Thu, Nov. 5, 3:33 PM
- The New York attorney general's office has launched a sweeping investigation of Exxon Mobil (XOM -1.2%) to determine whether the company lied to the public about the risks of climate change or to investors about how those risks might hurt the oil business, NY Times reports.
- AG Eric Schneiderman is said to have issued a subpoena last night to XOM demanding extensive financial records, emails and other documents.
- XOM has denied allegations it has suppressed climate change research, and has said it had funded mainstream climate science since the 1970s.
- The report also says coal producer Peabody Energy (BTU +6.2%) has been under investigation by the AG for two years over whether it properly disclosed financial risks related to climate change but has not resulted in any charges or other legal action.
Mon, Nov. 2, 5:22 PM
- Exxon Mobil (NYSE:XOM) has climbed above three key technical levels, suggesting further gains ahead for the shares and possibly for crude oil prices, MarketWatch's Tomi Kilgore writes.
- XOM shares surged 3% today to break above their 200-day moving average, have run up more than 20% since it closed at a four-year low of $68.71 on Aug. 25, and earlier this month climbed above a 15-month downtrend line that coincided with the downtrend in crude oil prices.
- Although crude oil futures prices remain below their 200-day MA, some analysts think XOM's rise foreshadows a similar breakout in oil prices; since XOM represents a noteworthy chunk of the oil market, “if you’re bullish on Exxon, you have to be bullish on oil, too," says RBC's Brad Heffern.
Mon, Nov. 2, 10:48 AM
- Oil companies including ConocoPhillips (NYSE:COP), Exxon Mobil (NYSE:XOM) and BP have benefited from years of tax breaks offered by the state of Alaska, but now state leaders want to cut back the subsidies since crude oil prices have plunged and Alaska likely lost $263M on its oil production tax program in the past year, WSJ reports.
- The subsidy program "began for all the right reasons, and it’s reached a point beyond our fiscal appetite," Gov. Walker says, but "we can no longer subsidize exploration."
- The dilemma for Alaska is that if it cuts back subsidies and increases oil tax revenue, it could lose money in the long run if it discourages drillers from tapping its reserves; oil money usually makes up 90% of the state budget and funds dividend checks to every Alaskan.
Fri, Oct. 30, 8:10 AM
- Q3 earnings of $4.24B or $1.01 per share vs. $8.07B and $1.89 one year ago. Capital spend of $7.67B vs. $9.837B.
- Oil-equivalent production of 3.9M oil-equivalent bpd up 2.3% Y/Y, with liquids up 13% and natural gas down 10%.
- Cash flow from operations and asset sales of $9.7B (asset sales produced $491M). Capital returns of $3.6B included $500M of share buybacks. Another $500M is expected to be spent on repurchases in Q4.
- Upstream earnings of $1.4B vs. $5.1B a year ago. Downstream earnings of $2B doubled the result from last year. Chemical earnings of $1.2B gained $27M.
- Conference call at 9:30 ET
- Previously: Exxon Mobil beats by $0.12, beats on revenue (Oct. 30)
- XOM +0.8% premarket
Fri, Oct. 30, 8:02 AM
Thu, Oct. 29, 5:30 PM| Thu, Oct. 29, 5:30 PM | 19 Comments
Thu, Oct. 29, 8:57 AM
- Statoil (NYSE:STO) agrees to acquire a 35% stake in the Tugela South exploration license offshore South Africa from Exxon Mobil (NYSE:XOM), in the Norwegian company's first venture in the country.
- Tugela South spans nearly 3,500 sq. miles off South Africa's east coast, with water depths at up to 5,905 ft.; the license is in an early exploration phase, with seismic data gathering occurring through 2017, followed by geology and geophysics studies, before any drilling starts.
- Tugela South is operated by XOM, which acquired a 75% stake in the license in 2012 and will retain 40% following the deal with STO.
Thu, Oct. 29, 7:57 AM
- Exxon Mobil (NYSE:XOM) says it plans to expand hydrocracker operations at its Rotterdam refinery to give it the capacity to make more high-performance lubricating oils and greases.
- XOM says the refinery will be Europe's first to produce EHC Group II base stocks, which arethe primary ingredients used in the production of high-quality lubricating oils and greases.
- XOM does not offer details on the size or cost of the expansion, but the refinery currently has a throughput of 190K bbl/day.
Wed, Oct. 28, 6:26 PM
- Mozambique’s government awards six licenses to search for oil and gas, including three licenses for offshore blocks to Exxon Mobil (NYSE:XOM) in partnership with Rosneft (OTC:RNFTF), and one to a consortium led by Eni (NYSE:E) that includes Sasol (NYSE:SSL) and Statoil (NYSE:STO), Bloomberg reports.
- The government says the proposed exploration programs have the potential for investments of up to $700M, with the opening of a minimum of 10 wells.
- Mozambique hopes to attract investments to exploit huge gas finds in the offshore northern Rovuma basin that could help turn the country into the world’s third-biggest liquefied natural gas exporter in a decade.
