Thursday, April 27, 2017

Thomson Reuters News

Halliburton Gains from North American Drilling Surge

File Image (CREDIT: AdobeStock / (c) Edelweiss)

Halliburton Co said on Monday that oil producers are completing nearly as many wells as they are drilling, a major reversal from when companies left wells unfinished in anticipation of higher oil prices. Increased demand for Halliburton's pressure pumping and well-construction services helped the world's No.2 oilfield services provider report slightly better-than-expected quarterly profit and revenue. Halliburton's shares were up more than 1 percent at $47.72 in morning trade on Monday.

Marathon Petroleum Beats Street as Pipeline Unit Delivers

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Marathon Petroleum Corp reported a surprise quarterly profit on Thursday as the refiner earned more from its pipelines and storages business. Income from the company's midstream business rose 63.5 percent to $309 million in the first quarter ended March 31. The company also said it earned more from its stakes in new and existing pipeline and marine operations. Operating loss in its refining and marketing segment narrowed as margins rose 18 percent to $11.65 per barrel.

Venezuelan Crude Sales to the US Down in March

Venezuelan crude oil sales to the United States declined in March for the third month in a row this year to 651,710 barrels per day due to falling exports of main grade Merey, according to Thomson Reuters trade flows data. Venezuela's crude output fell in 2016 to its lowest level in 23 years. Analysts expect another decline in 2017 due to lack of investment and to cash flow problems affecting state-run oil firm PDVSA, which controls more than 40 joint ventures for exploration and production.

Schlumberger Sees Improved Pricing but Margins Still Slim

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Schlumberger NV said on Friday a ramp up in drilling activity in North America boosted pricing for its oilfield services, but the cost of reactivating equipment idled during the oil price downturn dragged down margins. The U.S. rig count rose more than 25 percent in the first three months of the year, according to data from Baker Hughes Inc. "In the first quarter, the North America land market continued to strengthen in terms of both activity and pricing…

Oil Prices Slip ahead of US Stock Data

Oil prices edged lower on Wednesday ahead of data that will shed light on U.S. crude inventories after an industry report indicated a surprise build in fuel stocks, underscoring the persistence of global oversupply. Brent crude, the international benchmark for oil prices, was down 50 cents to $51.60 per barrel at 1350 GMT. Brent is now around 8.5 percent below its April peak. U.S. West Texas Intermediate (WTI) was down 40 cents at $49.16 per barrel, heading for its eighth fall in nine sessions. U.S.

Oil Slips as Ample Supply Weighs

US crude stocks swell by 897,000 barrels to 532.5 million. Oil prices edged lower on Wednesday as ample global supplies and data showing a rise in U.S. crude inventories cast doubt on OPEC's ability to tighten the market with output cuts. Brent crude, the international benchmark for oil prices, eased 26 cents to $51.84 per barrel at 1054 GMT. Brent is now around 8.5 percent below its April peak. U.S. West Texas Intermediate (WTI) was trading down 24 cents at $49.32 per barrel…

South Korea Increasingly Looks to Buy Brent Crude Oil

Seek more oil from Europe, Africa; Brent-Dubai spread narrowest since August 2015. Oil buyers in South Korea are expected to take advantage of relatively cheap Brent against Dubai and step up purchases of low-sulphur crude in early third quarter, reducing demand for the Middle East oil, four refining sources said on Friday. Refiners in the world's fifth largest crude oil importer are seeking crude from the North Sea and Africa…

Schlumberger expects reactivation costs to squeeze margins

Schlumberger NV warned on Friday that margins would remain under pressure as the oilfield services provider spends more to bring back idled equipment to meet rising demand from North American shale producers after a two-year lull. Shares of the company, whose quarterly profit nearly halved due to a jump in costs, fell as much as 4.4 percent to $73.18, their lowest in nearly a year. Oilfield service providers…

China Demand Drives Singapore Crude Storage Sales

File Image (CREDIT: AdobeStock / mikesjc)

22.6 million barrels of crude sold from storage in March; Chinese demand, more crude deliveries to Asia trigger sales. Crude oil sales from storage tanks around Singapore rose to an 11-month high in March, with nearly half of the volumes going to China and traders clearing inventories ahead of record shipments to Asia expected to arrive in April. Traders sold a total of 22.6 million barrels of crude from storage in Singapore…

Oil, Commodities Worst 2015 Performers

Oil and commodities were the world's worst-performing asset class for the second year running in 2015, pressured by China's economic slowdown and excess supply. Brent crude looked set for a loss of around 36 percent for the year as sustained selling pushed prices near 11-year lows, and the outlook for oil prices looks bleak for 2016. The Thomson Reuters CRB commodities index fell 24 percent to six-year lows. Among currencies, the U.S.

