SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 10-Q
(Mark One)
X QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended SEPTEMBER 30, 1995
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from ............to............
Commission file number 1-959
THE LOUISIANA LAND AND EXPLORATION COMPANY
Exact name of registrant as specified in its charter
MARYLAND 72-0244700
State or other jurisdiction of I.R.S. Employer
incorporation or organization Identification No.
909 POYDRAS STREET, NEW ORLEANS, LA. 70112
Address of principal executive offices Zip Code
Registrant's telephone number, including area code 504-566-6500
NO CHANGE
Former name, former address and former fiscal year, if
changed since last report
Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months (or
for such shorter period that the registrant was required to file
such reports), and (2) has been subject to such filing requirements
for the past 90 days. Yes X . No .
Indicate the number of shares outstanding of each of the
issuer's classes of common stock, as of the latest practicable
date.
Outstanding at
Class October 31, 1995
CAPITAL STOCK, $.15 PAR VALUE 33,480,692 SHARES
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THE LOUISIANA LAND AND EXPLORATION COMPANY
INDEX
Page
Number
_________________________________________________________________
PART I. FINANCIAL INFORMATION:
Item 1. Financial Statements:
(The September 30, 1995 and 1994 consolidated financial
statements included in this filing on Form 10-Q have been
reviewed by KPMG Peat Marwick LLP, independent auditors, in
accordance with established professional standards and
procedures for such a review. The report of KPMG Peat
Marwick LLP commenting upon their review is included
herein.)
Consolidated Balance Sheets - September 30, 1995 and
December 31, 1994............................. 3
Consolidated Statements of Earnings (Loss) - three
months and nine months ended September 30, 1995
and 1994...................................... 4
Consolidated Statements of Cash Flows - nine months
ended September 30, 1995 and 1994............. 5
Notes to Consolidated Financial Statements........ 6-7
Independent Auditors' Review Report............... 8
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of
Operations............................... 9-11
Petroleum Segment Information......................... 12
Operating Data........................................ 13-14
Part II. OTHER INFORMATION:
Item 6. Exhibits and Reports on Form 8-K............ 15
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<TABLE>
Part I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS.
THE LOUISIANA LAND AND EXPLORATION COMPANY
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
(Millions of dollars)
September 30, December 31,
ASSETS 1995 1994
_____________________________________________________________________________________
<S> <C> <C>
CURRENT ASSETS:
Cash, including cash equivalents (September 30,
1995-$2.6; December 31, 1994-$8.6) $ 7.6 12.5
Accounts and notes receivable, principally trade 117.0 126.4
Income taxes receivable 1.2 1.9
Inventories 20.7 31.8
Prepaid expenses 5.9 8.9
Deferred income taxes 2.6 2.6
_____________________________________________________________________________________
TOTAL CURRENT ASSETS 155.0 184.1
_____________________________________________________________________________________
Investments in affiliates 21.4 23.4
Property, plant and equipment 3,136.0 3,049.9
Less accumulated depletion, depreciation and amortization (1,913.0) (1,809.5)
_____________________________________________________________________________________
NET PROPERTY, PLANT AND EQUIPMENT 1,223.0 1,240.4
_____________________________________________________________________________________
Other assets 32.3 30.2
_____________________________________________________________________________________
$ 1,431.7 1,478.1
_____________________________________________________________________________________
LIABILITIES AND STOCKHOLDERS' EQUITY
_____________________________________________________________________________________
CURRENT LIABILITIES:
Accounts payable and accrued expenses 151.6 187.7
Income taxes payable 2.6 2.8
_____________________________________________________________________________________
TOTAL CURRENT LIABILITIES 154.2 190.5
_____________________________________________________________________________________
Deferred income taxes 44.7 40.0
Long-term debt 711.7 739.5
Other liabilities 157.3 155.7
_____________________________________________________________________________________
STOCKHOLDERS' EQUITY:
Capital stock 5.7 5.7
Additional paid-in capital 88.0 87.3
Retained earnings 429.9 424.2
_____________________________________________________________________________________
523.6 517.2
Loans to ESOP (2.6) (5.2)
Cost of capital stock in treasury (157.2) (159.6)
_____________________________________________________________________________________
TOTAL STOCKHOLDERS' EQUITY 363.8 352.4
_____________________________________________________________________________________
$ 1,431.7 1,478.1
_____________________________________________________________________________________
See accompanying notes to consolidated financial statements.
