|Bid||108.73 x 1300|
|Ask||109.10 x 900|
|Day's range||107.65 - 109.19|
|52-week range||105.40 - 127.34|
|Beta (5Y monthly)||1.02|
|PE ratio (TTM)||70.79|
|Earnings date||23 Apr 2020 - 27 Apr 2020|
|Forward dividend & yield||5.16 (4.70%)|
|Ex-dividend date||13 Feb 2020|
|1y target est||132.23|
(Bloomberg) -- Chevron Corp.’s future growth prospects may be dimming after the oil explorer pumped more crude than it discovered or bought last year, eroding its portfolio of untapped fields.New finds, acquisitions and expansions of existing oil and natural gas holdings were equivalent to just 44% of the company’s 2019 production, according to a regulatory filing on Friday. That was Chevron’s poorest performance in that important metric since 2010.The measure, known as the reserves-replacement ratio, is key for investors because it helps them gauge whether an oil driller is doing enough to sustain future production that underpins everything from dividends to buybacks to acquisitions.For Chevron, whose stock outperformed all other supermajor oil producers last year, the reserves data signals the company may be struggling to locate untouched caches of oil and gas as investors turn increasingly skeptical of the industry’s sustainability.Chevron also wrote down the value of U.S. gas assets last year as prices for the fuel collapsed.Shell, ExxonRoyal Dutch Shell Plc said last month that it replaced just 65% of its 2019 output with new discoveries and purchases. And some analysts expect Exxon Mobil Corp. to take a writedown on some fields when it discloses reserves data in coming weeks.READ: Tale of Two Oil Giants With Two Strategies That Aren’t WorkingChevron CEO Mike Wirth made financial discipline his mantra upon taking the top job two years ago. But analysts have questioned whether the company has sufficient projects-in-waiting to increase production through the late 2020s.Like his predecessors at the California crude giant, Wirth has been reluctant to invest in renewable energy sources that typically generate thinner profits and are unfamiliar to Chevron’s engineers and geologists.READ: All Eyes on Exxon, Chevron After BP Pledges to Be Carbon NeutralEven within the fossil-fuel arena, Chevron has few major investments planned beyond the middle of the decade. Chevron is “not nearly as reliant” on large-scale oil and gas projects to generate cash in the future, preferring low-risk shale drilling, Wirth said last month. He is due to update investors on the company’s strategy and goals on March 3.Chevron noted that 70% of its worldwide reserves are concentrated in three countries: the U.S., Australia and Kazakhstan. That level of geographic concentration may give rise to concern among investors because it signals increased vulnerability to legislative changes or regional conflict.\--With assistance from Joe Carroll.To contact the reporter on this story: Kevin Crowley in Houston at firstname.lastname@example.orgTo contact the editors responsible for this story: Simon Casey at email@example.com, Joe Carroll, Carlos CaminadaFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Oil fell as the coronavirus outbreak accelerated beyond China, intensifying concerns about the infection’s economic fallout.Futures fell 0.9% in New York on Friday. China revised how it calculates infection totals for the third time this month, raising questions about data reliability and confirming the virus’s growing reach. Meanwhile, a key IHS Markit gauge of factories and service providers in the world’s largest economy dropped for the first time in seven years, sparking sell-offs in government bonds and equities.