$COP

Oil Drops on Diplomatic Progress with Iran, Tight Inventories Limits Downside, RBC Says

Oil prices came under renewed pressure on Friday after the White House signaled that a nuclear agreement with Iran could be reached in the near term, raising expectations for additional crude supplies to return to the market, RBC Capital Markets analyst Scott Hanold said in a Friday note.US benchmark West Texas Intermediate crude fell below $80 per barrel, although prices remain approximately 18% higher than levels seen before the outbreak of conflict in late February. Shares of US exploration and production companies also weakened, leaving the sector up just 6% since the start of the conflict.Despite the prospect of an easing in geopolitical tensions, Hanold said the impact on global oil fundamentals has already been significant. Supply and inventory buffers have been substantially reduced, supporting expectations for higher medium-term oil prices. Analysts estimate that the industry's mid-cycle oil price could remain at or above $75 per barrel for the next several years.US crude inventories currently stand about 5% below their five-year average. In its latest Short-Term Energy Outlook, the US Energy Information Administration projected total OECD oil inventories will fall below 2.3 billion barrels by December, the lowest level since the agency began tracking the data in 2003.Energy equities broadly declined over the past week. Oil-focused E&P companies fell roughly 5%, while natural gas-focused producers declined about 6%. Large-cap energy stocks were down 4%, while small- and mid-cap names lost 5%. The SPDR S&P Oil & Gas Exploration & Production ETF (XOP) fell 4% during the period, as WTI crude declined 7% and Henry Hub natural gas prices dropped 8%.Investor interest in the energy sector remains intact but highly selective, according to discussions with long-only funds, generalist investors, and hedge funds. Investors continue to cite attractive valuations, with free cash flow-to-enterprise value and free cash flow-to-market capitalization yields averaging in the low- to mid-teens.Interest in natural gas producers remains more limited amid concerns that a strengthening El Nino weather pattern could weigh on demand. However, investors have shown growing interest in Expand Energy (EXE) due to its relative valuation. Other energy names drawing attention include Devon Energy (DVN), ConocoPhillips (COP), Diamondback Energy (FANG), and Permian Resources (PR).Price: $167.10, Change: $+3.69, Percent Change: +2.26%

Libya Pushes Ahead With Refinery Restart as Energy Sector Gains Momentum, Kpler Says

Libya's plan to restart the 220,000-barrel-per-day Ras Lanuf refinery could curb fuel imports and reduce crude shipments to Europe, Kpler said in a note on Wednesday.After reaching an agreement with its Emirati partner in mid-May, Libya's National Oil, also known as NOC, took full ownership of Ras Lanuf, ending a years-long dispute and clearing the way for refurbishment work, Kpler said.Kpler expects Libya's oil production to hold near 1.35 million b/d to 1.4 million b/d through 2027, although the firm believes the refinery is more likely to return during the second half of 2027 than within the timeline suggested by the NOC.Libya's energy sector gained momentum this year as TotalEnergies (TTE) and ConocoPhillips (COP) extended the Waha Oil concession through 2050 in January, followed by the country's first licensing round in 17 years in February, Kpler said.Repsol-led groups, MOL, the Eni-QatarEnergy partnership, Chevron (CVX) and Aiteo secured the licenses, while joint projects with Eni (E), Repsol and Sonatrach resulted in three new hydrocarbon discoveries in April, Kpler said.Libya currently refines about 100,000 b/d, with Zawiya accounting for most of that volume, while Marsa El Brega processes about 9,000 b/d, Sarir handles 10,000 b/d and Tobruk contributes roughly 20,000 b/d, Kpler estimates.Libya consumes as much as 250,000 b/d of transport fuels, including 90,000 b/d to 100,000 b/d of gasoline and 140,000 b/d to 150,000 b/d of diesel, Kpler data show.To meet that demand, Libya imports over 150,000 b/d of refined products, sourcing gasoline mainly from Italy, the Netherlands, Belgium and Spain, while diesel supplies largely come from Italy and Turkey.If Ras Lanuf resumes operations, Libya could replace a large share of those imports with domestic production.The refinery would use Amna, Sarir and Mesla crude grades, which currently account for 270,000 b/d to 300,000 b/d of exports, potentially forcing buyers in Italy and the UK to find alternative supplies, Kpler said.Price: $89.62, Change: $+0.22, Percent Change: +0.25%

