This summary is based on the third quarter fiscal 2007 earnings call conducted by EOG Resources Inc. (EOG: chart) on October 30, 2007.

Management:

Chairman and CEO: Mark G. Papa
VP and CFO: Timothy K. Driggers
Senior EVP, Operations: Gary L. Thomas
Senior EVP, Exploration: Loren M. Leiker

Key Investors Issues

- EPS were 82 cents a share compared to $1.21 a share a year ago
- Net income was $202.4 million down from $297.3 million a year ago.
- Revenue was $990.5 million, up 2.3% from $968.7 million a year ago.

Third Quarter Highlights

The company has between 50 million and 140 million cubic feet a day of net volumes curtailed on any given day in the Rockies.

- Net income available to common was $202.4 million, or 82 cents per share.
- EOG''s third quarter adjusted net income available to common was $195.7 million, or 79 cents per share.
- The company has recognized a write-down of exploration acreage and wells in the Northwest territories of Canada due to a signed purchase and sale agreement expected to close in the fourth quarter. This resulted in 6 cents per share per share after-tax expense.
- EOG''s DCF was $724.8 million, or $2.93 per share versus $2.75 per share a year ago.

Total exploration and development expenditures, including asset retirement obligations, were $945 million with $1 million of acquisitions.

- Capitalized interest was $7.7 million.
- Year-to-date, total exploration and development expenditures including asset retirement obligations were $2.772 billion with only $2.4 million of acquisitions.
- At September 30, total debt outstanding was $1.283 billion and the debt to total cap ratio with 16%.
- At quarter-end, the company had $302 million of cash on the balance sheet.
- The effective tax rate was 36% and the deferred tax ratio was 91%.

In the United States, EOG''s total crude oil and condensate production increased 23% compared to the same quarter a year ago, driven by continued drilling success in North Dakota and the Mid Continent.

- In Mountrail County, North Dakota, EOG has reported successful drilling from the Bakken Formation.
- The Wenco #1-30H, in which EOG has a 52% working interest, was completed to sales at the end of September at an initial production rate of 1,930 barrels of oil per day (Bopd), gross.
- Also in Mountrail County, the Austin #1-02H was completed to sales in October at an initial production rate of 2,000 Bopd. EOG has a 100% working interest in the well, which is located nine miles north of existing production. This is the northernmost location that EOG has drilled to date.

- To further confirm the northern extension of the field, following completion of the Austin #1-02H, EOG drilled an offset well, the Austin #2-03H that will be completed in November.
- Based on shows during drilling, EOG expects the well to produce at a rate similar to that of the Austin #1-02H. EOG has an 81% working interest in the Austin #2-03H.
- In the North Dakota Bakken Play, where it has accumulated over 175,000 net acres, EOG plans to increase drilling activity from six to eight rigs in early 2008.

EOG''s natural gas and natural gas liquids production in the United States increased 19% versus the same quarter in 2006, with the largest increase coming from the Fort Worth Basin Barnett Shale.

In Johnson County, refinements in well completion processes are resulting in higher well production rates. Reflecting a more efficient drilling program and improved well results, overall natural gas production from the Barnett Shale has exceeded internal estimates. Therefore, EOG is increasing its net year-end exit rate from the Barnett Shale from 300 to approximately 350 million cubic feet per day.

Outside of the Barnett Shale, EOG''s total production in the United States and Canada increased approximately 6% for the first nine months of 2007 as compared to the same period a year ago. Increases were driven by East Texas and Rocky Mountain natural gas activity and crude oil production in North Dakota.

Fiscal 2008 Outlook

- EOG announced 2008 total company production growth targets, ranging from 13% to 17%, depending upon drilling economics and North American natural gas prices.
- Production growth next year will be driven by United States operations, particularly the Fort Worth Basin Barnett Shale natural gas and the North Dakota Bakken crude oil plays, both high rate of return programs. Production from Canada, Trinidad and the United Kingdom North Sea in 2008 is expected to be relatively flat with 2007 production levels.
- While the economics of onshore drilling in North America remain strong, EOG is approaching its 2008 natural gas drilling and capital expenditure program with a measure of caution based on the uncertainty of natural gas pricing.

- The company has set two alternate production growth targets, one more aggressive than the other. Initial case assumes a more robust natural gas price environment with Henry Hub gas prices averaging $8 or higher. In this scenario, the company is targeting 17% total company production growth. However, after the first quarter, if it appears that the industry is in a $7 natural gas price environment for the year, the company will reset the total company production growth target to 13%. In either case, the company expects total company crude oil and condensate production to increase 33% in 2008 over 2007.

Key questions from the third quarter earnings call conducted by EOG Resources Inc. on October 30, 2007.