Wed, Oct. 28, 1:03 PM
Tue, Oct. 27, 8:17 AM
- Santos (OTCPK:STOSF), which last week rejected a US$5.15B takeover offer, has received a ~US$1.1B bid (A$1.5B) from Quadrant Energy for oil and gas fields in Western Australia that the companies jointly own, Bloomberg reports.
- Santos’ Western Australian assets, located in the Carnarvon Basin, accounted for 24% of its production last year.
- Separately, Japanese trading house Marubeni (OTC:MARUF) is in talks to buy 3.6% of Exxon Mobil's (NYSE:XOM) Papua New Guinea liquefied natural gas plant from Santos for more than A$1B, according to the same report.
- Santos owns 13.5% of the $19B PNG LNG plant, while XOM holds 33.2% and Oil Search Ltd. 29%.
Mon, Oct. 26, 6:45 PM
- Spending on new projects, share buybacks and dividends at four of the biggest oil companies - Royal Dutch Shell (RDS.A, RDS.B), BP, Exxon Mobil (NYSE:XOM) and Chevron (NYSE:CVX) - outstripped cash flow by more than a combined $20B in H1 of this year, according to a WSJ analysis.
- The cash crunch underscores the cloudy future facing the four Big Oil stalwarts amid a 16-month slump in oil prices, and analysts expect the companies to reveal continuing cash flow shortfalls when they report earnings this week after a quarter in which oil prices fell to their lowest levels since the financial crisis; Brent crude averaged ~$50/bbl in Q3 vs. more than $60/bbl in Q2 and ~$100 in 2014.
- Moody's recently said it expected the world’s integrated oil companies will have a combined cash flow deficit of as much as $80B this year and $55B next year at current price levels.
- Even with the cash flow problems, the companies maintain strong balance sheets, and their refining and marketing divisions have cushioned the blow of the market turmoil, along with cost-cutting and planned asset sales.
Mon, Oct. 26, 4:48 PM
- BP and ConocoPhillips (NYSE:COP) have provided written assurances that they will commit their shares of Alaska North Slope natural gas to a future pipeline project, Alaska's Gov. Walker says, adding that he will not introduce property tax legislation on gas leases within the Prudhoe Bay and Point Thomson units.
- The announcement comes as the state legislature begins a special session concerning the project, which now is likely to focus on buying out TransCanada’s interest in the proposed $45B-$65B project that would be the largest single investment in Alaska in the state’s history.
- Exxon Mobil (NYSE:XOM), also one of the three top North Slope producers, has not yet made public a similar commitment.
- Earlier: Exxon, Conoco, BP to pay back $800M for project impacts in Alaska (Oct. 1)
Sat, Oct. 24, 8:25 AM
- Exxon Mobil (NYSE:XOM) responded this week to mounting calls for a federal investigation into accusations that the company has known for decades about the risks of burning fossil fuels and the effects on climate change, and that it has withheld the information and sought to sow doubt among the public.
- XOM once embraced climate science but seems to have shifted its corporate view by 1990 after growing wary of government and regulatory efforts that could "alter profoundly the strategic direction of the energy industry," and that the impact on the company from those efforts “will come sooner... than from climate change itself.”
- Blasting the allegations as “inaccurate and deliberately misleading," XOM says "activists deliberately cherry-picked statements attributed to various company employees to wrongly suggest definitive conclusions were reached decades ago by company researchers."
- The scandal has implications beyond just XOM, as other oil companies that conducted their own research also could face public scrutiny about what they knew about climate change, when they knew it and how they responded to it.
Thu, Oct. 22, 6:25 PM
- North Dakota regulators approve a plan to give oil producers an extra year to bring a new well online, Reuters reports, in an attempt to give the energy industry breathing room during the oil price downturn.
- Companies will now have up to two years to frack drilled but uncompleted wells under changes approved by the North Dakota Industrial Commission, which means the oil industry will not be forced to spend billions of dollars to frack an estimated 1,000 DUCs, most of which will hit their previous one-year deadlines in December.
- Top Bakken shale producers include CLR, HES, EOG, WLL, XOM, OAS, NOG, EOX, MRO
Thu, Oct. 15, 10:29 AM
- U.S. and state governments say they will not pursue $92M in additional damages from Exxon Mobil (XOM +0.2%) for the 1989 Exxon Valdez oil spill, citing the recovery of ducks and sea otters in Alaska’s Prince William Sound.
- Any remaining patches of oil can no longer be considered an impediment to the recovery of sea otters or harlequin ducks or a significant ongoing threat to their now-restored populations in the area affected by the spill, government lawyers said in a court filing yesterday.
- Lawsuits brought against XOM by the governments after the spill led to a $900M settlement, of which more than $200M remains that could be used to address lingering oil and other restoration work, according to the filing.
Exxon Mobil Corporation is engaged in energy, involving exploration for, and production of, crude oil and natural gas, manufacture of petroleum products and transportation and sale of crude oil, natural gas and petroleum products.
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