Update: Trade Union Lederne Confirms Strike Possibility at Norway Oil, Gas Offshore Facilities

(Updates with Offshore Norway statement in fourth and fifth paragraphs.)Trade union firm Lederne confirmed there was a possibility of strikes at Norwegian offshore oil and gas producing installations, with much depending on the outcome of the mediations starting on Wednesday."There is a chance of a strike on Norwegian offshore installations producing oils and gas, depending on the mediations starting today with deadline Thursday at midnight," a spokesperson for the trade union said in an emailed statement to.The Norwegian Continental Shelf facilities which are likely to be impacted by the strikes first include the Statfjord A platform and the Oseberg Ost field, both operated by Equinor (EQNR), Draugen operated by Okea, and Ekofisk 2/4 K operated by ConocoPhillips' (COP) Norwegian unit, the statement said.In a statement shared with, Offshore Norway, which is representing the oil industry in these negotiations, said almost 45,500 barrels of oil equivalent per day in production could be impacted by the strike."A strike could result in reduced production from the affected fields. Based on the notified strike volumes, approximately 45,500 barrels of oil equivalent per day could be impacted," it said in its statement.Earlier this week, Reuters reported that almost 8% of offshore oil and gas workers in Norway intend to launch a strike if negotiations over wages, mediated by the state, do not yield any results.Three workers unions Styrke, Lederne and Safe, representing about 8,100 members involved in oil production, are involved in negotiations with Norwegian oil companies. Among other demands, workers are seeking a pay hike above inflation, the report said.The three unions represent most of the workers in Norway's offshore oil and gas facilities, it added.

Trade Union Lederne Confirms Strike Possibility at Norway Oil, Gas Offshore Facilities

Trade union firm Lederne confirmed there was a possibility of strikes at Norwegian offshore oil and gas producing installations, with much depending on the outcome of the mediations starting on Wednesday."There is a chance of a strike on Norwegian offshore installations producing oils and gas, depending on the mediations starting today with deadline Thursday at midnight," a spokesperson for the trade union said in an emailed statement to.The Norwegian Continental Shelf facilities which are likely to be impacted by the strikes first include the Statfjord A platform and the Oseberg Ost field, both operated by Equinor (EQNR), Draugen operated by Okea, and Ekofisk 2/4 K operated by ConocoPhillips' (COP) Norwegian unit, the statement said.Earlier this week, Reuters reported that almost 8% of offshore oil and gas workers in Norway intend to launch a strike if negotiations over wages, mediated by the state, do not yield any results.Three workers unions Styrke, Lederne and Safe, representing about 8,100 members involved in oil production, are involved in negotiations with Norwegian oil companies. Among other demands, workers are seeking a pay hike above inflation, the report said.The three unions represent most of the workers in Norway's offshore oil and gas facilities, it added.has reached out to Offshore Norway, which is representing the oil industry in these negotiations, for a comment.

