Exxon Mobil Corporation (XOM) - NYSE
  • Wed, Jul. 13, 2:28 PM
    • Lower costs and improved productivity have enabled U.S. shale oil drillers to made major strides in adapting to lower crude prices, energy consultant Wood Mackenzie says.
    • Shale drillers have cut the costs of producing new supplies of oil by as much as 40% in the past two years by pushing for lower rates from the companies that provide rigs, pipes and other services.
    • Wood Mackenzie estimates that oil companies could make money in west Texas' Bone Spring and Wolfcamp tight oil plays with $37/bbl oil, the Eagle Ford Shale in south Texas could turn a profit at $48/bbl, the average breakeven price in North Dakota’s Bakken Shale is $58/bbl, while breakeven at Oklahoma’s SCOOP region is $35/bbl.
    • The report says the big winners will be incumbent operators in the key shale oil patches in the lower 48 U.S. states, such as in the Mid-Continent and Permian Basin, including U.S. independents such as EOG Resources (EOG -1.7%), Pioneer Natural Resources (PXD -2.1%), Continental Resources (CLR -2.1%) and Apache (APA -1.9%), as well as oil giants Exxon Mobil (XOM -0.5%) and Chevron (CVX -0.2%).
    | Wed, Jul. 13, 2:28 PM | 17 Comments
  • Thu, Jun. 30, 3:25 PM
    • Exxon Mobil (XOM +1.2%) and Hess (HES +3.5%) confirm a “world-class discovery” off the coast of Guyana that probably will yield 800M-1.4B boe of crude.
    • The news confirms earlier comments by Guyana's natural resources minister, and the upper end of the new estimate is 2x larger than an earlier estimate that the field could contain 700M barrels of oil.
    • The discovery is considered particularly significant for Hess; at the high end of the estimate, Hess' stake equates to 420M barrels, a 39% addition to its proved reserves; the company says more exploratory drilling is planned for the Stabroek block that hosts the Liza field.
    • The companies could break even on developing the field at less than $40/bbl, Wells Fargo analysts estimate.
    • XOM is operator of the Liza discovery and owns a 45% interest, while Hess holds a 30% stake and China's Cnooc (CEO +0.8%) owns the remaining 25%.
    | Thu, Jun. 30, 3:25 PM | 4 Comments
  • Wed, Jun. 29, 11:57 AM
    • Exxon Mobil (XOM +1.5%) is considering buying stakes in natural gas discoveries off Mozambique made by Anadarko Petroleum and Eni, Bloomberg reports.
    • Acquiring a share of APC’s Area 1 in the Rovuma Basin off Mozambique’s north coast could generate ~$1.3B in capital gains tax for the government, which would help ease the country's credit crunch, according to the report.
    • XOM also is said to be interested in Eni’s Area 4; three years ago, China National Petroleum purchased 20% of Area 4 for $4.2B.
    • XOM last October won three exploration licenses for offshore blocks to the south of the APC and Eni Mozambique discoveries, and has a working interest in Statoil’s Block 2 in Tanzania, north of the Rovuma Basin.
    | Wed, Jun. 29, 11:57 AM
  • Tue, Jun. 28, 2:29 PM
    • Statoil (STO +3.3%) must not attempt to scale back existing labor agreements if it wants to prevent a strike by Norwegian oil and gas workers beginning July 2, says the Industri Energi union, which represents two-thirds of the workers that would strike.
    • Three unions said yesterday that 755 Norwegian workers on seven oil and gas fields operated by STO, Exxon Mobil (XOM +1.2%) and Engie (OTCPK:ENGIY) will strike unless a deal on wages and other working conditions is agreed; Reuters says the fields account for ~18% of Norway's combined output of crude oil, natural gas and natural gas liquids.
    • XOM and Engie have said a conflict would cut output at the fields they operate, while STO has declined to comment on all aspects of the negotiations.
    • Crude oil prices today are ~3% higher, bouncing off their Brexit-fueled selloff, and the threat of the Norway strike is said to be one of the causes.
    • ETFs: USO, OIL, UWTI, UCO, DWTI, SCO, BNO, DBO, DTO, USL, DNO, OLO, SZO, OLEM
    | Tue, Jun. 28, 2:29 PM | 4 Comments
  • Fri, Jun. 24, 11:58 AM
    • Exxon Mobil’s (XOM -2.5%) lease agreement for Nigeria's “Crown Jewels” oil reserves is under investigation by the country’s economic and financial crimes commission, according to a report from The Guardian.
    • A letter to an XOM subsidiary from Nigeria’s federal ministry of petroleum resources reportedly shows acceptance of a 2009 bid of $1.5B for a 20-year lease on four oil fields that produce a combined ~580K bbl/day - nearly a third of the country’s total production of ~1.8B bbl/day - even after a group that included China's Cnooc (CEO -5.5%) bid $3.75B for the same rights.
