Energy Sector Update for 09/16/2016: RRC,MRD,CIE,CQP

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Top Energy Stocks

XOM -0.87%

CVX -1.30%

COP -0.32%

SLB -0.55%

OXY -1.59%

Energy stocks were ending mostly lower, with the NYSE Energy Sector Index sinking 1.0% while shares of energy companies in the S&P 500 were down about 0.6% as a group. Crude oil for October delivery settled 88 cents lower at $43.03 per barrel - dropping as low as $43.74 earlier today - while October natural gas futures rose 2 cents to $2.95 per 1 million BTU.

In company news, Range Resources ( RRC ) was lower late Friday after the oil and natural gas producer today said it has completed its $4.2 billion, all-stock buyout of Memorial Resource Development ( MRD ).

Shareholders at both companies voted to approve the transaction yesterday, with Memorial shareholders receiving 0.375 of a Range share, valuing the target's shares at around $14.76 each, based on Range Resource's closing price last night.

RRC shares were down over 5% at $37.38 apiece, recovering somewhat from a session low earlier today of $36.95 a share.

In other sector news,

(+) CIE, Extends drilling contract with the Rowan Cos. ( RDC ) at least through March 31, 2017, agreeing to pay the current $582,000 dayrate until then but dropping by 55% to $262,000 per day after that date.

(-) HNR, Shareholders yesterday vote to approve the company's sale of Venezuelian interests to CT Energy Holding SSRL. The deal is now slated to close on Oct. 7.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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This article appears in: Investing , Energy
Referenced Symbols: RRC , CQP

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