COP · Earnings call · 2026Q3T · Full report

Permian Inventory and Development

CONOCOPHILLIPS · 2026-11-05 · Importance 44 · Surprise 24

ConocoPhillips said its proven primary zones remain the principal focus of Permian development, supported by what it described as the basin’s deepest Tier 1 inventory. Delaware Woodford wells brought online this year are performing at or above expectations, with an estimated cost of supply in the low-$30s to $40 range; the company expects further improvement from longer three-mile development and optimized completions. Midland Barnett results are still early, but management described them as encouraging and in line with core Midland Basin wells. Secondary zones are viewed as upside rather than a substitute for the core inventory.

Key facts

• CONOCOPHILLIPS said its Lower 48 portfolio had over 20 years of low-cost-supply Permian inventory.
• CONOCOPHILLIPS said Delaware Woodford wells brought online in 2026 were performing at or above expectations, with an estimated cost of supply of about $30 to $40 per barrel.
• CONOCOPHILLIPS said its Midland Barnett results were encouraging and the opportunities were in line with core Midland Basin wells, while delineation remained at an early stage.
• CONOCOPHILLIPS said its proven and primary Permian zones would remain the vast majority of its development program this year and for many years to come.
• CONOCOPHILLIPS said the vast majority of its Permian spending would remain focused on Tier 1 primary zones.