    • Gross revenue from XOM’s 40% stake in the wells would come to $4.2B annually with oil at $50/bbl, the report says.
    | Fri, Jun. 24, 11:58 AM | 4 Comments
  • Thu, Jun. 2, 11:45 AM
    • ConocoPhillips (COP +0.3%) is BofA Merrill Lynch analyst Doug Leggate's "top free cash yield idea" in the oil and gas E&P group, despite COP's reduced dividend yield after the dividend cut earlier this year, as he shifts focus from top dividend payers such as Exxon Mobil (XOM -1.5%) - which the analyst downgraded to Neutral from Buy - to yield plays.
    • Leggate says COP is well positioned to deliver outsize returns to shareholders via buybacks, while “potentially supporting competitive ‘growth per share’ that bridges the gap between the majors and the E&Ps.”
    • Because of under-investment in both short and long cycle oil and gas projects, the analyst believes "the commodity discussion is poised for a shift towards one of undersupply and increased risk that oil prices overshoot to the upside. In that scenario, Big Oil would likely lag more levered peers, further positioning COP as our preferred major oil name.”
    • BofA maintains a Buy rating for COP with a $71 price target.
    | Thu, Jun. 2, 11:45 AM | 13 Comments
  • Thu, Jun. 2, 11:02 AM
    • Exxon Mobil (XOM -1.5%) is lower after BofA Merrill Lynch downgrades shares to Neutral from Buy with a $96 price target, as the firm's says XOM's stock valuation already seems to reflect long-term oil at ~$73/bbl.
    • BofA says the outperformance vs. sector peers reflects "perhaps a flight to XOM’s defensive characteristics on the way down and relative scale that positions the stock as the ‘go to’ name for portfolio managers looking to reduce relative energy underweights as oil prices recover."
    • XOM’s portfolio is shifting towards higher oil leverage and a higher overall proportion of long-life assets, which likely has been driving unit margin expansion although overshadowed by the decline in oil prices, the firm says.
    • Now read Exxon and Chevron: Tremendous downside lurks (May 31)
    | Thu, Jun. 2, 11:02 AM | 6 Comments
  • Wed, May 25, 2:58 PM
    • BP (BP +3.3%) has started a water injection project at its Thunder Horse platform in the deepwater Gulf of Mexico to boost oil and gas recovery from one of the field’s three main reservoirs.
    • BP expects the improvements to allow the facility to recover an additional 65M boe over time.
    • The Thunder Horse platform, which began producing in 2008, has production capacity of 250K bbl/day of oil and 200M cf/day of gas.
    • BP is using Helix Energy Solutions' (HLX +8.4%) newbuild well intervention vessel Q5000 at Thunder Horse for workovers and well enhancement, including acid stimulation and water reduction.
    • Thunder Horse is operated by BP with a 75% working interest, while Exxon Mobil (XOM +0.5%) holds the remaining 25%.
    | Wed, May 25, 2:58 PM | 5 Comments
  • Mon, May 9, 3:19 PM
    | Mon, May 9, 3:19 PM | 12 Comments
  • Thu, May 5, 8:51 AM
    • FuelCell Energy (NASDAQ:FCEL) +22.7% premarket after announcing a partnership with Exxon Mobil (NYSE:XOM) to pursue potentially revolutionary technology for capturing carbon dioxide emissions through a new application of carbonate fuel cells.
    • The companies say they will focus initially on how to further increase efficiency in separating and concentrating carbon dioxide from the exhaust of natural gas-fueled power turbines; a second phase would more comprehensively test the technology in a small-scale pilot project prior to integration at a larger-scale pilot facility.
    • Carbon capture technology has been plagued by setbacks and delays, but the new FCEL-XOM method uses fuel cells; the exhaust from a power plant and natural gas are fed into a fuel cell, and the reactions generate power and create a concentrated stream of carbon dioxide that can be more easily captured.
    • Now read Carbon capture creates big upside for FuelCell Energy
    | Thu, May 5, 8:51 AM | 25 Comments
  • Thu, Apr. 14, 3:30 PM
    • The Obama administration announces new oil well control rules aimed at preventing the kind of blowout that happened in the 2010 Gulf of Mexico oil spill.
    • The regulations announced by the Interior Department tighten requirements for blowout preventers, well design, well control casing, cementing and sub-sea containment, and call for real-time monitoring, third-party reviews of equipment, regular inspections and safe drilling margin requirements.
    • The effects will be particularly acute for the Gulf’s top crude oil and gas producers, Royal Dutch Shell (RDS.A +1.1%), BP (BP -1.6%), Chevron (CVX +0.1%) and Exxon Mobil (XOM +0.4%); XOM says the new rules will cost $25B over 10 years and render many offshore discoveries worthless.
    • Offshore drilling stocks are broadly lower on the news: RIG -6.1%, DO -1.4%, ESV -5.1%, RDC -7.3%, NE -5.4%, ATW -9%, SDRL -8.9%, SDLP -4%.