</TABLE>
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<TABLE>
THE LOUISIANA LAND AND EXPLORATION COMPANY
CONSOLIDATED STATEMENTS OF EARNINGS (LOSS)
(UNAUDITED)
(Millions, except per share data)
<CAPTION>
Three months ended Nine months ended
September 30, September 30,
1995 1994 1995 1994
_____________________________________________________________________________________
<S> <C> <C> <C> <C>
REVENUES:
Oil and gas $116.0 105.1 340.4 313.8
Refined products 97.1 92.3 272.5 270.6
Gain (loss) on sale of oil and gas
properties (.7) .2 1.5 6.8
Other (.4) .3 3.8 4.1
_____________________________________________________________________________________
212.0 197.9 618.2 595.3
_____________________________________________________________________________________
COSTS AND EXPENSES:
Lease operating and facility expenses 29.0 28.6 88.4 86.3
Refinery cost of sales and operating
expenses 96.3 93.9 267.7 268.3
Dry holes and exploratory charges 17.7 25.6 49.8 51.6
Depletion, depreciation and amortization 40.7 44.9 116.6 137.5
Taxes, other than on earnings 5.8 6.1 18.5 18.9
General, administrative and other
expenses 9.8 10.7 30.3 31.5
Interest and debt expenses 9.9 6.7 28.9 18.7
Reversal of litigation accrual - - - (10.0)
_____________________________________________________________________________________
209.2 216.5 600.2 602.8
_____________________________________________________________________________________
Earnings (loss) before income taxes 2.8 (18.6) 18.0 (7.5)
Income tax expense (benefit) 1.0 (7.3) 6.3 (3.0)
_____________________________________________________________________________________
NET EARNINGS (LOSS) $ 1.8 (11.3) 11.7 (4.5)
_____________________________________________________________________________________
EARNINGS (LOSS) PER SHARE $ 0.05 (0.34) 0.35 (0.14)
_____________________________________________________________________________________
AVERAGE SHARES 33.6 33.4 33.5 33.4
_____________________________________________________________________________________
CASH DIVIDENDS PER SHARE $ 0.06 0.25 0.18 0.75
_____________________________________________________________________________________
See accompanying notes to consolidated financial statements.
</TABLE>
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<TABLE>
THE LOUISIANA LAND AND EXPLORATION COMPANY
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(Millions of dollars)
<CAPTION>
Nine months ended
September 30,
1995 1994
_____________________________________________________________________________________
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net earnings (loss) $ 11.7 (4.5)
Adjustments to reconcile to cash flows
from operations:
Gain on sale of oil and gas properties (1.5) (6.8)
Depletion, depreciation and amortization 116.6 137.5
Deferred income taxes 4.7 (3.3)
Dry holes and impairment charges 29.9 29.1
Other 3.6 2.0
_____________________________________________________________________________________
165.0 154.0
Changes in operating assets and liabilities:
Net decrease in receivables 21.7 20.7
Net (increase) decrease in inventories 11.1 (8.5)
Net decrease in prepaid items 3.0 6.8
Net decrease in payables (38.5) (24.0)
Other .6 1.6
_____________________________________________________________________________________
NET CASH FLOWS FROM OPERATING ACTIVITIES 162.9 150.6
_____________________________________________________________________________________
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures (133.7) (166.1)
Proceeds from asset sales 7.6 14.9
Other (14.5) (19.9)
_____________________________________________________________________________________
NET CASH FLOWS FROM INVESTING ACTIVITIES (140.6) (171.1)
_____________________________________________________________________________________
CASH FLOWS FROM FINANCING ACTIVITIES:
Additions to long-term debt 40.5 152.0
Repayments of long-term debt (68.3) (153.0)
Advances against cash surrender value 9.0 34.4
Dividends (6.0) (24.9)
Repayment of loans to ESOP 2.6 2.8
Other (5.0) (5.2)
_____________________________________________________________________________________
NET CASH FLOWS FROM FINANCING ACTIVITIES (27.2) 6.1
_____________________________________________________________________________________
DECREASE IN CASH AND CASH EQUIVALENTS $ (4.9) (14.4)
_____________________________________________________________________________________
See accompanying notes to consolidated financial statements.
