Callon Petroleum posts hefty boost in 2Q profit

By The Associated Press

NATCHEZ, Miss. (AP) — Callon Petroleum Co. increased production during a period of high energy prices to post a hefty jump in second-quarter profit, the company reported.

For the April-though-June period, Callon earned $19.9 million, or 50 cents per share, on revenue of $36.8 million. In the year-ago second quarter, Callon earned $2.1 million, or 7 cents per share, on revenue of $21.6 million.

Callon said it increased both oil and natural gas production and realized higher prices than a year ago. The company received an average oil price of $105.75 during the quarter, up from $74.03 in the second quarter of 2010. Natural gas prices were slightly higher — $5.58 per thousand cubic feet, up from $5.22 a year ago.

Oil revenue rose 83 percent to $29.1 million, while natural gas revenue was up 37 percent at $7.7 million.

Callon is focused on land drilling and production in Louisiana and Texas and offshore in the Gulf of Mexico.

The results were released after financial markets closed Monday.