Latest news with #E&P
Reuters
2 days ago
- Business
- Reuters
US drillers cut oil and gas rigs for third week in a row, Baker Hughes says
Aug 8 (Reuters) - U.S. energy firms this week cut the number of oil and natural gas rigs operating for a third week in a row, energy services firm Baker Hughes (BKR.O), opens new tab said in its closely followed report on Friday. The oil and gas rig count, an early indicator of future output, fell by one to 539 in the week to August 8. , , Baker Hughes said oil rigs rose by one to 411 this week, while gas rigs fell by one to 123, and miscellaneous rigs fell by one to five. The oil and gas rig count declined by about 5% in 2024 and 20% in 2023 as lower U.S. oil and gas prices over the past couple of years prompted energy firms to focus more on boosting shareholder returns and paying down debt rather than increasing output. The independent exploration and production (E&P) companies tracked by U.S. financial services firm TD Cowen said they planned to cut capital expenditures by around 4% in 2025 from levels seen in 2024. That compares with roughly flat year-over-year spending in 2024, increases of 27% in 2023, 40% in 2022, and 4% in 2021. Even though analysts forecast U.S. spot crude prices would decline for a third year in a row in 2025, the U.S. Energy Information Administration (EIA) projected crude output would rise from a record 13.2 million barrels per day (bpd) in 2024 to around 13.4 million bpd in 2025. On the gas side, the EIA projected a 68% increase in spot gas prices in 2025 would prompt producers to boost drilling activity this year after a 14% price drop in 2024 caused several energy firms to cut output for the first time since the COVID-19 pandemic reduced demand for the fuel in 2020. The EIA projected gas output would rise to 105.9 billion cubic feet per day (bcfd) in 2025, up from 103.2 bcfd in 2024 and a record 103.6 bcfd in 2023.
Yahoo
31-07-2025
- Business
- Yahoo
ConocoPhillips (COP): A Top Crude Oil Stock to Buy Now
ConocoPhillips (NYSE:COP) is included among the Best Crude Oil Stocks to Buy According to Hedge Funds. An underground network of pipelines transporting oil through an expansive terrain. ConocoPhillips (NYSE:COP) boasts a low-cost portfolio with a cost-to-supply of less than $40 a barrel, cushioning the company's downside during the recent decline in crude oil prices. Moreover, thanks to its disciplined capital allocation strategy, COP has recently reduced its FY 2025 capital spending guidance by $500 million without impacting production levels, reiterating that it will deliver the same amount of oil and gas but for less money. With oil prices currently in the upper $60s, ConocoPhillips (NYSE:COP) remains on track to generate significant free cash flow. The oil giant has a consistent, long-term record of distributing a big chunk of this cash to shareholders, averaging an impressive 44.3% payout ratio over the last five years. COP distributed $2.5 billion to shareholders in Q1 2025 and these numbers are expected to receive a significant boost, since the company expects to generate $6 billion in incremental free cash flow by 2029, thanks to its investments in Alaska and in the ballooning LNG sector. ConocoPhillips (NYSE:COP) has raised its payouts for 10 consecutive years, putting it among the 10 Best and Safe Dividend Stocks to Buy Now. ConocoPhillips (NYSE:COP) is one of the world's largest independent E&P companies based on oil and natural gas production and proved reserves. While we acknowledge the potential of COP as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 10 Best Nuclear Energy Stocks to Buy Right Now and The 5 Energy Stocks Billionaires are Quietly Piling Into. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Herald Scotland
23-07-2025
- Business
- The Herald Scotland
Parkmead targets 'greener' deals after North Sea exit
The company sold subsidiary Parkmead (E&P), which included its North Sea oil licences, to Serica Energy in a deal worth up to £134 million that was first announced in December. It cited the ongoing challenges 'in the form of the current political environment towards UK oil and gas' – a reference to the windfall tax on North Sea profits that was increased by the Labour Government after coming to power – and the focus of the Starmer administration's net zero strategy as it explained the rationale for the sale. Parkmead has retained its 100% owned and operated Kempstone Hill wind farm in the north-east of Scotland, and four producing onshore gas fields in the Netherlands. And it signalled that it was actively seeking to expand its portfolio, telling the City that it is 'continuing to mature a range of high-impact investment and acquisition opportunities'. 'These initiatives are aligned with the group's strategy to grow and diversify its interests across international E&P (energy and production) and UK renewable energy projects,' the company added in a statement. Read more: 'Given that Parkmead will no longer be an offshore licence operator in the North Sea, with all the regulatory aspects and operational demands that entails, we have reduced staff positions and reduced our office space by over 40%. 'After more than four years of excellent service as a non-executive director, Robert Finlay has left the board with immediate effect to focus on his other activities. We would like to thank Robert for his important contribution to the group and wish him every success in the future. The company is well advanced in its process to bring a further independent NED (non-executive director) onboard and will provide an update in due course.' Parkmead said Kempstone Hill wind farm 'continued to perform strongly' in the first half of the year and had maintained an 'exceptionally high level of operational efficiency, in the range 96-99%'. Declaring that this performance had demonstrated the 'reliability of the asset', the group said that it was 'continuing to assess the potential to expand the electricity production capability of the Kempstone Hill site, to make use of its excess grid capacity'. In the Netherlands, the company reported average net production of 155 barrels of oil equivalent per day in the first half from its Dutch fields. It said its business had 'benefited from stronger commodity market conditions' over the period, with realised gas prices increasing to €41.86 per megawatt hour from €38.16/ MWh. It noted that it was evaluating new drilling targets to boost future production. Mr Cross, who is known for building and then selling Dana Petroleum to the Korea National Oil Corporation for £1.6 billion, said: 'Parkmead has made strong progress across all elements of the business in the first half of 2025. We have completed the sale of our UK offshore-focused subsidiary, delivered solid operational performance from our onshore producing assets, advanced our flagship renewable energy project at Glenskinnan [in the north-east of Scotland], and achieved a very healthy and robust financial position. 'Our continued focus on strategic growth and efficiency ensures Parkmead is well positioned for the future." Shares in Parkmead closed up 7.64%, or 1.10p, at 15.5p.