</TABLE>
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THE LOUISIANA LAND AND EXPLORATION COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. In the opinion of the Company, the accompanying unaudited consolidated
financial statements contain all adjustments (consisting only of
normal recurring accruals) necessary to present fairly the financial
position as of September 30, 1995, and the results of operations and
cash flows for the three-month and nine-month periods ended September
30, 1995 and 1994. Certain amounts have been reclassified to conform
with the current period's presentation.
2. For the three months ended September 30, 1995 and 1994, interest costs
incurred were $13.4 million and $11.8 million, respectively, of which
$3.5 million and $5.1 million, respectively, were capitalized as part
of the cost of property, plant and equipment. For the nine months
ended September 30, 1995 and 1994, interest costs incurred were $41.0
million and $35.3 million, respectively, of which $12.1 million and
$16.6 million, respectively, were capitalized as part of the cost of
property, plant and equipment.
3. Earnings per share are calculated on the weighted average number of
shares outstanding during each period for capital stock and, when
dilutive, capital stock equivalents, which assumes exercise of stock
options.
4. In accordance with Regulation S-X, Rule 3-09, the audited consolidated
financial statements of the Company's 50%-owned affiliate, MaraLou
Netherlands Partnership (MaraLou) and its wholly-owned consolidated
subsidiary, CLAM Petroleum Company (CLAM), were filed with the
Company's Annual Report on Form 10-K for the year ended December 31,
1994.
Accordingly, the following unaudited summarized consolidated income
statement information for MaraLou and its consolidated subsidiary,
CLAM, for the three-month and nine-month periods ended September 30,
1995 and 1994 are presented in accordance with Regulation S-X, Rule
10-01(b).
<TABLE>
<CAPTION>
(Unaudited)
Three months ended Nine months ended
September 30, September 30,
1995 1994 1995 1994
________________________________________________________________________________
<S> <C> <C> <C> <C>
Gross revenues $14.0 12.9 59.7 44.1
________________________________________________________________________________
Operating profit 2.8 2.5 23.1 22.2
________________________________________________________________________________
Net earnings (loss) $ .6 (4.8) 8.8 2.9
________________________________________________________________________________
</TABLE>
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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
5. As explained in Note 15 of "Notes to Consolidated Financial Statements"
in the Company's 1994 Annual Report to Shareholders, the Company has
been notified by the U.S. Environmental Protection Agency that it is
one of many Potentially Responsible Parties (PRP) at various National
Priorities List sites. Based on its evaluation of the total cleanup
costs, its estimate of its potential exposure, and the viability of the
other PRP's, the Company believes that any costs ultimately required
to be borne by it at these sites will not have a material adverse
effect on the results of operations, cash flow or financial position
of the Company.
The Company is subject to other legal proceedings, claims and
liabilities which arise in the ordinary course of its business. In the
opinion of Management, the amount of ultimate liability with respect
to these actions will not have a material adverse effect on results of
operations, cash flow or financial position of the Company.
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INDEPENDENT AUDITORS' REVIEW REPORT
The Board of Directors and Stockholders
The Louisiana Land and Exploration Company:
We have reviewed the consolidated balance sheet of The Louisiana Land and
Exploration Company and subsidiaries as of September 30, 1995, and the
related consolidated statements of earnings (loss) and cash flows for the
three-month and nine-month periods ended September 30, 1995 and 1994.
These consolidated financial statements are the responsibility of the
Company's management.
We conducted our review in accordance with standards established by the
American Institute of Certified Public Accountants. A review of interim
financial information consists principally of applying analytical
procedures to financial data and making inquiries of persons responsible
for financial and accounting matters. It is substantially less in scope
than an audit conducted in accordance with generally accepted auditing
standards, the objective of which is the expression of an opinion
regarding the financial statements taken as a whole. Accordingly, we do
not express such an opinion.
Based on our review, we are not aware of any material modifications that
should be made to the consolidated financial statements referred to above
for them to be in conformity with generally accepted accounting
principles.
