some industry analysts who utilize after-tax
   interest expense in their ROCE calculation.  EOG management uses this
   information for comparative purposes within the industry.

                                                  2003              2004

  Interest Expense                                                   $63.1
  Tax Benefit Imputed (based on 35%)                                 (22.1)
  After-Tax Interest Expense
   (Non-GAAP) - (A)                                                  $41.0

  Net Income - (B)                                                  $624.9

  Shareholders' Equity                          $2,223.4          $2,945.4
  Net Debt
    Long-Term Debt                               1,108.9           1,077.6
    Less: Cash                                      (4.4)            (21.0)
  Total Capitalization                          $3,327.9          $4,002.0

  Average Total Capitalization - ©                              $3,665.0

  Return on Capital Employed (ROCE) -
   [(A) +(B)] / ©                                                    18%



                           EOG RESOURCES, INC.
                        RESERVES SUPPLEMENTAL DATA
                               (Unaudited)

   2004 RESERVES RECONCILIATION SUMMARY
                                        United          US & Canada
  NATURAL GAS (Bcf)                     States   Canada   Subtotal  Trinidad
  Beginning Reserves                    2,101.6  1,178.5   3,280.1  1,305.5
  Revisions of previous estimates         (62.8)   (26.8)    (89.6)    34.2
  Purchases in place                       44.4     16.6      61.0      ---
  Extensions, discoveries and other
   additions                              537.8    208.0     745.8     37.9
  Sales in place                           (1.3)    (0.6)     (1.9)     ---
  Production                             (237.2)   (77.4)   (314.6)   (68.2)

  Ending Reserves                       2,382.5  1,298.3   3,680.8  1,309.4

  LIQUIDS (MMBbls) (A)
  Beginning Reserves                       73.0      8.3      81.3     13.9
  Revisions of previous estimates           2.6     (0.1)      2.5      3.4
  Purchases in place                        0.2      ---       0.2      ---
  Extensions, discoveries and other
   additions                                9.9      0.9      10.8      0.3
  Sales in place                           (0.4)     ---      (0.4)     ---
  Production                               (9.5)    (1.3)    (10.8)    (1.3)

  Ending Reserves                          75.8      7.8      83.6     16.3

  NATURAL GAS EQUIVALENTS (Bcfe)
  Beginning Reserves                    2,539.7  1,228.1   3,767.8  1,388.8
  Revisions of previous estimates         (47.0)   (27.5)    (74.5)    54.8
  Purchases in place                       45.4     16.6      62.0      ---
  Extensions, discoveries and other
   additions                              597.0    213.5     810.5     39.3
  Sales in place                           (3.8)    (0.7)     (4.5)     ---
  Production                             (294.1)   (85.1)   (379.2)   (75.9)

  Ending Reserves                       2,837.2  1,344.9   4,182.1  1,407.0

   (A)  Includes crude oil, condensate
        and natural gas liquids.


   2004 EXPLORATION AND DEVELOPMENT EXPENDITURES ($ Million)

  Acquisition Cost of Unproved
   Properties                            $129.3    $13.5    $142.8     $---
  Exploration Costs                       212.3     27.8     240.1     35.2
  Development Costs                       660.8    270.4     931.2     46.9

  Total Drilling                        1,002.4    311.7   1,314.1     82.1

  Acquisition Cost of Proved
   Properties                              47.6      4.6      52.2      ---

  Total                                 1,050.0    316.3   1,366.3     82.1

  Proceeds from Sales in Place             (7.2)    (2.9)    (10.1)    (3.4)

  Net Expenditures                     $1,042.8   $313.4  $1,356.2    $78.7

  Asset Retirement Costs                   $5.6     $6.6     $12.2     $4.0

  Deferred Income Tax Benefits on
    Acquired Properties                    $---   $(16.8)   $(16.8)    $---


   Net Proved Developed Reserves (Bcfe)
     At December 31, 2003               2,087.2    937.2   3,024.4    461.3
     At December 31, 2004               2,218.5  1,114.7   3,333.2    826.2



                           EOG RESOURCES, INC.
                  RESERVES SUPPLEMENTAL DATA (continued)
                               (Unaudited)

   2004 RESERVES RECONCILIATION SUMMARY
                                        United   Other   Total
  NATURAL GAS (Bcf)                     Kingdom  Int'l   Int'l      Total
  Beginning Reserves                      59.2    ---   1,364.7    4,644.8
  Revisions of previous estimates          ---             34.2      (55.4)
  Purchases in place                       ---              ---       61.0
  Extensions, discoveries and other
   additions                               ---             37.9      783.7
  Sales in place                           ---              ---       (1.9)
  Production                              (2.4)           (70.6)    (385.2)

  Ending Reserves                         56.8    ---   1,366.2    5,047.0

  LIQUIDS (MMBbls) (A)
  Beginning Reserves                       0.1    ---      14.0       95.3
  Revisions of previous estimates          ---              3.4        5.9
  Purchases in place                       ---              ---        0.2
  Extensions, discoveries and other
   additions                               ---              0.3       11.1
  Sales in place                           ---              ---       (0.4)
  Production                               ---             (1.3)     (12.1)

  Ending Reserves                          0.1    ---      16.4      100.0

  NATURAL GAS EQUIVALENTS (Bcfe)
  Beginning Reserves                      59.7    ---   1,448.5    5,216.3
  Revisions of previous estimates          0.4             55.2      (19.3)
  Purchases in place                       ---              ---       62.0
  Extensions, discoveries and other
   additions                               ---             39.3      849.8
  Sales in place                           ---              ---       (4.5)
  Production                              (2.5)           (78.4)    (457.6)

  Ending Reserves                         57.6    ---   1,464.6    5,646.7

   (A)  Includes crude oil, condensate
        and natural gas liquids.


   2004 EXPLORATION AND DEVELOPMENT EXPENDITURES ($ Million)

  Acquisition Cost of Unproved
   Properties                             $---   $---      $---     $142.8
  Exploration Costs                       27.8    3.5      66.5      306.6
  Development Costs                       30.9    ---      77.8    1,009.0

  Total Drilling                          58.7    3.5     144.3    1,458.4

  Acquisition Cost of Proved Properties    ---    ---       ---       52.2

  Total                                   58.7    3.5     144.3    1,510.6

  Proceeds from Sales in Place             ---    ---      (3.4)     (13.5)

  Net Expenditures                       $58.7   $3.5    $140.9   $1,497.1

  Asset Retirement Costs                  $---   $---      $4.0      $16.2

  Deferred Income Tax Benefits on
    Acquired Properties                   $---   $---      $---     $(16.8)


   Net Proved Developed Reserves (Bcfe)
     At December 31, 2003                  ---    ---     461.3    3,485.7
     At December 31, 2004                 57.6    ---     883.8    4,217.0

 

For Further Information Contact:

Investors
Maire A. Baldwin
(713) 651-6EOG (651-6364)

Media and Investors 
Elizabeth M. Ivers
(713) 651-7132

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