Yesterday, 5:23 PM
Yesterday, 7:45 AM
- Nigerian terrorists say they have bombed a Chevron-operated (NYSE:CVX) oil export pipeline and are warning companies not to carry out repairs to sabotaged energy infrastructure.
- The Niger Delta Avengers say they "took down" CVX's 100K bbl/day offshore pipeline at Escravos yesterday, breaking a three-month cease-fire.
- The warning against repairs comes as Royal Dutch Shell (RDS.A, RDS.B) prepares to resume exports eight months after militants bombed an undersea pipeline and halted exports from Shell's 250K bbl/day Forcados terminal.
Tue, Oct. 25, 12:46 PM
- Total (TOT -0.6%), Glencore (OTCPK:GLCNF, OTCPK:GLNCY) and Guvnor are bidding for a 75% stake in Chevron's (CVX +0.2%) South African downstream assets, which include a 110K bbl/day refinery in Cape Town, Reuters reports.
- Round two of the bidding in which actual offers were made closed on Sept. 30, with a selling price estimated at $1B expected for the assets in South Africa as well as neighboring Botswana, according to the report.
- CVX also has interests in a lubricants plant in Durban on the east coast, and its network of Caltex service stations makes it one of South Africa's top five petroleum brands.
Mon, Oct. 24, 6:15 PM
- Where other oil and gas companies see California as a land of liberal politics and strict pollution controls, Chevron (NYSE:CVX) sees a place where it can thrive, as it invests $1B to upgrade its Richmond refinery in a bid to make the plant more reliable than the 13 other refineries operating in a state with high and volatile gasoline prices, according to a Reuters analysis.
- Analysts say the renovations should put CVX in strong position to profit from rivals' breakdowns, such as the February 2015 explosion at Exxon's former refinery in Torrance (now owned by PBF Energy); apart from outages, CVX also stands to profit from serving the California gasoline market, the world's third largest behind only the rest of the U.S. and China.
- Also, California's many fossil fuel regulations have an upside for companies that can navigate them - including a near certainty that no new competitors will open in the state, which had more than twice as many refineries in the mid-1980s as it does today.
- "To be a refiner in California is difficult and tough, but it can also be lucrative," says a refinery industry consultant. "It's an insulated market, and that protects your margins.”
- The refinery renovation "is a sign that we remain committed to being in California as long as the business environment remains conducive to us," says a CVX exec.
Tue, Oct. 18, 6:28 PM
- Former Wells Fargo CEO John Stumpf, who resigned from the bank last week after ~2M accounts were opened without customer authorization, has left the boards of Chevron (NYSE:CVX) and Target (NYSE:TGT).
- CVX said in an SEC filing that Stumpf left the board “for personal reasons and not as a result of a disagreement with Chevron.”
- According to Wells Fargo’s latest proxy statement, CVX and TGT were Stumpf’s only outside board seats at publicly traded companies.
Tue, Oct. 18, 6:16 PM
- Chevron (NYSE:CVX) completed an initial round of bidding on its Burnaby, B.C., refinery late last week, with Tesoro (NYSE:TSO) among the bidders, Reuters reports.
- The refinery can process 52K bbl/day of oil but not bitumen, the heavy, tar-like substance extracted from Canada's oil sands, and so it may be less attractive to Canadian producers, according to the report.
- Par Pacific Holdings (NYSEMKT:PARR), which was seen as a possible contender for the plant, reportedly is not pursuing the refinery.
Tue, Oct. 18, 12:45 PM
- Oil producers such as ExxonMobil (NYSE:XOM), Chevron (NYSE:CVX) and Royal Dutch Shell (RDS.A, RDS.B) must prepare for radical change as adoption of new technologies like electric cars could happen faster than originally anticipated, according to a new report from Fitch Ratings.
- "Widespread adoption of battery-powered vehicles is a serious threat to the oil industry," and an acceleration of the electrification of transport infrastructure could create an "investor death spiral" as investors flee the oil patch, Fitch warns.
- Tesla's (NASDAQ:TSLA) upcoming Model 3 will start at $35K before rebates and begin production in late 2017 and is aimed at a broader market, GM's Chevrolet Bolt starts at $37.5K before government incentives and will be available later this year, and other automakers are offering affordable all-electric vehicles, as Fitch estimates battery costs have plunged by 73% since 2008.
- Fitch notes that some oil majors have taken steps to diversify their offerings, including Total (NYSE:TOT), which has invested in batteries via its $1.1B purchase in May of Saft Groupe and bought a 60% stake in solar panel maker SunPower in 2011.
Thu, Oct. 13, 10:50 AM
- Top Indian oil and gas explorer Oil & Natural Gas Corp. and Hong Kong-listed United Energy are among the bidders for Bangladesh natural gas fields being sold by Chevron (CVX -1.6%), Bloomberg reports.
- The assets, which could fetch as much as $2B, also have attracted interest from Brightoil Petroleum and the Bangladesh government, according to the report.
- CVX operates the Bibiyana, Jalalabad and Moulavi Bazar natural gas fields in Bangladesh, with last year's production averaging 720M cf/day of natural gas and 3K bbl/day of condensate.
Thu, Oct. 13, 8:18 AM
- Chevron (NYSE:CVX) could this month begin selling condensate produced at the Gorgon gas field in Australia, Reuters reports, citing trade sources.
- CVX could market a 600K-650K barrel cargo for loading in December, although the company is still finalizing some details, according to the report.
