The Oil and Gas Producers Impress Wall Street with Oil Prices
By Paul Lewis on August 6, 2021
U.S. Oil and Gas producers Occidental Petroleum Corp and Devon Energy Corp blew past Wall Street's profit expectations on Tuesday, as easing travel curbs and rising vaccinations boosted fuel demand and crude prices. Shares of Occidental rose nearly 2 percent to $26.95 in extended trade, while Devon climbed 1.9 percent to $26.70.
After a crushing 2020, oil prices , have rebounded to multi-year highs and are now trading at over $70 a barrel, thanks to output curbs by the OPEC+ and a pick-up in economic activity. Devon also announced a fixed-plus-variable dividend of 49 cents per share, 44 percent higher than last quarter's payout, underscoring the energy industry's focus on shareholder returns over spending to expand production.
Peers Diamondback Energy Inc increased its annual divided by 12.5 percent to $1.80 per share and Pioneer Natural Resources Co declared an inaugural variable dividend of $1.51 per share on Monday. Occidental said its total production from continuing operations rose to 1.2 million barrels of oil equivalent per day, 7.7 percent higher sequentially.
The company's average price for worldwide crude oil rose to $60.05 per barrel from $55.65 barrel in the prior quarter. The Oil and Gas producer's adjusted profit attributable to common stockholders stood at $311 million, or 32 cents per share, for the three months ended June 30. Analysts had estimated 3 cents per share, according to Refinitiv IBES. Devon posted core earnings of 60 cents per share, beating an estimate of 52 cents per share.After the pandemic crushed, oil prices, have rebounded to a multi-year high. They are now trading at over $70 a barrel, thanks to output curbs by the OPEC+ and a pick-up in economic activity.
Published in News and Petroleum
Devon posted core earnings
Natural Resources Co declared
OPEC+ and a pick-up in economic activity
pandemic crushed
Refinitiv IBES
Paul Lewis
Begging his career as a freelance journalist covering topics in chemistry and biology, Paul J. Lewis now works as a dedicated news reporter at Chemical News. He also occasionally works as a freelancer for renowned news houses such as Chemistry & Industry, EMBO, New Scientist, and many more. His educational background of a master's degree in science communication adds further fillip to his writing career in the petroleum category. his personal favorites in writing encompass detailed coverage of various core chemistry-related topics such as petrochemicals, paleontology, and the like.
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