Upstream Energy’s Best and Worst Free Cash Flow Companies
Free cash flow (or FCF) is an important metric for the crude oil (USO) and natural gas (UNG) production (or upstream) sector.
Energy & Utilities
Stock news and analysis in the energy sector, including petroleum, natural gas, and green energy,
An Introduction to KBR
KBR (KBR), headquartered in Houston, Texas, is a comprehensive professional service and technology provider.
Understanding KBR’s Business Segments
Business segments KBR’s (KBR) business is classified into three core segments (government services, technology and consulting, and engineering and construction) and two non-core segments (non-strategic business and other business). Government services The government service segment’s primary focus is providing support solutions to US, UK, and Australian government agencies. According to KBR’s Form 10-K, the segment offers “full […]
A Look at KBR’s Subsidiaries
Primary subsidiaries Previously, we discussed various acquisitions completed by KBR (KBR). Let’s now take a look at some of KBR’s subsidiaries and how they fit into the big picture for the company. Energy and construction Granherne, a KBR technology and engineering subsidiary, operates in the oil and gas industry. Granherne provides front-end engineering and design services […]
US Gasoline Inventories: Bearish Driver for Crude Oil Futures
The EIA estimated that US gasoline inventories rose by 1.2 MMbbls (million barrels) to 227.7 MMbbls on December 8–15, 2017.
Global Crude Oil Supply Outage Is near 2012 Low
According to the EIA, global crude oil supply outages fell by 10,000 bpd (barrels per day) or 0.7% to 1,555,000 bpd in November 2017.
Analyzing the API’s Gasoline and Distillate Inventories
On December 19, 2017, the API released its crude oil inventory report. US gasoline inventories rose by 2 MMbbls (million barrels) on December 8–15, 2017.
Iran’s Crude Oil Production Is near a 9-Year High
The EIA estimates that Iran’s crude oil production fell by 10,000 bpd or 0.3% to 3,840,000 bpd in November 2017—compared to the previous month.
What Drove MLPs in the Week Ending December 15?
MLPs were strong in the week ending December 15, 2017. The Alerian MLP Index (^AMZ) had a strong start last week although it fell slightly on Friday.
US Gasoline’s Demand Trend Is Changing
The EIA estimates that four-week average US gasoline demand fell by 21,000 bpd (barrels per day) to 9.1 MMbpd on December 1–8, 2017.
US Crude Oil Rigs Indicate Future US Crude Oil Production
Baker Hughes released its weekly US crude oil rig report on December 15, 2017. US crude oil rigs fell by four to 747 or 0.5% on December 8–15, 2017.
Cushing Inventories: Largest Weekly Fall since 2009
Cushing inventories fell by 3,317,000 barrels to 52.2 MMbbls (million barrels) on December 1–8, 2017, according to the EIA.
EIA Upgrades US Natural Gas Production for 2018
US dry natural gas production was flat at 76.1 Bcf (billion cubic feet) per day on December 7–13, 2017, according to PointLogic.
A Look at the Trends in Permian Rig Counts
In the latest US rig count report released by Baker Hughes (BHI), the number of active US rigs drilling for oil rose by two to 751 in the week ended December 8, 2017.
Could Permian Basin Drive Growth in US Crude Oil Production?
In its November Short-Term Energy Outlook (or STEO) report, the EIA forecast that US crude oil production in 2017 would average 9.2 million barrels per day.
Forecasts for Capital Spending in the Permian Basin
According to a report released by IHS Markit, Permian investments are expected to increase from $8 billion in 2016 to more than $41 billion in 2021.
US Crude Oil Production Has Risen 16% since July 2016
US crude oil production rose by 73,000 bpd (barrels per day) to 9,780,000 bpd on December 1–8, 2017, according to the EIA.
Where Whiting Petroleum Stands Next to Peers
Whiting Petroleum’s (WLL) forward EV-to-EBITDA multiple of ~5.4x is mostly in line with the peer average of 5.5x.
US Distillate Inventories Fell for the First Time in 4 Weeks
US distillate inventories fell by 1.3 MMbbls (million barrels) to 128.1 MMbbls on December 1–8, 2017, according to the EIA.
US Gasoline Inventories: Turning Point for Crude Oil Futures?
US gasoline inventories rose by 5.6 MMbbls (million barrels) or 2.6% to 226.5 MMbbls on December 1–8, 2017.
What Are the Dividend Yields of the Top 10 Mega-Cap Stocks?
Donald Trump’s promises of financial deregulation, infrastructure spending, and tax cuts played a major role in the stock market rally this year.
What’s Been Impacting MLP Performances as of December 8?
Most MLPs (master limited partnerships) closed the week ended December 1 in the red, after seeing some gains earlier in the week.
These MLPs Have the Highest Earnings Margins Today
In this series, we’ll assess the performances of the MLPs with the highest EBITDA (earnings before interest, tax, depreciation, and amortization) margins.
US Natural Gas Futures Could Maintain Bearish Momentum
January US natural gas futures (GASL) contracts were below their 20-day, 50-day, and 100-day moving averages on December 7, 2017.
Unexpected Rise in US Natural Gas Inventories
The EIA estimated that US natural gas inventories rose by 2 Bcf (billion cubic feet) to 3,695 Bcf on November 24–December 1, 2017.
