EOG Resources Inc. (EOG) will increase its quarterly dividend by 30.4 percent to $0.375 per share in 2020. Last year the oil company hiked its dividend by 30.7 percent. EOG has now hiked its dividend three consecutive years.

The next dividend will be payable April 30, 2020, to stockholders of record as of April 16, 2020. The indicated annual rate is $1.50 per share yields 1.8% at a stock price of $60.

"Year after year, EOG keeps getting better, delivering record operating performance in 2019. Significant capital efficiency improvements from strong well productivity and sustainable cost reductions allowed us to deliver higher production with less capital investment than we planned at the beginning of the year," said William R. "Bill" Thomas, Chairman and Chief Executive Officer in the company's press release announcing the fourth quarter and full-year 2019 results. "We did this while generating substantial free cash flow, strengthening our financial position and increasing the dividend. This was the third consecutive year since our transition to premium drilling that EOG delivered double-digit returns and production growth along with strong free cash flow." 

"EOG's high-return premium drilling program and our low cost structure allow us to continue upholding the commitment we have made to return more cash to shareholders. This latest dividend increase demonstrates the confidence we have in our ability to grow cash flow, generate high returns through our premium well strategy and improve our future inventory with high quality new drilling potential," Thomas said.

EOG Resources, Inc., organized in 1985, together with its subsidiaries explores for, develops, produces and markets crude oil and natural gas primarily in major producing basins in the United States of America, The Republic of Trinidad and Tobago (Trinidad), The People's Republic of China (China), Canada and select other international areas. EOG's operations are all crude oil and natural gas exploration and production related.