“The market is seeing a broad risk-off move,” said Jan Stuart, global energy economist at Cornerstone Macro. “Just when the outbreak was beginning to turn, the new cases are making investors wonder if we have more to worry about. There was no move in the structure however, the backwardation in Brent held. Oil followed the move down as investors took money off the table.”Oil has fallen more than 12% this year as China’s viral outbreak crippled industrial activity and transportation at a time when energy supplies already were abundant. The World Health Organization said if countries don’t respond strongly now, the spread outside China may become a wider threat.Still, crude posted a second consecutive weekly gain, supported by supply disruptions in Venezuela and Libya.See also: Vitol Sees Oil Recovery This Year After Slump From VirusWest Texas Intermediate for April delivery fell 50 cents to settle at $53.38 a barrel on the New York Mercantile Exchange, ending the week 2.6% higher.Brent for April settlement declined 81 cents to settle at $58.50 on the ICE Futures Europe exchange putting its premium over WTI at $5.12. The global benchmark rose 2.1% for the week.The Organization of Petroleum Exporting Countries and its allies will meet in March as originally scheduled after efforts by Saudi Arabia to hold an emergency meeting failed to materialize amid resistance from Russia. Saudi Arabia’s energy minister dismissed a Dow Jones report on Friday that Riyadh was considering a break from its four-year oil production alliance with Russia. Russia has remained noncommittal to an OPEC proposal for additional production cuts.“Saudi Arabia needs the production cuts more than Russia,” said Ryan Fitzmaurice, commodities strategist at Rabobank. “Russia will eventually come to the table in March and participate but Saudi Arabia will likely shoulder most of burden to get them to come on board.”\--With assistance from James Thornhill, Grant Smith and Saket Sundria.To contact the reporter on this story: Jackie Davalos in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: David Marino at email@example.com, Catherine Traywick, Jessica SummersFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
MOSCOW/LONDON, Feb 21 (Reuters) - Russian oil major Rosneft is facing a logistical headache as several customers have demanded it immediately remove its Swiss trading division, sanctioned by the United States this week, from all supply chains, according to five trading sources. Washington this month imposed sanctions on Rosneft's Geneva-based unit Rosneft Trading (RTSA), accusing it of providing a financial lifeline to Venezuelan President Nicolas Maduro's government. U.S. officials have accused the Rosneft subsidiary of propping up the Venezuelan oil sector and engaging in ship-to-ship transfers to actively evade American sanctions.
Here're three ways you can put your money to work in the stock market even though the coronavirus outbreak has unnerved market pundits worldwide.
Electric vehicles have charged up investments around the world, but Australia is revelling in a slew of deals involving old-school petrol stations, with a bidding battle developing for one of its top fuel retailers, Caltex Australia. A shake-up in the structure of the fuel industry over the past decade, sparked by refinery closures and oil major retreats, has produced deals worth $33 billion including offers for Caltex, according to Refinitiv data. "Australia is a high-quality 'short'," said a banker involved in the tussle for Caltex, using the industry term for a market short on fuel and referring to Australia's stable demand.
EOG Resources (EOG) has 10,500 net undrilled premium drilling locations in crude oil plays with resource potential of 10.2 billion barrel of oil equivalent.
AÑELO, Argentina, Feb 19 (Reuters) - Just weeks into his young administration, Argentina's new president convened a meeting with executives from Chevron Corp, Royal Dutch Shell PLC and other oil companies in a bid to smooth things over with an industry which he had slammed as a candidate months before. In a fence-mending session Jan. 16, Fernandez apologized to energy executives for the mixed signals, according to an industry source with direct knowledge of the meeting.