- The introduction of the new condensate comes amid rising demand for the light oil as two new splitters in South Korea and Qatar have started trial runs.
Tue, Oct. 11, 12:58 PM
- Chevron (CVX -0.5%) is in talks to sell its interests in natural gas fields it operates in Bangladesh, and is attracting interest from suitors including Indian and Chinese oil producers, Bloomberg reports.
- CVX is seeking ~$2B for the Bibiyana, Jalalabad and Moulavi Bazar fields in Bangladesh, whose net production last year averaged 720M cf/day of natural gas and 3K bbl/day of condensate, according to the report.
- The potential sale is in addition to the company's attempt to sell Asian geothermal assets for as much as $3B; CVX also is said to be holding talks to sell assets in Indonesia and Thailand.
Thu, Oct. 6, 10:17 AM
- ExxonMobil (XOM -0.1%) says it is considering its next steps after the High Court in Chad ordered the company to pay $819M in royalties.
- XOM says it disagrees with the court’s ruling yesterday in favor of the government after the finance ministry complained the company had not met its tax obligations.
- The ruling was against a consortium of three oil companies led by XOM - which operates a pipeline carrying crude from Chad to a marine terminal in Cameroon for export - Malaysia's Petronas and Chevron (CVX -0.4%), which sold its stake in the country in 2014.
- UPDATE: A later report from Bloomberg said XOM was ordered to pay a $74B fine in addition to the $819M in overdue royalties.
Mon, Oct. 3, 10:47 AM
- September monthly performance was: +0.2%
- 52-week performance vs. the S&P 500 is: +7%
- $0.21 in dividends were paid in September
- Top 10 Holdings as of 8/31/2016: AT&T Inc (T): 5.38068%, Exxon Mobil Corp (XOM): 5.11766%, Verizon Communications Inc (VZ): 4.15514%, Chevron Corp (CVX): 3.62745%, General Electric Co (GE): 3.46929%, Procter & Gamble Co (PG): 3.13406%, Wal-Mart Stores Inc (WMT): 2.92688%, Pfizer Inc (PFE): 2.90452%, Philip Morris International Inc (PM): 2.83223%, Merck & Co Inc (MRK): 2.39541%
Fri, Sep. 30, 8:51 AM
- Nigeria’s government can take the local units of Chevron (NYSE:CVX) and Total (NYSE:TOT) to trial for illegally exporting crude oil, a judge at the Federal High Court in Lagos rules.
- Nigeria is taking several international oil companies - including Royal Dutch Shell (RDS.A, RDS.B), Eni (NYSE:E) and Petrobras (NYSE:PBR) - to court for allegedly failing to declare more than 57M barrels of crude exports during 2011-14; the government says the oil was worth ~$13B.
- Trials against oil companies will begin on Oct. 26, the judge says.
Wed, Sep. 28, 3:19 PM
- The energy sector (XLE +4%) bursts to the top of the leaderboard after OPEC announces a planned production cut to 32.5M bbl/day at the informal OPEC meeting in Algiers.
- Among individual energy stocks: XOM +3.8%, CVX +2.7%, RDS.A +2.8%, BP +3.4%, TOT +2.4%, PBR +4.5%, COP +6.4%, MRO +8%, MPC +1.4%, PSX +1.9%, VLO -0.1%, EOG +6.2%, PXD +6.4%, OXY +4.5%, DVN +7.9%, CLR +8.3%, APA +6.2%, NOV +8.1%, SLB +3.3%, BHI +3.6%, HAL +4.3%, KMI +3.4%, ENB +2.6%, EPD +1.9%, ETP +2.9%.
Wed, Sep. 28, 11:48 AM
- Royal Dutch Shell (RDS.A, RDS.B) says a fire has forced it to close the Trans Niger Pipeline, the key oil pipeline in Nigeria that feeds the strategic Bonny Export Terminal.
- The Niger Delta Avengers group says it bombed the pipeline on Friday, just days after the terminal had resumed exports following repairs from a May bombing by the militants.
- Shell's other big export terminal in Nigeria, Forcados, was attacked in February and took seven months to repair, reportedsly costing the company ~$3B; Bonny has the capacity to export 1.25M bbl/day of crude, and Forcados carries ~400K bbl/day.
- SBM Intelligence risk analysts estimate that renewed militant attacks, low oil prices and weak refinery margins have cost Shell, Chevron (NYSE:CVX) and ExxonMobil (NYSE:XOM) $7.1B during H1, representing ~70% of their earnings in Nigeria.
Tue, Sep. 27, 9:45 PM
- Australia’s oil and gas regulator is expected to rule this week on BP’s proposal to begin deepwater exploration drilling in the Great Australian Bight, a pristine stretch of ocean that is a sanctuary for whales and other protected species.
- BP, Statoil (NYSE:STO) and Chevron (NYSE:CVX) are among several companies with permits to explore the area, which could contain up to 1.9B boe.
- Critics warn that BP's presence would risk another “Deepwater Horizon-style” oil spill; Australia’s oil and gas regulator already has twice denied BP’s environmental plan for the area.
- But even as the oil majors have de-emphasized high-risk deepwater frontier exploration wells in favor of lower-risk opportunities close to existing infrastructure, BP is under pressure to find new resources after underperforming peers in terms of booking new oil reserves during recent years, and the Great Australian Bight is one of the world's largest untested deepwater basins.