    • ETFs: XLE, VDE, ERX, OIH, XOP, FCG, ERY, GASL, DIG, DUG, BGR, XES, IYE, IEO, FENY, IEZ, PXE, FIF, PXJ, RYE, NDP, GUSH, DRIP, DDG, FXN
    | Thu, Apr. 14, 3:30 PM | 171 Comments
  • Fri, Apr. 1, 3:47 PM
    • InterOil (IOC -1.6%) confirms receiving a request from a group of shareholders led by former CEO Phil Mulacek for a special meeting of shareholders to consider proposals for improving governance.
    • The Mulacek-led group, which holds ~7.5% of IOC shares, says the board is too large and expensive for a company with no operations, and lowering the head count would make better use of resources.
    • IOC often is discussed as a potential target for the likes of Woodside Petroleum (OTCPK:WOPEF, OTCPK:WOPEY) - where IOC CEO Mike Hession was once an executive - Oil Search (OTCPK:OISHF), Total (NYSE:TOT) or Exxon Mobil (NYSE:XOM).
    • Now read InterOil drilling update and 2015 results
    | Fri, Apr. 1, 3:47 PM
  • Wed, Mar. 9, 1:39 PM
    • Chevron (CVX +4.6%) extends its March upward momentum to match its December highs following favorable reviews of its analyst day, which includes news of further capex cuts and the winding down of capital intensive projects.
    • Credit Suisse says CVX is reaching a "sweet spot" and in an ideal position for better capital efficiency moving forward; the firm thinks CVX has reached the crossover point where long-lived mega-projects are completed, cash flow is set to rise, and management could steer the capex wheel towards shorter cycle and lower capital intensive activity.
    • CLSA analysts express increased confidence that CVX will be able to close its share price performance gap with Exxon Mobil (XOM +0.2%) - down 7% YTD vs. XOM and down 20% since early 2014 - as the impact of improving project execution becomes more visible starting in Q2.
    • Deutsche Bank says CVX is a Buy after "finally turning the corner," as first gas at Gorgon, cash flow and volumes are set to inflect and costs are dramatically and structurally lower.
    • Earlier: Chevron outlook bright amid shift to free cash flow generation, Citi says (Mar. 8)
    | Wed, Mar. 9, 1:39 PM | 21 Comments
  • Tue, Mar. 8, 3:34 PM
    • Chevron (CVX -2%) is maintained with a Buy rating at Citigroup, which believes higher volumes and lower costs at $40/bbl oil prices can expand return on equity 300 bps to 7% in 2018 - or reaching 9% at $65/bbl oil - leaving equity well positioned to enjoy almost all the upside from higher oil prices.
    • Delivery of Gorgon and Wheatstone LNG, together responsible for 50% of CVX’s earnings uplift over the next 18 months, marks the start of the company’s "shift from heavy investment to free cash flow generation," Citi says, seeing CVX’s cash flow breakeven drop to ~$50/bbl in 2017 and $45/bbl in 2018, as key growth projects ramp to full capacity.
    • While 2016 will still see a major outspend, CIti likes CVX's strong balance sheet, and believes the company can defend its AA- credit rating and continue to deliver small, nominal dividend growth.
    • Additionally, 24/7 Wall Street's Jon Ogg thinks CVX's heavy emphasis on maintaining its dividend may force Exxon Mobil (XOM -2.1%) to raise its dividend whether it wants to or not.
    • Earlier: Chevron plans further capital spending cuts
    • Earlier: Chevron plans to pivot from big projects to west Texas shale
    | Tue, Mar. 8, 3:34 PM | 15 Comments
  • Tue, Feb. 23, 7:02 PM
    • Transocean (NYSE:RIG) -1.8% AH after receiving a notice of early termination from ExxonMobil (NYSE:XOM) for the contract of a semi-submersible rig working off Angola.
    • RIG says the drilling contract is expected to end in May 2016 with demobilization completed in June 2016.
    • RIG says it will not receive compensation for the remaining contract term.
    | Tue, Feb. 23, 7:02 PM | 10 Comments
  • Wed, Feb. 3, 12:28 PM
    • Perhaps just as noteworthy as the 10 U.S. oil companies downgraded by Standard & Poor's is the company it did not downgrade but put on credit watch: Exxon Mobil (XOM +2.2%).
    • XOM is one of three U.S. companies with S&P’s highest AAA rating - which it has held since 1930 - but the ratings agency placed XOM on credit watch with negative implications because its credit measures probably will remain weak through 2018.
    • S&P says it will decide whether to downgrade XOM within 90 days; it if chooses to make a cut, it probably would be only by a single notch.
    • Earlier: S&P cuts ratings of 10 U.S. oil companies
    | Wed, Feb. 3, 12:28 PM | 22 Comments
Company Description
Exxon Mobil Corp. explores, develops and distributes crude oil and natural gas. The company through its divisions and affiliated companies, engages in its principal business, is energy, involving exploration for, and production of, crude oil and natural gas, manufacture of petroleum products and... More
Industry: Major Integrated Oil & Gas
Country: United States