Raymond James Adjusts PT on ConocoPhillips to $142 From $145, Maintains Outperform Rating

ConocoPhillips (COP) has an average rating of overweight and mean price target of $144.32, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)

Update: Market Chatter: Exxon, ConocoPhillips Push for Safeguards Before Returning to Venezuela

(Updates with ConocoPhillips' response to a request for comment in the third paragraph.)Exxon Mobil (XOM) and ConocoPhillips (COP) are seeking durable contract terms and a resolution to the billions of dollars they are owed as part of active negotiations with the Venezuelan government about returning to the country after exiting two decades ago, Bloomberg reported Tuesday, citing people familiar with the matter.The oil companies said Venezuela has more work to do, but they are encouraged by President Delcy Rodriguez's willingness to negotiate, the report said, citing the people."ConocoPhillips has significant experience developing and operating these types of assets in Venezuela," a company spokesperson toldvia email. "We are continuing to evaluate potential in-country oil and gas opportunities, including gathering data, assessing next steps, and maintaining dialogue with relevant stakeholders."Exxon didn't immediately reply to a request for comment from.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Market Chatter: Exxon Mobil, ConocoPhillips Seek Safeguards For Return to Venezuela After Nearly Two Decades

US energy giants Exxon Mobil (XOM) and ConocoPhillips (COP) are mulling a return to Venezuela after nearly two decades, pushing for contractual safeguards and the recovery of billions owed since their exit, Bloomberg reported citing people familiar with the matter.Both companies have reportedly held discussions with the government of President Delcy Rodriguez, who has led the country since the US arrest of her predecessor Nicolas Maduro, to tap the South American nation's massive oil reserves.While they said much has yet to be done regarding production sharing agreements and other matters, they were encouraged by the willingness of Rodriguez and her administration to negotiate different aspects of the contracts.The companies are reportedly looking for ways to structure their investments to prevent a repeat of losses they suffered when their assets were previously nationalized.This includes the use of stability clauses, which prevent successive governments from unilaterally changing contracts, and requiring all disputes to be settled via international arbitration instead of local courts."Bringing back Exxon Mobil and ConocoPhillips is a top priority for the government, and they're putting a lot of resources and effort behind it," said Carlos Bellorin, an executive vice president at Welligence Energy Analytics, told Bloomberg.He said the deal needs to be attractive to persuade these companies to invest.Chevron (CVX), another major US oil and gas company, has remained present in Venezuela throughout the nationalizations by former President Hugo Chavez. That positions it well now to ramp up output, with crude hovering around $100 per barrel.Neither ExxonMobil nor ConocoPhillips immediately responded to' request for comment.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Mizuho Securities Adjusts PT on ConocoPhillips to $150 From $136, Maintains Outperform Rating

ConocoPhillips (COP) has an average rating of overweight and mean price target of $143.88, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)

Market Chatter: Exxon, ConocoPhillips Push for Safeguards Before Returning to Venezuela

Exxon Mobil (XOM) and ConocoPhillips (COP) are seeking durable contract terms and a resolution to the billions of dollars they are owed as part of active negotiations with the Venezuelan government about returning to the country after exiting two decades ago, Bloomberg reported Tuesday, citing people familiar with the matter.The oil companies said Venezuela has more work to do, but they are encouraged by President Delcy Rodriguez's willingness to negotiate, the report said, citing the people.Exxon and ConocoPhillips didn't immediately reply to requests for comment from.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)Price: $150.65, Change: $-4.27, Percent Change: -2.76%

Exxon, ConocoPhillips Push for Safeguards Before Returning to Venezuela, Bloomberg Reports

Exxon, ConocoPhillips Push for Safeguards Before Returning to Venezuela, Bloomberg Reports

Barclays Adjusts ConocoPhillips Price Target to $155 From $136, Maintains Overweight Rating

ConocoPhillips (COP) has an average rating of overweight and mean price target of $143.88, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)