We have previously audited, in accordance with generally accepted auditing
standards, the consolidated balance sheet of The Louisiana Land and
Exploration Company and subsidiaries as of December 31, 1994, and the
related consolidated statements of earnings (loss), stockholders' equity,
and cash flows for the year then ended (not presented herein); and in our
report dated February 3, 1995, we expressed an unqualified opinion on
those consolidated financial statements. In our opinion, the information
set forth in the accompanying consolidated balance sheet as of
December 31, 1994, is fairly presented, in all material respects, in
relation to the consolidated balance sheet from which it has been derived.
/KPMG PEAT MARWICK LLP
KPMG PEAT MARWICK LLP
New Orleans, Louisiana
November 9, 1995
<PAGE>
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ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS.
REVIEW OF OPERATIONS
Third quarter operations resulted in pretax earnings of $2.8 million
for the 1995 quarter and $18 million for the first nine months. These were
significant improvements over the $18.6 million and $7.5 million pretax
losses reported for the comparable 1994 quarter and first nine months, re-
spectively. Higher oil and gas revenues, reduced depletion, depreciation
and amortization (DD&A) and lower dry holes and exploratory charges
contributed to the improvement. The prior year-to-date period also
included $16.8 million of nonrecurring pretax gains; $10 million due to
the reversal of a litigation accrual and $6.8 million from the sale of oil
and gas properties. The comparable 1995 year-to-date period included $1.5
million of nonrecurring gains from oil and gas properties sold.
OIL AND GAS OPERATIONS
Revenues from the Company's oil and gas operations for the third
quarter of 1995 were up $11 million from the third quarter of 1994.
Liquids revenues were up $6 million primarily due to higher crude oil
volumes ($7 million), which more than offset the effect of lower prices
($2 million). Natural gas revenues were up $5 million as a result of
higher deliveries ($8 million), which were partially offset by lower
prices ($3 million).
In the first nine months of 1995, revenues from the Company's oil and
gas operations were up $27 million from the comparable 1994 period.
Liquids revenues were up $39 million primarily as a result of higher crude
oil prices ($22 million) and volumes ($12 million). Even though natural
gas deliveries increased ($17 million), natural gas revenues were down
approximately $11 million due to lower prices ($28 million).
Crude oil volumes in the third quarter and first nine months of 1995
increased 4900 and 3000 barrels per day, respectively, from the comparable
1994 periods primarily due to higher North Sea and other foreign volumes.
The North Sea volumes were up due to a short-term increase in T-Block
production following a maintenance shutdown and rising production at the
East Brae Field. These increases more than offset natural production
declines at mature Brae fields. Volumes from other foreign operations
were up in 1995 primarily due to the initiation of oil production from the
KG Field and entitlement adjustments in the Kakap Concession, offshore
Indonesia. Domestic volumes were lower in both the 1995 third quarter and
first nine months primarily due to natural declines and production
interruptions resulting from weather, maintenance, and drilling
activities. The decline in domestic volumes was partially offset by
production from new wells onstream.
<PAGE>
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS. (CONTINUED)
Natural gas deliveries were up 34 million and 31 million cubic feet per
day in the third quarter and first nine months of 1995, respectively, from
the prior year periods primarily due to the late-1994 initiation of North
Sea gas sales through the SAGE Pipeline System, new domestic wells coming
onstream, and the return to production of domestic wells which were shut-
in for repairs and maintenance in the comparable prior year periods.
While deliveries by the Company's 50%-owned affiliate, CLAM, were down
in the 1995 third quarter, higher deliveries for the first nine months
also contributed to the increase. These increases were partially offset
by the effects of natural declines at mature producing properties, the
voluntary curtailment of domestic natural gas deliveries due to low
prices, domestic wells shut-in for weather, maintenance and drilling
activities, and the sale of certain oil and gas properties since the 1994
comparable periods.
