In their latest quarterly report, Noble Corp.'s (NYSE:NE) profits plummeted by 80 percent, as the toll from the Obama administrations' oil moratorium continues to rise.
Even though the moratorium was lifted before the November elections, it is effectively still in place because of the permitting process and new regulations which will keep oil companies from drilling in the deepwater portions of the Gulf of Mexico for some time.
Profits in the quarter for Noble dropped to $86 million, or 34 cents a share, far below the $426 million, or $1.63 a share they produced last year in the same quarter.
Revenue for the third quarter also dropped to $613 million.
Analysts had been looking for revenue of $635 million, and profits of 35 cents a share.
The guidance from Noble Chief Executive David Williams was ominous: "We recognize that the effects of U.S. policies related to offshore drilling will be felt into 2011 and beyond."
Noble closed Wednesday at $35.00 a share, gaining $0.27, or 0.78 percent.
Showing posts with label Noble Energy. Show all posts
Showing posts with label Noble Energy. Show all posts
Thursday, October 21, 2010
Monday, October 4, 2010
Western Gas (NYSE:WES) Retains "Overweight" from Barclays (NYSE:BCS)
Barclays (NYSE:BCS) reiterated an "Overweight" rating on Western Gas Partners LP (NYSE:WES), citing potential for organic growth.
Barclays analyst says, "Wattenberg field trip highlights strong drilling economics and midstream organic expansion potential: We came back from the Wattenberg field trip hosted by WES with a renewed confidence in our recommendation. The newly acquired Wattenberg systems should not only benefit from strong producer economics but also from Niobrara shale upside ... We believe some of the near-term organic expansion opportunities include expanding gathering footprint and adding capacity to the White Cliff crude pipeline," said Barclays.
Also via their subsidiary, Anadarko Wattenberg Company, Western increased their stake in the White Cliffs crude oil pipeline, acquiring a piece of the sale from SemGroup Corp., which sold a portion of its stake for $141 million.
That pushes Western's stake in the pipeline to 10 percent. Noble Energy (NYSE:NBL) increased their stake in White Cliff to 5 percent.
Western closed the week at $27.43, gaining $0.33 on the day, or 1.22 percent.
Barclays increased their price target on Western from $27 to $29.
Barclays analyst says, "Wattenberg field trip highlights strong drilling economics and midstream organic expansion potential: We came back from the Wattenberg field trip hosted by WES with a renewed confidence in our recommendation. The newly acquired Wattenberg systems should not only benefit from strong producer economics but also from Niobrara shale upside ... We believe some of the near-term organic expansion opportunities include expanding gathering footprint and adding capacity to the White Cliff crude pipeline," said Barclays.
Also via their subsidiary, Anadarko Wattenberg Company, Western increased their stake in the White Cliffs crude oil pipeline, acquiring a piece of the sale from SemGroup Corp., which sold a portion of its stake for $141 million.
That pushes Western's stake in the pipeline to 10 percent. Noble Energy (NYSE:NBL) increased their stake in White Cliff to 5 percent.
Western closed the week at $27.43, gaining $0.33 on the day, or 1.22 percent.
Barclays increased their price target on Western from $27 to $29.
Tuesday, September 21, 2010
Jefferies Raises Sempra Energy (NYSE:SRE) Price Target, Fitch Wary
News of the sale of RBS Sempra Commodities energy solutions division to Noble Gas and Power Corp. brought mixed reactions, with Jefferies increasing the price target on Sempra Energy (NYSE:SRE) and while Fitch said they're maintaining a negative watch.
Jefferies said the reason they raised the price target from $59.50 to $60, was "We find SRE shares undervalued based on P/E valuation.
The sale of Sempra's remaining interest in the RBS Sempra Commodities JV should allow for a higher multiple on a reduced earnings level due to relatively less risk associated with Sempra's other business units."
They reiterated their "Buy" rating on Sempra Energy as well.
Fitch said they're keeping a negative watch on Sempra for the same reasons Jefferies raised the price target, but their concern is what Sempra will do with the capital.
While they say there could be a downgrade ahead, Fitch said they'll wait for the sale of Sempra's North American wholesale power and natural gas unit before making a decision.
Fitch said the wholesale power and natural gas division could fetch from $640 million to $740 million.
Jefferies said the reason they raised the price target from $59.50 to $60, was "We find SRE shares undervalued based on P/E valuation.
The sale of Sempra's remaining interest in the RBS Sempra Commodities JV should allow for a higher multiple on a reduced earnings level due to relatively less risk associated with Sempra's other business units."
They reiterated their "Buy" rating on Sempra Energy as well.
Fitch said they're keeping a negative watch on Sempra for the same reasons Jefferies raised the price target, but their concern is what Sempra will do with the capital.
While they say there could be a downgrade ahead, Fitch said they'll wait for the sale of Sempra's North American wholesale power and natural gas unit before making a decision.
Fitch said the wholesale power and natural gas division could fetch from $640 million to $740 million.
Friday, May 28, 2010
Citigroup (NYSE:C) On Gulf Lawsuits, Lobbying
While we hear a lot about BP (NYSE:BP) and Transocean (NYSE:RIG) in the Gulf oil crisis, there are a lot of oil companies who could have exposure to the fallout from the oil spill, which could result in some significant pressure in the months ahead, according to a Citigroup (NYSE:C) analyst.
The analyst said, In the Independent Oil & Gas industry, Anadarko (NYSE:APC), Apache (NYSE:APA), Newfield (NYSE:NFX), Nexen (NYSE: NXY) and Noble Energy (NYSE:NBL) have offshore Gulf of Mexico exposure. Of the US integrated oil industry, Chevron (NYSE:CVX) and Marathon (NYSE:MRO) have the highest level of activity taking place in the deep waters of the GOM. ExxonMobil (NYSE:XOM) and Hess (NYSE:HES) have limited exposure. Occidental Petroleum (NYSE:OXY) has zero exposure and is likely to benefit from the current environment."
Ultimately what some consider an over-response from the Obama administration, this could be devastating to the overall U.S. economy at a time when it continues to struggle to recover from the great recession.
The analyst said, In the Independent Oil & Gas industry, Anadarko (NYSE:APC), Apache (NYSE:APA), Newfield (NYSE:NFX), Nexen (NYSE: NXY) and Noble Energy (NYSE:NBL) have offshore Gulf of Mexico exposure. Of the US integrated oil industry, Chevron (NYSE:CVX) and Marathon (NYSE:MRO) have the highest level of activity taking place in the deep waters of the GOM. ExxonMobil (NYSE:XOM) and Hess (NYSE:HES) have limited exposure. Occidental Petroleum (NYSE:OXY) has zero exposure and is likely to benefit from the current environment."
Ultimately what some consider an over-response from the Obama administration, this could be devastating to the overall U.S. economy at a time when it continues to struggle to recover from the great recession.
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