Sector Update: Energy Stocks Decline Thursday Afternoon

Energy stocks were lower Thursday afternoon, with the NYSE Energy Sector Index decreasing 0.6% and the State Street Energy Select Sector SPDR ETF (XLE) falling 1.6%.The Philadelphia Oil Service Sector Index was declining 1.8%, and the Dow Jones US Utilities Index was adding 0.8%.Front-month West Texas Intermediate crude oil was declining 0.2% to $98.03 a barrel, and the global benchmark Brent crude contract was decreasing 0.7% to $104.27 a barrel. Henry Hub natural gas futures rose 0.7% to $3.03 per 1 million BTU.In sector news, US natural gas stocks rose by 101 billion cubic feet in the week ended May 15, faster than the 96 billion gain expected in a survey compiled by Bloomberg and following an increase of 85 billion cubic feet in the previous week.In corporate news, ExxonMobil (XOM) has signed a memorandum of understanding with QatarEnergy and the Egyptian government to explore the potential development and commercialization of gas discoveries in Cyprus through Egypt's existing gas and liquefied natural gas export infrastructure, QatarEnergy said Thursday. Exxon shares were down 1.6%.ConocoPhillips (COP) Chief Executive Ryan Lance told Bloomberg that recent changes to Venezuela's oil law, intended to woo foreign oil companies, do not go far enough to attract foreign investment to the country. ConocoPhillips shares fell 1.8%.Devon Energy (DVN) said it acquired 16,300 net undeveloped acres in the Delaware Basin in New Mexico for about $2.6 billion through a Bureau of Land Management oil and gas lease sale. Devon shares were down 3.4%.

Morgan Stanley Adjusts ConocoPhillips Price Target to $153 From $149, Maintains Overweight Rating

ConocoPhillips (COP) has an average rating of overweight and mean price target of $143.12, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)

Market Chatter: ConocoPhillips CEO Says Venezuela's Bid to Attract Oil Companies Falls Short

ConocoPhillips (COP) Chief Executive Ryan Lance told Bloomberg in an interview that recent changes to Venezuela's oil law, intended to woo foreign oil companies, do not go far enough to attract foreign investment to the country.Under the new rules, the Venezuelan government can still charge royalties of up to 30%, as much as 15% in taxes and other levies that could boost the state's coffers, the report said, citing the interview.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

ConocoPhillips CEO Says Venezuela's Bid to Attract Oil Companies Falls Short, Bloomberg Reports

Glenfarne Secures ConocoPhillips Supply Deal for Alaska LNG

Glenfarne Alaska LNG and ConocoPhillips (COP) Alaska signed a gas sales precedent agreement to supply natural gas produced on Alaska's North Slope to phase one of the upcoming Alaska LNG Project, marking another step toward a final investment decision on the long-delayed development.According to the company statement on Monday, with this 30-year agreement, it has now secured enough precedent agreements to support phase one of the project.The company noted that it now had agreements with all three major producers in Alaska's North Slope, including Exxon Mobil (XOM), Hilcorp Alaska and Pantheon Resources.The project is being developed in two distinct, financially independent phases, with phase one comprising a 739-mile, 42-inch pipeline to deliver gas to consumers in Alaska, aiming to address looming supply shortages in the region."Today's milestone agreement establishes the commercial terms for ConocoPhillips to supply gas and help Phase One of Alaska LNG provide energy security for Alaska," Glenfarne Alaska LNG President Adam Prestidge said.

Sector Update: Energy Stocks Gain Late Afternoon

Energy stocks were higher late Monday afternoon, with the NYSE Energy Sector Index rising 1.8% and the State Street Energy Select Sector SPDR ETF (XLE) adding 1.7%.The Philadelphia Oil Service Sector Index was climbing 3.2%, and the Dow Jones US Utilities Index was down 0.5%.Crude oil prices rose Monday amid a lack of progress on US-Iran peace talks. Iran has submitted its new proposal to end the war, but the White House believes it fails to offer meaningful improvements on the last offer, Axios reported Monday, citing a senior US official and a source briefed on the issue.Front-month West Texas Intermediate crude oil was rising 1% to $106.42 a barrel, and the global benchmark Brent crude contract was advancing 0.4% to $109.70 a barrel. Henry Hub natural gas futures rose 2% to $3.02 per 1 million BTU.In corporate news, NextEra Energy (NEE) and Dominion Energy (D) said they have agreed to merge in all-stock deal to create the largest regulated electric utility in the world. Dominion's shareholders will get 0.8138 of NextEra's shares for each share owned, giving them a 25.5% stake in the combined entity, they said, adding that NextEra's shareholders will have the balance. NextEra was down 4.7%, and Dominion jumped past 9%.Devon Energy (DVN) may see support from its upcoming combined company guidance with Coterra Energy in June, possible asset sales, merger synergies, stronger shareholder returns, and continued investment in Delaware Basin assets, RBC said. Devon shares added 0.5%.ConocoPhillips (COP) and Glenfarne Group's subsidiary have signed a 30-year agreement to supply North Slope natural gas for phase one of the Alaska LNG project, the companies said Monday. ConocoPhillips shares rose 1.7%.Compass Minerals International (CMP) said it plans to re-enter the lithium market via a partnership with startup EnergyX to extract lithium from Utah's Great Salt Lake, Reuters reported. Compass shares fell 1.1%.