Lease operating and facility expenses (LOE) were higher in the 1995
periods due to volume-related increases in operating costs and facilities
expenses. DD&A was down from the comparable 1994 third quarter and first
nine months ($4 million and $21 million, respectively) primarily due to
the impact of the 1994 write-down of petroleum assets ($12 million and $38
million, respectively) and natural production declines on mature producing
properties ($3 million and $19 million, respectively). These reductions
were partially offset by DD&A associated with new wells onstream since the
1994 periods ($9 million and $15 million, respectively) and higher
production at T-Block and Brae Field ($5 million and $17 million,
respectively). Dry hole and exploratory charges were down for both 1995
periods due to the write-off of fewer exploratory wells and lower seismic
costs incurred. General, administrative and other expenses were reduced
in each of the current year periods from 1994 levels. Interest and debt
expenses increased due to higher interest rates and a reduction in
interest capitalized on qualifying projects.
REFINING OPERATIONS
Refining operations resulted in a $.4 million pretax operating loss for
the third quarter of 1995, compared to the $2.9 million operating loss
reported in the 1994 quarter. Increased revenue due to higher sales
volumes ($8 million) offset the impact of lower product prices ($2
million) and higher crude oil feedstock costs ($4 million).
For the first nine months of 1995, refining operations resulted in a
$1.4 million pretax operating profit, which was an improvement from the
$.9 million operating loss reported in the comparable 1994 period.
Increased revenue due to higher product prices ($18 million) were
partially offset by reduced sales volumes ($11 million) and increased
feedstock costs ($4 million).
<PAGE>
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LIQUIDITY AND CAPITAL RESOURCES
In the first nine months of 1995, the Company generated approximately
$163 million in cash from operations. However, cash and equivalents were
reduced $5 million from the December 31, 1994 level primarily as the
result of expenditures for capital projects ($134 million), reductions of
long-term debt ($28 million) and dividends paid ($6 million).
The Company expects to fund its 1995 expenditures, including capital
and exploration expenditures of approximately $202 million, primarily from
operating cash flows and partially from the proceeds from sales of
nonstrategic assets. The Company does not expect to realize any
significant losses from these sales. However, the Company expects to
supplement its working capital, from time-to-time, through its commercial
paper program and its existing revolving credit facility.
Near the end of the third quarter, the Company agreed to sell its
remaining oil and gas assets in Canada. The sale, which was closed in
early October at a price of approximately $13 million, resulted in a
minimal pretax loss.
Effective with July production the Company initiated a natural gas
hedging program designed to minimize price risks covering substantially
all of its domestic gas production for the second half of the year. Gains
and losses under this program are offset by losses and gains on the hedged
natural gas production. The hedging program consists of a series of
monthly forward sales at fixed prices combined with purchased call options
which together establish an average floor price of approximately $1.75 per
MCF for the period and allow the Company to participate in gas price
increases more than $0.15 above the floor price.
The Company had a $450 million reducing revolving credit facility under
which the participating banks' lending commitments were to be reduced by
$20 million quarterly from June 1995 through September 2000. In June
1995, the facility was replaced by a $450 million revolving credit
facility due June 30, 2000.
In March 1995, the Financial Accounting Standards Board issued
Statement of Financial Accounting Standards No. 121 (SFAS No. 121),
"Accounting for the Impairment of Long-Lived Assets and for Long-Lived
Assets to be Disposed Of". SFAS No. 121 requires that long-lived assets
be reviewed for impairment whenever events or changes in circumstances
indicate that the carrying amount of an asset may not be recoverable.
SFAS No. 121 is effective for financial statements for fiscal years
beginning after December 15, 1995. Earlier application is encouraged.
Based on current economic conditions, the Company presently estimates that
adoption of SFAS No. 121 would not have a material adverse affect on its
financial position or results of operations.
NOTE: The accompanying consolidated financial statements and notes
thereto included in Item 1. of this Form 10-Q and the petroleum
segment information and operating data following this Item 2. are
an integral part of this discussion and analysis and should be
read in conjunction herewith.