(Bloomberg) -- The U.S. sanctioned a unit of Russia’s largest oil producer, Rosneft PJSC, for maintaining ties with Venezuela’s Nicolas Maduro and state-run oil company PDVSA.The Treasury Department’s Office of Foreign Assets Control is acting against Rosneft Trading SA, the company’s Swiss-incorporated brokerage firm, as well as its Chairman Didier Casimiro. The U.S. restrictions come with a three-month wind-down period that expires May 20.The move represents the latest escalation in the Trump administration’s campaign to oust Maduro and rally international support behind Venezuelan opposition leader Juan Guaido. For the oil market, it means disruption and increased legal costs for companies, though the wind-down period gives operators time to adjust to the new regime.Oil futures erased a decline, with Brent crude settling 8 cents higher at $57.75 a barrel, after falling as much as $1.37. The ruble and Russian bonds fell. Rosneft share tumbled in Moscow, closing 2.7% lower.The Russian government said the sanctions won’t affect its international relations with Venezuela or any other country. Rosneft said the sanctions are illegal, that its operations in Venezuela are commercial, not political, and that other international companies, including American ones, operate there.“By operating in Venezuela, Rosneft is not violating any international or national law,” the company said, adding the U.S. government presented no proof of illegality. The operations are part of contracts signed before the introduction of sanctions and “are aimed at returning previously made investments and the implementation of long-term commercial interests,” it said.Rosneft is handling over half the oil coming from Venezuela and helping the country evade sanctions, according to U.S. officials who briefed reporters on condition of anonymity. Rosneft recently facilitated a shipment of 2 million barrels of Venezuelan oil to West Africa, one of the officials said.Rosneft has been evading sanctions by using ship-to-ship transfers to obtain Venezuelan oil, a U.S. official said. In other cases, they’ve changed names on ships to avoid detection, or lied about the source of the oil.The sanctions affect assets in the U.S. But those engaging in transactions with Rosneft Trading and Casimiro worldwide run the risk of being sanctioned, an official said.The restrictions are more narrowly targeted than Washington’s 2018 sanctions against metals group United Co. Rusal, which threw global aluminum markets into turmoil. Tuesday’s sanctions don’t prohibit deals with Rosneft Trading’s parent company or its other units, the Treasury said in a Q&A. That assurance, together with the three-month wind-down period, should limit the disruption to the flow of oil from Russia.Existing U.S. sanctions already prohibit providing financing to Rosneft for longer than 60 days, meaning that traders have for several years been wary of striking longer-term deals with the Russian company.President Donald Trump personally signed off on the sanctions and Secretary of State Michael Pompeo discussed the matter on Saturday with Russian Foreign Minister Sergei Lavrov, an official said.In the wake of U.S. sanctions on Venezuela, Russia has become the second-largest source of American oil imports. The nation’s crude and oil product exports to the U.S. climbed to 20.9 million barrels last October, the highest since November 2011, according to U.S. government data.Rosneft is currently subject to some U.S. market-sector sanctions, although those measures aren’t as far-reaching as the sanctions against businesses associated with the Maduro regime and don’t prevent Rosneft from entering into transactions for Venezuelan oil.Rosneft LoansRosneft has been Venezuela’s main shipper of crude, which goes predominantly to refineries in India and China. The Moscow-based company, controlled by Russian President Vladimir Putin’s government, has loaned $6.5 billion to Petroleos de Venezuela SA, the Latin American country’s state-owned oil company, in exchange for crude.Venezuelan oil sales fell to a 34-year-low in 2019 after sanctions cut off trade with the U.S., until then the country’s biggest customer.Notably, the U.S. Treasury Department has exempted Chevron Corp., allowing the company to conduct business with PDVSA. Chevron has ramped up output at a key Venezuelan oil project to levels not seen in almost a year. Its current waiver from sanctions expires in April.Rosneft Trading has been involved in a variety of international relationships for the Russian producer. It’s been the counterparty for an oil-supply deal with the semi-autonomous Kurdistan region, a liquefied natural gas contract with Egypt and gasoline shipments to Asia, according to the company’s website.The impact on Rosneft’s core business of selling Russian oil on the global market is unclear. Recent company documents offering crude and refined oil products for sale don’t mention the Switzerland-based trading arm. However, Rosneft Trading SA was the counterparty for a contract to supply crude to Germany through the Druzhba pipeline from 2017 to 2018, according to a company disclosure.(Adds comment from Rosneft in fifth and sixth paragraphs)\--With assistance from Saleha Mohsin, Sayer Devlin, Dina Khrennikova, Olga Tanas, Jack Wittels and Jake Rudnitsky.To contact the reporters on this story: Ben Bartenstein in New York at firstname.lastname@example.org;Jack Farchy in London at email@example.com;Josh Wingrove in Washington at firstname.lastname@example.orgTo contact the editors responsible for this story: Simon Casey at email@example.com, Carlos Caminada, Steven FrankFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
U.S. gasoline prices on Tuesday continued a week-long climb as unplanned weekend refinery outages compounded earlier shutdowns at major U.S. Gulf Coast and East Coast plants, gasoline traders said. The average retail price for a gallon of unleaded gasoline was $2.45, up from $2.33 a year ago, according to petroleum analytics firm Gas Buddy. Prices have been falling this year as inventories rose and crude oil prices slumped.