Sector Update: Energy Stocks Rise Monday Afternoon

Energy stocks were higher Monday afternoon, with the NYSE Energy Sector Index rising 1.7% and the State Street Energy Select Sector SPDR ETF (XLE) adding 1.5%.The Philadelphia Oil Service Sector Index was climbing 3.2%, and the Dow Jones US Utilities Index was down 0.7%.Front-month West Texas Intermediate crude oil was rising 1.4% to $106.89 a barrel, and the global benchmark Brent crude contract was advancing 1.6% to $111.01 a barrel. Henry Hub natural gas futures rose 2.3% to $3.03 per 1 million BTU.In sector news, Treasury Secretary Scott Bessent said Monday on X the US Treasury is issuing a temporary 30-day license allowing nations to access Russian oil currently stranded at sea.In corporate news, NextEra Energy (NEE) and Dominion Energy (D) said they have agreed to merge in all-stock deal to create the largest regulated electric utility in the world. Dominion's shareholders will get 0.8138 of NextEra's shares for each share owned, giving them a 25.5% stake in the combined entity, they said, adding that NextEra's shareholders will have the balance. NextEra was down 6.8%, and Dominion jumped past 8%.ConocoPhillips (COP) and Glenfarne Group's subsidiary have signed a 30-year agreement to supply North Slope natural gas for phase one of the Alaska LNG project, the companies said Monday. ConocoPhillips shares rose 1.5%.Compass Minerals International (CMP) said it plans to re-enter the lithium market via a partnership with startup EnergyX to extract lithium from Utah's Great Salt Lake, Reuters reported. Compass shares added 0.7%.

Sector Update: Energy Stocks Lean Lower Pre-Bell Monday

Energy stocks were leaning lower pre-bell Monday, with the State Street Energy Select Sector SPDR ETF (XLE) declining by 0.5%.The United States Oil Fund (USO) was down 1.5% and the United States Natural Gas Fund (UNG) was 9.7% higher.Front-month US West Texas Intermediate crude oil was 1.8% lower at $103.58 per barrel at the New York Mercantile Exchange. Global benchmark North Sea Brent crude oil fell 1.4% to $107.89 per barrel, and natural gas futures were up 3% at $3.05 per 1 million British Thermal Units.ConocoPhillips (COP) and Glenfarne Group's subsidiary have signed a 30-year agreement to supply North Slope natural gas for phase one of the Alaska LNG project, the companies said. ConocoPhillips shares were down 1% premarket.Phillips 66 (PSX) shares were down nearly 2% after the company said it is proceeding with the development of the Zeus Gas Plant and a third Coastal Bend Fractionator to expand its natural gas operations.Eni (E) said it plans to issue new fixed-rate bonds with five-year and nine-year maturities under its existing euro medium-term note program. Eni stock was 0.6% higher pre-bell.

Capital One Securities Adjusts ConocoPhillips Price Target to $154 From $156, Maintains Equal Weight Rating

ConocoPhillips (COP) has an average rating of overweight and mean price target of $142.15, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)