Jan 13 (Reuters) - U.S. shale producer Diamondback Energy ( FANG ) on Monday flagged

lower prices for its oil production in the fourth quarter, compared to the preceding three

months.

Crude prices fell about 6% in the October-December quarter, weighed down by a patchy

post-pandemic demand recovery, China's sluggish economy and excess global supply. Prices have

fallen nearly 12% from a year ago.

The company said the average realized prices, or the price it received for total oil

production, declined to $69.48 per barrel during the three months ended Dec. 31, compared with

$73.13 per barrel in the preceding quarter.

However, a near 30% rise in U.S. natural gas prices is expected to offer some respite

to shale producers' earnings for the quarter.

The Texas-based producer signaled higher prices for its natural gas production in the fourth

quarter. The average realized prices for natural gas were 82 cents per thousand cubic feet (Mcf)

after hedging, compared to 60 cents per Mcf in the third quarter, the company said.

Diamondback's quarterly snapshot comes just days after rivals Exxon Mobil ( XOM ) and

Occidental Petroleum ( OXY ) also warned of a similar trend in their fourth-quarter earnings.

Exxon expects changes in oil prices and refining profits would lower its earnings by about

$1.75 billion, while Occidental said it received lower prices for its oil production during the

quarter.

Analysts expect Diamondback Energy ( FANG ) to post a profit of $3.36 per share for the fourth

quarter, and $15.86 for the full-year, according to estimates compiled by LSEG.

The producer will release its financial results on Feb. 24, the company's website showed.