Antero Resources' (AR) fourth-quarter results are supported by lower operating expenses, partially offset by decline in realized commodity prices and natural gas equivalent production.
The divergent graph of oil and natural gas prices noticed in the fourth quarter makes it difficult for analysts to conclusively predict a direction for the period's earnings.
The Zacks Analyst Blog Highlights: ExxonMobil, ConocoPhillips, Valero Energy, Marathon Petroleum and Chevron
Zacks.com featured highlights include: KB Home, Rush Enterprises, Chevron, Ruth's Hospitality and Lowe's
(Bloomberg) -- Kuwait and Saudi Arabia will resume oil production from their shared fields this month, more than five years after a dispute halted supply.The Khafji field in the so-called neutral zone will start output by the end of February, while operations will resume at Wafra from Sunday with exports likely flowing within three months, said Hashem Hashem, chief executive officer of Kuwait Petroleum Corp. The restart comes at a critical time as the projects will bring additional production capacity to an oil market that’s already dealing with excess supply as the deadly coronavirus hits demand.The onshore Wafra and offshore Khafji are also important because U.S. sanctions on Iran and Venezuela have tightened the supply of heavy, high-sulfur crude, precisely the kind of oil that the fields produce. U.S. diplomats had been pressing both sides to reach an agreement. But Saudi Arabia and Kuwait, both important OPEC members, have said they are unlikely to add significant amounts of crude within the duration of the group’s current deal to curb output, which runs until the end of March.The neutral zone’s oil fields can pump about 500,000 barrels a day -- more than the production of each of the three smallest members of the Organization of Petroleum Exporting Countries last month. The two fields could reach their full capacity by the end of this year, Hashem said.Saudi Arabia and Kuwait reached an agreement in December to resume output in the barren strip of desert straddling their nations -- a relic of the time when European powers drew implausible ruler-straight borders across the Middle East.Khafji was shut down in 2014 after a spat between the countries. The disagreement escalated over to the Wafra field, when Saudi Arabia extended the project’s original 60-year concession, giving a unit of California-based Chevron Corp. rights there until 2039. Kuwait was unhappy over the announcement and claims Riyadh never consulted it about the extension.Chevron, through its subsidiary Saudi Arabian Chevron Inc., “has now embarked on a series of pre-startup activity, which includes efforts to ensure its workforce is ready to safely restart operations and then production,” Sally Jones, a company spokeswoman, said in a statement Thursday in response to the resumption of the Wafra field.The neutral zone, spanning more than 5,700 square kilometers (2,200 square miles), was created by a 1922 treaty between Kuwait and the fledgling Kingdom of Saudi Arabia. In the 1970s, the two Gulf Arab monarchies agreed to divide the area and incorporate each half into their respective territory while still sharing and jointly managing the zone’s petroleum wealth.\--With assistance from Matthew Martin and Bruce Stanley.To contact the reporter on this story: Fiona MacDonald in Kuwait at firstname.lastname@example.orgTo contact the editors responsible for this story: Nayla Razzouk at email@example.com, Rakteem Katakey, Amanda JordanFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
A Nigerian oil reform two decades in the making is urgently needed to get money into its energy sector, industry executives say, as tax increases and regulatory uncertainty scupper investments. Africa's largest oil exporting nation has not carried out a full revamp of the law underpinning its oil and gas sector since the 1960s. Government officials say a sweeping overhaul is imminent and will be presented to the National Assembly next week, which for industry leaders is not a moment too soon.