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THE LOUISIANA LAND AND EXPLORATION COMPANY
PETROLEUM SEGMENT INFORMATION
(Millions of dollars)
<CAPTION>
Three months ended Nine months ended
September 30, September 30,
1995 1994 1995 1994
_____________________________________________________________________________________
<S> <C> <C> <C> <C>
Sales to unaffiliated customers:
Domestic $ 169.0 166.0 494.5 517.0
North Sea 33.3 26.4 99.6 60.4
Other foreign 10.1 5.2 20.3 13.8
_____________________________________________________________________________________
212.4 197.6 614.4 591.2
Interest and other income (.4) .3 3.8 4.1
_____________________________________________________________________________________
Total revenues $ 212.0 197.9 618.2 595.3
_____________________________________________________________________________________
Earnings (loss) before income taxes:
Operating profit (loss):
Domestic 19.5 6.3 63.9 46.7
North Sea 9.6 4.3 27.0 4.0
Other foreign (4.5) (10.4) (12.7) (16.8)
_____________________________________________________________________________________
24.6 .2 78.2 33.9
Other income (expense), net (21.8) (18.8) (60.2) (41.4)
_____________________________________________________________________________________
Earnings (loss) before income taxes $ 2.8 (18.6) 18.0 (7.5)
_____________________________________________________________________________________
Capital expenditures:
Exploration:
Domestic 14.4 12.2 37.2 35.6
North Sea - .8 .4 1.6
Other foreign 5.0 5.0 13.2 12.7
_____________________________________________________________________________________
19.4 18.0 50.8 49.9
_____________________________________________________________________________________
Development:
Domestic 16.3 25.6 44.7 62.3
North Sea 2.8 4.3 9.9 13.8
Other foreign 2.3 4.1 9.3 9.4
_____________________________________________________________________________________
21.4 34.0 63.9 85.5
_____________________________________________________________________________________
40.8 52.0 114.7 135.4
Refining and marketing 1.1 2.8 2.7 9.6
_____________________________________________________________________________________
41.9 54.8 117.4 145.0
Capitalized interest 3.5 5.1 12.1 16.6
Other .8 1.2 3.2 2.5
_____________________________________________________________________________________
$ 46.2 61.1 132.7 164.1
_____________________________________________________________________________________
</TABLE>
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THE LOUISIANA LAND AND EXPLORATION COMPANY
OPERATING DATA
<CAPTION>
Three months ended Nine months ended
September 30, September 30,
1995 1994 1995 1994
_____________________________________________________________________________________
<S> <C> <C> <C> <C>
OIL AND GAS OPERATIONS1
CRUDE AND CONDENSATE2
Production (thousands of barrels per day):
Domestic 20.1 21.9 20.8 22.8
North Sea 18.3 16.1 17.2 13.6
Other foreign 7.4 2.9 4.9 3.5
_____________________________________________________________________________________
45.8 40.9 42.9 39.9
_____________________________________________________________________________________
Average price received (per barrel):
Domestic $17.47 17.66 18.16 16.15
North Sea 16.52 17.17 17.31 15.73
Other foreign 14.87 15.94 14.90 12.42
Consolidated 16.67 17.35 17.45 15.68
_____________________________________________________________________________________
PLANT PRODUCTS
Production (thousands of barrels per day):
Domestic 2.6 2.6 2.9 2.4
North Sea 1.1 .7 1.0 .5
_____________________________________________________________________________________
3.7 3.3 3.9 2.9
_____________________________________________________________________________________
Average price received (per barrel):
Domestic $11.58 10.16 11.43 9.70
North Sea 11.83 11.07 13.37 11.51
Consolidated 11.66 10.35 11.92 10.00
_____________________________________________________________________________________
NATURAL GAS
Production (millions of cubic feet per day):
Domestic 229.5 215.7 237.0 232.8
North Sea 27.1 1.1 25.1 .6
Other foreign .9 2.4 1.8 3.0
CLAM Petroleum Company 26.1 29.9 39.7 35.9
_____________________________________________________________________________________
283.6 249.1 303.6 272.3
_____________________________________________________________________________________
Average price received (per MCF):
Domestic $ 1.78 1.78 1.65 2.05
North Sea 1.74 2.62 2.14 2.34
Other foreign 0.74 1.87 .68 1.79
CLAM Petroleum Company 2.72 2.25 2.64 2.19
Consolidated 1.86 1.84 1.81 2.07
_____________________________________________________________________________________
1 Includes the Company's 50% equity interest in its unconsolidated affiliate, CLAM
Petroleum Company.
