Top Energy Stocks
Energy stocks rose Friday, with the NYSE Energy Sector Index Thursday climbing nearly 0.6% while shares of energy companies in the S&P 500 also were up just over 0.6% as a group. West Texas Intermediate crude oil for October delivery settled 46 cents higher at $70.78 per barrel at the New York Mercantile Exchange while the global benchmark Brent crude November contract advanced 6 cents to $78.76 per barrel. October natural gas futures finished little changed at $2.98 per 1 million BTU. Among energy-related ETFs, United States Oil climbed over 1.0% while United States Natural Gas was recorded a more than 0.9% advance. The Philadelphia Oil Service Sector index also was up almost 1.7% today.
Among energy stocks moving on news:
(+) Primoris Services ( PRIM ) still was more than 1% higher in late Friday trading, giving back some of a nearly 2% advance earlier today after saying the recent five-week shutdown of the Atlantic Coast Pipeline ordered by the Federal Energy Regulatory Commission likely cost it about $35 million more in lost revenue than its initial projections. Work on the project has resumed, the company said, adding while it expects some weather-related delays in West Virginia later this year, construction should proceed uninterrupted in North Carolina this winter.
In other sector news
(+)- Noble Corp ( NE ) hit its best share price since January 2017, rising almost 8% to $7.00 a share, after the oilfield-services company said it has acquired a new Gusto MSC CJ46 design jackup rig from the PaxOcean Group for $93.75 million and also announced the award of a new, three-year contract and one-year option in the Middle East from an unidentified client. Noble paid 33.75 million, or roughly one-third, of the purchase price of the new rig in cash at closing, with the remaining $60 million funded with a seller-financed term loan carrying a 4.25% yearly interest rate and an additional 1.25% to be paid with an in-kind contribution over the four-year term. connection with a concurrently awarded drilling contract. Drill-work is expected to begin early next year.
(+) Transocean Ltd ( RIG ) rose over 7% on Friday after saying the Transocean Norge - its 33%-owned, harsh environment semisubmersible drill rig - has received a six-well contract with state-run energy major Equinor ASA ( EQNR ) on the Norwegian continental shelf. The contract is expected to begin next July and run an estimated 300 days following shipyard delivery of the rig early in 2019. The contract also includes four one-well options.
(+) Peabody Energy ( BTU ) climbed almost 2% at one point on Friday after the miner said it was acquiring the Shoal Creek coal mine in central Alabama from privately held Drummond Co for $400 million. The transaction should close by Dec. 31, subject to regulatory approvals and certain other conditions, including Drummond negotiating a new collective bargaining agreement with its 400 union employees. Shoal Creek is estimated to hold 17 million in reserves and sold 2.1 million tons of metallurgical coal during 2017.