EOG · 10-Q · 2026Q2 · Full report

Operating Expense Trends

EOG RESOURCES INC · 2026-08-04 · Importance 64 · Surprise 56 · In source text

Second-quarter 2026 operating expenses increased $1,361 million to $5,092 million, while first-half operating expenses increased $1,874 million to $9,415 million.,First-half gathering, processing and transportation costs increased $435 million to $1,330 million, primarily because of $440 million of higher costs in the Utica and $20 million in the Permian Basin.,First-half depreciation, depletion and amortization increased $386 million to $2,452 million, principally from $478 million of higher United States production-related expense, partly offset by $115 million of lower United States unit rates.,First-half general and administrative expense increased $41 million to $398 million because of higher employee-related costs of $34 million, legal expenses of $13 million and information-systems costs of $7 million.

Key facts

• Total operating expenses for Q2 2026 were $5,092 million, $1,361 million higher than $3,731 million in Q2 2025. source
• For the first six months of 2026, DD&A expense was $2,452 million, an increase of $386 million from $2,066 million for the same period in 2025. source
• EOG's GP&T costs for the first six months of 2026 were $1,330 million, an increase of $435 million from $895 million for the same period of 2025, primarily due to increased GP&T costs related to increased production in the Utica ($440 million) and Permian Basin ($20 million), partially offset by a decrease in the Eagle Ford ($22 million). source
• Taxes other than income for Q2 2026 were $431 million (6.6% of revenues from sales) compared to $301 million (7.3% of revenues) for Q2 2025, an increase of $130 million primarily due to severance/production taxes ($111 million) and ad valorem/property taxes ($10 million) in the United States. source
• Important factors include the extent to which EOG is able to successfully and economically develop, implement and carry out its emissions and other environmental or safety-related initiatives and achieve its related targets, goals, ambitions and initiatives. source
• Important factors include the extent to which EOG is successful in its efforts to economically develop its acreage in, produce reserves and achieve anticipated production levels and rates of return from, decrease or otherwise control drilling, completion and operating costs and capital expenditures related to, and maximize reserve recoveries from, its existing and future crude oil and natural gas exploration and development projects and associated potential and existing drilling locations. source
• Important factors include the success of EOG's cost-mitigation initiatives and actions in offsetting the impact of any inflationary or other pressures on EOG's operating costs and capital expenditures. source

Impact estimates