Where DMLP’s Earnings Margin Stands among Top MLPs
Dorchester Minerals, a mineral interest MLP (master limited partnership), has the third-best EBITDA margin among MLPs today.
Analyzing Saudi Arabia’s Crude Oil Production Cut Strategy
A Reuters survey estimated that Saudi Arabia’s crude oil production fell by 30,000 bpd (barrels per day) to 10,000,000 bpd in November 2017.
What’s behind ETP’s Strong Distributable Cash Flow Growth?
Energy Transfer Partners’ DCF rose 27.5% YoY to $1,049 million in 3Q17 compared to $823 million in 3Q16.
US Gasoline Inventories Add More Pain to Crude Oil Futures
According to the EIA, US gasoline inventories rose by 6,780,000 barrels to 220.8 MMbbls (million barrels) on November 24–December 1, 2017.
US Crude Oil Inventories Have Fallen 16% from Their Peak
US crude oil inventories fell by 5.6 MMbbls (million barrels) or 1.2% to 448.1 MMbbls on November 24–December 1, 2017, according to the EIA.
OPEC’s Crude Oil Production Hit a 6-Month Low
US crude oil (UWT) (SCO) futures contracts for January delivery fell 0.42% and were trading at $57.38 per barrel at 1:00 AM EST on December 6, 2017.
The Fourth-Best-Performing Upstream Stock Year-to-Date
In 9M17, KOS’s production increased ~107.0% to ~7.8 million barrels when compared with 9M16.
How Could US Tax Bill Affect Dollar and Crude Oil Prices?
The US Dollar Index advanced 0.1% to 92.8 last week. Consequently, it pressured oil prices during the week.
Understanding the Slight Recovery among MLPs Last Week
MLPs (master limited partnerships) recovered slightly last week (ended December 1, 2017), after three weeks of sluggishness.
What’s EPD’s Correlation with Natural Gas?
In this article, we’ll look into the commodity price exposure of the MLP at the seventh spot, Enterprise Products Partners (EPD).
How BWP Correlates with Natural Gas
Boardwalk Pipeline Partners (BWP), a midstream MLP mainly involved in natural gas and NGLs transportation and storage, ranks second among MLPs in terms of correlation with natural gas.
What’s Driving DMLP’s Correlation with Natural Gas?
Dorchester Minerals (DMLP), a royalty interest owner MLP, is in third place in terms of its correlation with natural gas.
Production Cut Extension Could Influence US Natural Gas Rigs
Baker Hughes, a GE company, is scheduled to release its US crude oil and natural gas rig count report on December 1, 2017.
US Natural Gas Future Fell after the Natural Gas Inventory Report
The EIA released its natural gas inventory report on November 30, 2017. US natural gas inventories fell by 33 Bcf to 3,693 Bcf on November 17–24, 2017.
Crude Oil Prices Are Positive before OPEC’s Meeting
US crude oil futures for January delivery rose 0.3% to $57.47 per barrel at 1:10 AM EST on November 30, 2017. Prices rose ahead of OPEC’s meeting.
Will US Gasoline Demand Help Crude Oil Prices This Week?
According to the EIA, US gasoline demand rose by 423,000 bpd (barrels per day) or 4.6% to 9,595,000 bpd on November 10–17, 2017.
Analyzing Wall Street Targets for DK, ANDV, and CVE
As of November 23, 2017, four of the 14 analysts covering Delek US Holdings (DK) stock gave it a “strong buy” recommendation, and five gave it a “buy.”
Which Natural Gas–Weighted Stocks Could Take Cues from Oil?
Antero Resources (AR) and Gulfport Energy (GPOR) are among the natural gas–weighted stocks that had the highest correlations with natural gas prices in the trailing week.
MLPs Were Sluggish despite Strong Crude Oil Last Week
Despite strong crude oil, MLPs’ sluggishness continued last week. The Alerian MLP Index (^AMZ) saw a new 52-week low of $256.7 last week.
Will Russia Comply with the Crude Oil Production Cut Pact?
On November 24, 2017, Russia said that it would support extending the production cut beyond March 2018.
US Dollar Is near a 2-Month Low
The US Dollar Index fell 0.5% to 92.7 on November 24, 2017—the lowest level in almost two months. The US dollar (UUP) fell 1.27% last week.
What Could Drive US Natural Gas Futures Next Week?
The CFTC reported that hedge funds’ net long positions in US natural gas futures and options contracts rose by 33,734 contracts to 75,297 on November 7–14.
US Natural Gas Inventories Have Fallen 8% from Last Year
The EIA estimated that US natural gas inventories fell by 46 Bcf (billion cubic feet) or 1.2% to 3,726 Bcf on November 10–17, 2017.
OPEC’s Meeting Could Impact US Natural Gas Supply and Prices
PointLogic estimates that US natural gas production rose 0.4% to 75.9 Bcf (billion cubic feet) per day on November 16–22, 2017.
The Relationship between US Crude Oil Inventories and Oil Prices
Estimates for US crude oil inventories The EIA (U.S. Energy Information Administration) released its Weekly Petroleum Status Report on November 22, 2017. It reported that US crude oil inventories fell 1.9 MMbbls (million barrels) to 457.1 MMbbls between November 10 and 17, 2017. Inventories were 31.8 MMbbls (6.5%) lower than in the same period in 2016. The market anticipated […]