Energy Stocks, Hydrocarbons All Trading Higher; NewLead Holdings Jumps After Unnamed Investor Puts Up $236 Million
Top Energy Stocks
Energy stocks are higher with the NYSE Energy Sector Index gaining 0.7% and the S&P Energy Index rising 0.6%. Crude oil for February delivery is up 95 cents to $94.05 per barrel. February natural gas is up 10 cents to $3.21 per 1 million BTU.
In company news, NewLead Holdings Ltd. ( NEWL ) is up 14% at around $2.14 a share, but well down from a session high of $2.73 after the tanker and shipping firm said it received a $236.4 million capital contribution in the form of industrial metal from an unidentified investor in exchange for a 36.8% equity stake in the company. NEWL executives said the new investment will be used as collateral for loans supporting its capital-intensive activities. The new investor, who will not have board representation, has pledged to hold its new shares for at least 18 months.
In other sector news,
(+) RDC, (+2%) Sociente Generale initiates coverage with a Hold rating and a $36 price target.
(+) GEL, (+1.6%, hit new 52 week highs) Pipeline company raises Q4 distribution by $0.045 a share to $0.485 payable Feb. 14 to shareholders of record on Feb. 1.
(+) ACTG, (+0.8%) Expanding its business to include patented technologies such as solids-separation from drilling fluids used in oil and gas wells.
(+) ARP, (+0.3%) Launches $250-million private placement of senior, unsecured notes. Proceeds will be used to pay down borrowings under its revolving credit facility.
(+) NE, (+0.1%, has turned positive) Started at Buy and a $48 price target at Societe Generale.
(+) KOG, (+0.4%, has turned positive) Launches $300-million offering of senior notes maturing in 2021. Proceeds will be used to pay down existing debt.
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