Chevron Corp's surprise $5 billion deal for oil producer Noble Energy should spell the end of this year's deal drought, setting a price benchmark that will trigger more buys, mergers and acquisition bankers, lawyers and analysts said. The COVID-19 pandemic destroyed fuel demand and left dozens of energy companies without the prospect of drilling their way out of debt. They may now be more willing to entertain deals with the Chevron offer as a standard. "Sometimes you need the one [Read more]
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Cardinal Energy Ltd. announces extension of exchange right
CALGARY, Alberta - Cardinal Energy Ltd. ("Cardinal") (TSX:CJ) announces that approximately 62% of the outstanding principal amount of its 5.50% convertible debentures have exercised their right to exchange their debentures for a new series of 8.00% convertible debentures. In addition, Cardinal has elected to extend the period of time that debentures can be exchanged from 5:00 p.m. (Eastern time) on Monday, July 20, 2020 to 5:00 p.m. (Eastern time) on Tuesday, August 4, 2020. Please contact us [Read more]
PrairieSky announces 2020 second quarter results; publishes annual responsibility report
CALGARY, Alberta - PrairieSky Royalty Ltd. ("PrairieSky" or the "Company") (TSX: PSK) is pleased to announce its second quarter ("Q2 2020") operating and financial results for the period ended June 30, 2020. Second Quarter 2020 Highlights: • Revenues totaled $28.2 million, comprised of royalty production revenues of $25.1 million and other revenues of $3.1 million. • Funds from Operations totaled $21.3 million ($0.09 per common share basic and [Read more]
Stirring in the oil patch, Chevron buys Noble for $5 billion
NEW YORK - Chevron will take over Noble Energy for $5 billion in the first big deal announced since the coronavirus pandemic shook the energy sector. Chevron has been shopping for assets since last year and with crude prices down more than 30% this year, it jumped Monday with its all-stock offering for the independent Houston oil and gas driller. Based on Chevron’s closing price on Friday, Noble Energy shareholders will receive 0.1191 shares of Chevron for each Noble Energy share. But with [Read more]
Oil eases amid rising coronavirus cases worldwide
Oil prices fell on Monday, unnerved by the prospect that a recovery in fuel demand could be derailed by a rise in the pace of coronavirus infections around the world. U.S. oil was off by 49 cents, or 1.21%, at $40.08 a barrel, after gaining 4 cents last week. Brent crude was down 43 cents, or 0.95%, at $42.68 a barrel after dropping slightly last week. More than 14.5 million people have been infected by the novel coronavirus globally and more than 604,000 have died of COVID-19, the [Read more]
U.S. natgas futures slip to fresh 2-week low on rising output
U.S. natural gas futures slipped to a fresh two-week low on Monday as output slowly increases despite forecasts for hotter weather and higher cooling demand over the next two weeks than previously expected. Prices remained weak even though pipeline exports to Mexico are on track to hit a record high this month. Front-month gas futures on the New York Mercantile Exchange fell 2.5 cents, or 1.5%, to $1.693 per million British thermal units at 8:37 a.m. EDT (1237 GMT). If the contract closes [Read more]
Canada weekly rig count up 6 to 32
Canada’s fleet of active drilling rigs grew from 26 to 32 since last week according to data from Baker Hughes. Total drilling count was 32 at July 17. 6 rigs were drilling for oil; 26 for natural gas. The drilling activity in Alberta grew from 16 to 20 since last week. Saskatchewan’s drilling grew to 3 rigs. View a full breakdown of Western Canada’s rig activity. [Read more]
Michigan wants Enbridge to pledge funds in case of oil spill
TRAVERSE CITY, Mich. - Michigan sought a pledge Friday from Enbridge Inc. to cover costs that would arise if oil were to leak from its dual pipelines that extend across a channel linking two of the Great Lakes. Department of Natural Resources Director Dan Eichinger asked the Canadian pipeline company to carry $900 million of liability insurance and set aside about $1.88 billion in additional assets for use as needed in the event of a catastrophic spill. The twin pipes run along the bottom [Read more]
U.S. oil & gas rig count falls to record low for 11th week
U.S. energy firms cut the number of oil and natural gas rigs operating to a record low for an 11th week in a row though they have slowed the reductions as some consider returning to the well pad with crude prices up from historic lows. The U.S. oil and gas rig count, an early indicator of future output, fell by five to an all-time low of 253 in the week to July 17, according to data on Friday from energy services firm Baker Hughes Co going back to 1940. That was 701 rigs, or 73%, below [Read more]
OPEC+ hits the refinery wall
Fuel traders and refiners are becoming more pessimistic about the outlook for the global economy and transportation for the rest of this year, even as the crude producers in OPEC+ try to push oil prices higher. OPEC+ is anxious to see higher crude prices as soon as possible but its ambition is likely to be thwarted in the short term by the renewed softness in fuel consumption. Price premiums for gasoline and diesel over crude have been flat or falling for almost four weeks since June 23 [Read more]