Yahoo
18-07-2025
- Business
- Yahoo
Scotiabank Raises PT on Suncor Energy (SU) to C$60 From C$57, Keeps Sector Perform Rating
Suncor Energy Inc. (NYSE:SU) is one of the best . On July 11, Scotiabank raised the firm's price target on Suncor Energy Inc. (NYSE:SU) to C$60 from C$57, keeping a Sector Perform rating on the shares. An offshore oil rig at night, illuminated by floodlights, with its shape silhouetted against the dark sky. The analyst told investors that the firm is updating its price targets on the E&P stocks it has in coverage, stating that it anticipates weak global oil prices to affect Canadian oil benchmarks in 2025 and 2026. Suncor Energy Inc. (NYSE:SU) is an integrated energy company that develops petroleum resource basins. Its operations are divided into the following segments: Oil Sands, Exploration and Production, Refining and Marketing, and Corporate and Eliminations. While we acknowledge the potential of SU as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
18-07-2025
- Business
- Yahoo
US drillers add oil/gas rigs for first time in 12 weeks, Baker Hughes says
By Scott DiSavino (Reuters) -U.S. energy firms this week added oil and natural gas rigs for the first time in 12 weeks, energy services firm Baker Hughes said in its closely followed report on Friday. The oil and gas rig count, an early indicator of future output, rose by seven, its biggest weekly increase since December, to 544 in the week to July 18. Despite this week's rig increase, Baker Hughes said the total count was still down 42 rigs, or 7% below this time last year. Baker Hughes said oil rigs fell by two to 422 this week, their lowest since September 2021, while gas rigs rose by nine, the biggest weekly increase since July 2023, to 117, their most since March 2024. In Texas, the biggest oil and gas-producing state, the rig count fell by two to 253, the lowest since October 2021. In the Permian basin in West Texas and eastern New Mexico, the biggest U.S. oil-producing shale formation, the rig count fell by two to 263, also the lowest since October 2021. But in the Haynesville shale in Arkansas, Louisiana and Texas, one of the nation's biggest and fastest-growing gas-producing regions, the rig count rose by three to 41, the most since March 2024. The oil and gas rig count declined by about 5% in 2024 and 20% in 2023 as lower U.S. oil and gas prices over the past couple of years prompted energy firms to focus more on boosting shareholder returns and paying down debt rather than increasing output. The independent exploration and production (E&P) companies tracked by U.S. financial services firm TD Cowen said they planned to cut capital expenditures by around 3% in 2025 from levels seen in 2024. That compares with roughly flat year-over-year spending in 2024, and increases of 27% in 2023, 40% in 2022 and 4% in 2021. Even though analysts forecast U.S. spot crude prices would decline for a third year in a row in 2025, the U.S. Energy Information Administration (EIA) projected crude output would rise from a record 13.2 million barrels per day (bpd) in 2024 to around 13.4 million bpd in 2025. On the gas side, the EIA projected a 68% increase in spot gas prices in 2025 would prompt producers to boost drilling activity this year after a 14% price drop in 2024 caused several energy firms to cut output for the first time since the COVID-19 pandemic reduced demand for the fuel in 2020. [NGAS/POLL] The EIA projected gas output would rise to 105.9 billion cubic feet per day (bcfd) in 2025, up from 103.2 bcfd in 2024 and a record 103.6 bcfd in 2023.
