Oil
Oil

Crude Slides as Hurricane Laura Makes Landfall

Oil prices eased on Thursday as a massive hurricane in the Gulf of Mexico made landfall in the heart of the U.S. oil industry, forcing oil rigs and refineries to shut down.

SECTOR COMMENTARY

Energy stocks are set to open slightly lower, tracing weaker oil prices and lower broader index futures.  Sector news flow is light this morning, with the majority of today’s focus set to be on Federal Reserve Chair Jerome Powell’s Jackson Hole address.

Oil prices eased on Thursday as a massive hurricane in the Gulf of Mexico made landfall in the heart of the U.S. oil industry, forcing oil rigs and refineries to shut down.  "Perhaps traders are waiting to see what the damage is but the limited impact so far may also just be a reflection of the current oil market dynamics. Temporary disruptions are easily covered," OANDA analyst Craig Erlam said.

U.S. natural gas futures rose close to a nine-month high on Thursday as pipeline exports to Mexico rose to a record peak for a third day in a row and output fell to its lowest since May as producers shut offshore wells before Hurricane Laura crashed into the Gulf Coast near the Texas Louisiana border.

INTERNATIONAL INTEGRATEDS  

(Late Wednesday) Reuters - The board of state-run oil company Petroleo Brasileirohas approved the sale of its remaining 37.5% stake in fuel distribution company BR Distribuidora,

Press Release - Saudi Aramco appointed a new chief executive officer to run its $500 million venture capital and investments arm after the previous head departed, according to people with knowledge of the situation. Mahdi Aladel, who formerly led the state energy producer’s base oils and lubricants division, will take over as CEO of Saudi Aramco Energy Ventures LLC, according to the people, who asked not to be identified because the information hasn’t been made public. A LinkedIn page appearing to belong to Aladel said he’d started the new role this month.

Press Release - TOTAL SE announces its intention to issue Euro denominated undated non-call 10 year deeply subordinated fixed rate resettable notes. The pricing of the New Notes is expected to be announced later today. The New Notes are scheduled to be admitted to trading on Euronext Paris. It is also expected that the rating agencies will assign the New Notes ratings of A2/A- (Moody's/ S&P) and 50% equity credit.

U.S. E&PS  

Evercore upgraded Apache to ‘Outperform’ from ‘In Line’.

OILFIELD SERVICES 

Press Release - CGG announced the commencement of a new multi-client 3D survey in the Northern North Sea. The survey will provide a second azimuth over CGG’s existing Northern Viking Graben (NVG) multi-client 3D survey and extend into open acreage on offer in the UK 32nd License Round.

DRILLERS 

Nordea terminated coverage on Diamond Offshore Drilling, Noble and Valaris.

MLPS & PIPELINES

Press Release - Gibson Energy announced the initiation of a Normal Course Issuer Bid. Gibson’s Board of Directors has approved a NCIB, and the Toronto Stock Exchange has accepted Gibson’s Notice of Intention to Make a NCIB, enabling the Company to purchase and cancel up to 10%, or 11,765,180, of the public float for the issued and outstanding common shares as of August 24, 2020 over the next 12 months commencing August 31, 2020 in accordance with the applicable rules and policies of the TSX and applicable securities laws. 

MARKET COMMENTARY

U.S. stock index futures dipped as tensions between Washington and Beijing dampened the mood ahead of an address by Federal Reserve Chair Jerome Powell, in which he is expected to take a softer stance on inflation to support a fragile economy. European equity markets were down as a cautious mood prevailed. Most Asian shares traded higher in the wake of Wall Street's record run in the previous session as cheap cash drove up big-cap tech darlings. The dollar was little changed against its peers. Gold fell as investors booked profits after over 1% jump in the last session.

NASDAQ ENERGY TEAM THOUGHT LEADERSHIP


Nasdaq Advisory Services Energy Team is part of Nasdaq's Advisory Services – the most experienced team in the industry. The team delivers unmatched shareholder analysis, a comprehensive view of trading and investor activity, and insights into how best to manage investor relations outreach efforts. For questions, please contact Tamar Essner


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