2 Before the elimination of intercompany transfers.
</TABLE>
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<TABLE>
THE LOUISIANA LAND AND EXPLORATION COMPANY
OPERATING DATA (CONTINUED)
<CAPTION>
Three months ended Nine months ended
September 30, September 30,
1995 1994 1995 1994
_____________________________________________________________________________________
<S> <C> <C> <C> <C>
REFINING OPERATIONS
Refining Operating Profit (Loss):
Revenues:
Refined products* $103.3 97.2 294.9 288.2
Other .1 .5 .2 1.7
_____________________________________________________________________________________
103.4 97.7 295.1 289.9
_____________________________________________________________________________________
Cost and expenses:
Cost of sales* 92.7 88.6 260.3 256.4
Operating expenses 9.8 10.2 29.8 29.5
Depreciation .5 .9 1.3 2.4
Taxes, other than income .8 .9 2.3 2.5
_____________________________________________________________________________________
103.8 100.6 293.7 290.8
_____________________________________________________________________________________
$ (.4) (2.9) 1.4 (.9)
_____________________________________________________________________________________
*Before the elimination of intercompany
transfers to the Company's refinery $ 6.2 4.9 22.4 17.6
_____________________________________________________________________________________
Sales (thousands of barrels per day) 54.2 50.3 51.2 53.3
_____________________________________________________________________________________
Average price received (per barrel) $20.71 21.04 21.11 19.82
_____________________________________________________________________________________
_____________________________________________________________________________________
GROSS WELLS DRILLED
Working Interest
Exploratory:
Oil 4 - 5 3
Gas - 5 8 10
Dry 3 6 7 10
_____________________________________________________________________________________
7 11 20 23
_____________________________________________________________________________________
Development:
Oil 7 3 14 5
Gas 2 7 4 10
Dry - - - -
_____________________________________________________________________________________
9 10 18 15
_____________________________________________________________________________________
Total working interest 16 21 38 38
Royalty Interest 9 4 20 18
_____________________________________________________________________________________
Total wells 25 25 58 56
_____________________________________________________________________________________
NET WELLS DRILLED
Exploratory:
Oil 1.4 - 1.8 .9
Gas - 1.9 3.6 4.9
Dry 1.3 4.3 2.7 6.4
_____________________________________________________________________________________
2.7 6.2 8.1 12.2
_____________________________________________________________________________________
Development:
Oil 1.3 .2 2.2 .7
Gas .7 2.0 1.2 2.6
Dry - - - -
_____________________________________________________________________________________
2.0 2.2 3.4 3.3
_____________________________________________________________________________________
Total net wells 4.7 8.4 11.5 15.5
_____________________________________________________________________________________
</TABLE>
<PAGE>
<PAGE>
PART II. OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Exhibits:
Exhibit 27 - Financial Data Schedule
(b) Reports on Form 8-K:
NONE
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by
the undersigned, thereunto duly authorized.
THE LOUISIANA LAND AND EXPLORATION COMPANY
(REGISTRANT)
By: /s/ Jerry D. Carlisle
___________________________________________
JERRY D. CARLISLE
VICE PRESIDENT AND CONTROLLER
(PRINCIPAL ACCOUNTING OFFICER)
Dated: November 13, 1995
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED BALANCE SHEET AND CONSOLIDATED STATEMENT OF EARNINGS (LOSS)
OF THE LOUISIANA LAND AND EXPLORATION COMPANY AND IS QUALIFIED IN ITS
ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> SEP-30-1995
<CASH> 7,600
<SECURITIES> 0
<RECEIVABLES> 118,200
<ALLOWANCES> 0
<INVENTORY> 20,700
<CURRENT-ASSETS> 155,000
<PP&E> 3,136,000
<DEPRECIATION> 1,913,000
<TOTAL-ASSETS> 1,431,700
<CURRENT-LIABILITIES> 154,200
<BONDS> 711,700
<COMMON> 5,700
0
0
<OTHER-SE> 358,100
<TOTAL-LIABILITY-AND-EQUITY> 1,431,700
<SALES> 614,400
<TOTAL-REVENUES> 618,200
<CGS> 0
<TOTAL-COSTS> 541,000
<OTHER-EXPENSES> 30,300
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 28,900
<INCOME-PRETAX> 18,000
<INCOME-TAX> 6,300
<INCOME-CONTINUING> 11,700
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 11,700
<EPS-PRIMARY> .35
<EPS-DILUTED> .35
