UK-based oil exploration and production company EnQuest (LSE:ENQ, Financial) has executed its business plan well over the past several years, reducing debt and lowering operating costs per barrel to make the company more resilient against oil price volatility. The rally in oil prices during the year has buoyed the company’s free cash flow generation and improved its credit profile, even as 2021 annual production is expected to come in at the low end of guid-ance. In the first half of 2021, EnQuest reported a 63% increase in free cash flow, which helped reduce its overall debt load by around $100 million.
From First Eagle High Income Fund's third-quarter 2021 commentary.