Greenhouse Gas Emissions Rise, Despite Call for Cuts

Greenhouse gas emissions by the world's top 500 companies rose 3.1 percent from 2010 to 2013, far off the cuts urged by the United Nations to limit global warming, a study showed on Monday. The top 500 firms by capitalisation accounted for 13.8 percent of world greenhouse gas emissions and 28 percent of gross domestic product in 2013, according to the report, drawn up by the information provider Thomson Reuters and BSD Consulting, a global sustainability consultancy.

Japan Spot LNG Contract Price at 5-Month Low

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Prices for liquefied natural gas (LNG) spot cargoes for Japan, the world's top buyer, fell to a five-month low in March from a two-year high the month before, official data showed on Tuesday. The average price of spot LNG contracted last month was $6.20 per million British thermal units, according to monthly data from the Ministry of Economy, Trade and Industry (METI), down $2.30 from the previous month and the lowest since last October.

Coal Rally at Risk as China Imports sag

A typical oceangoing bulk carrier (file image: BSM)

If you believe that thermal coal's rally this year has been largely on the back of rising Chinese imports, it follows that any sign of moderation in demand in the world's biggest buyer would raise a red flag of caution. That banner may be in the process of being hoisted, with shipping data suggesting August imports of the fuel used mainly for power generation may be the lowest for six months. Ship-tracking…

Oil Drop a Mixed Blessing for US Corporate Results

The sharp decline in oil prices has taken a toll on earnings estimates for the U.S. energy sector, but investors expecting a benefit to other sectors of the market may be disappointed, Thomson Reuters research shows. Certain retailers have shown improvement in results as fuel costs have declined, while industrials and materials companies tend to show their results decline even as energy prices fall. Airlines…

OPEC 'Cut' Strategy Headed for Failure?

File Image: A loaded VLCC underway (CREDIT: EuroNav)

Is it yet time to call the crude oil output cuts by OPEC and its allies a failure? Certainly there is an increasing disconnect between the rhetoric of OPEC and other producers cutting output on the one hand and the reality of a well-supplied crude oil market and mixed signals on the level of global inventories on the other. The Organization of the Petroleum Exporting Countries and other producers, including Russia…

Sunoco Logistics to Buy Energy Transfer Partners

Sunoco Logistics Partners LP said on Monday it would buy Energy Transfer Partners LP in a deal valued at $19.93 billion. Sunoco Logistics said ETP shareholders would get 1.5 Sunoco units for each ETP share they own, which works out to about $39.30 per share, a slight discount to the stock's Friday close of $39.37. ETP owns about 21 pct of Sunoco Logistics, according to Thomson Reuters data. Sunoco Logistics' general partner is a unit of ETP. (Reporting by Vishaka George in Bengaluru)  

Saipem Sticks to Guidance as Q1 Beats Forecasts

Italian oil services group Saipem stuck to its guidance for the year on Wednesday as first-quarter operating profits beat forecasts thanks to growth in its construction business. Saipem, controlled by oil major Eni and state lender fund FSI, said its earnings before interest and taxes (EBIT) came in at 179 million euros ($203 million) compared to a Thomson Reuters SmartEstimate of 154 million euros. Saipem…

Shell's Philippines Unit Preparing for Stock Market Listing

Oil major Royal Dutch Shell said on Wednesday its subsidiary in the Philippines, Pilipinas Shell Petroleum Corporation (PSPC), is in the process of preparing an initial public offering (IPO) of its shares.   PSPC has hired BPI Capital Corp and JP Morgan for the process, IFR, a Thomson Reuters publication, reported earlier this month. (Reporting by Ron Bousso; Editing by Elaine Hardcastle)

ADM Profit Disappoints on Weak Ethanol Margins

U.S. agribusiness Archer Daniels Midland on Tuesday reported a lower quarterly profit on weak ethanol margins and as a strong dollar and ample South American crop supplies limited grain exports from the United States. Chicago-based ADM reported a net third-quarter profit of $252 million, or 41 cents per share, down from $747 million, or $1.14 per share, a year earlier. Excluding one-time items, earnings fell to 60 cents per share from 86 cents a year ago…

SunPower Forecasts Lower-than-Estimated 2015 Profit

SunPower Corp, the second-largest maker of solar panels in the United States, forecast a much lower-than-estimated 2015 profit, sending its shares down 11 percent. The company expects to earn between $1.10 and $1.50 per share, excluding items, for the next year. Analysts on average were expecting an adjusted profit of $1.69 per share, according to Thomson Reuters I/B/E/S. The company's shares were down 8 percent at $26.83 in early trading on the Nasdaq.