Dow Jones Indus. Avg Mar 15 17,467.00 -121.00 17,478.00 17,496.00 17,438.00 22:36:31
S&P 500 Mar 15 2,031.50 -12.40 2,035.50 2,035.50 2,025.90 22:34:13
NASDAQ 100 Mar 15 4,244.25 -22.75 4,243.00 4,250.00 4,240.75 22:36:54
S&P/TSX Mar 15 862.20 -1.20 863.10 868.40 861.40 17:10:05
Way too early to call .Greece isn't helping with the socialist victory this weekend .
per Bloomberg .
Energy & Oil Prices
Crude Oil & Natural Gas
Crude Oil (WTI) USD/bbl. 44.48 -1.11 -2.43% Mar 15 18:50:02
Crude Oil (Brent) USD/bbl. 48.10 -0.69 -1.41% Mar 15 17:59:57
TOCOM Crude Oil JPY/kl 37,830.00 -610.00 -1.59% Jun 15 13:59:26
NYMEX Natural Gas USD/MMBtu 2.92 -0.06 -2.08% Feb 15 18:50:3
Energy & Oil Prices
Crude Oil & Natural Gas
Crude Oil (WTI) USD/bbl. 47.28 +0.97 +2.09% Mar 15 21:31:03
Crude Oil (Brent) USD/bbl. 49.53 +1.01 +2.08% Mar 15 21:30:07
TOCOM Crude Oil JPY/kl 38,430.00 +290.00 +0.76% Jun 15 21:30:08
NYMEX Natural Gas USD/MMBtu 2.87 +0.04 +1.27% Feb 15 21:31:26
Oil prices were 2% higher following the death of Saudi Arabia's king, a reaction that was muted by the widespread expectation of a smooth leadership transition and stable oil policy in the world's largest exporter of petroleum.
Crude oil is now trading just above $47 a barrel.
King Abdullah bin Abdulaziz al Saud's health had been deteriorating in recent weeks, according to the state-run Saudi Press Agency. He was king of Saudi Arabia since 2005 and celebrated his 90th birthday in August.
The transfer of power should be smooth. His half-brother Prince Salman bin Abdulaziz al Saud will assume the throne, Saudi state television reported.
"I don't anticipate the Kingdom to make any dramatic changes in its oil policy in the short term," said Fahad Nazer, a former political analyst at the Embassy of Saudi Arabia in Washington, DC.
Related: King Abdullah's legacy
Saudi Arabia has 16% of the world's known oil reserves, according to the U.S. Energy Information Administration. The country is widely seen as the leader of OPEC and has a large influence on energy prices and political stability in the Middle East.
But oil has fallen over 50% since the summer. Crude traded over $100 as recently as July and now trades below $50.
OPEC's decision, led by Saudi Arabia, on Thanksgiving Day to not scale back production accelerated oil's plunge.
Related: Saudi Arabia: 'We'll never cut oil production'
Saudi officials have repeatedly said the nation will not cut oil production because they don't want to lose market share. It's unlikely that the new king will alter that stance.
"Everything from the Royal Family and the Saudi Oil Minister in the last 75 days has pointed toward a policy of sustained high exports, and a high stakes game of international 'chicken' with other higher cost oil producers," said Tom Kloza, the global head of energy analysis for the Oil Price Information Service.
Some experts believe the Saudis, at least to some extent, have welcomed falling oil prices as a way to slow the rise of America's shale oil production boom.
Last week Saudi Prince Alwaleed said oil will never return to $100 and that the price crash will allow Saudi Arabia to see "how many shale oil production companies run out of business."
U.S. shale oil companies and related industries have already announced layoffs and cutbacks in spending.
Related: Cheap oil is killing my job
At the same time, Saudi Arabia depends heavily on oil revenues to fund its government. Oxford Economies estimates the country will have negative economic output this year if oil continues to stay at or below $50 a barrel.
The United States imports about a million barrels of oil a day from Saudi Arabia. Only Canada provides more oil to the U.S.
I would rule out any white knight for the near future .6/9 month's at least .The waters are too muddy for any proper D/D to be performed ? imo
"following the Company's presentation, the Company will allow for a brief Q & A session with certain equity research analysts. " At least GE is trying to stop the bleeding ? Have to give him credit for trying . And so much for the quite period ?
The price of oil (New York Mercantile Exchange: @CL.1) will go lower as supply and demand remain unbalanced, activist investor Carl Icahn said Thursday. Icahn, who spoke with CNBC's "Fast Money: Halftime Report," said that Saudi Arabia's decision not to cut oil production blindsided the global market, and that he expects the commodity's price will keep sliding. "I think [oil's price] will continue to go down unless there is some outside event," Icahn said. Read More Oil fields at risk: Where the slowdown has begun Still, he said he sees a "tremendous opportunity" for when oil eventually rises again-but he admitted that nobody knows when that will happen. "I wouldn't rush in now on oil, and that's talking against myself because I own a lot of oil stocks," he added. Icahn did allow, however, that "there will be increased demand for oil over the years," and easily obtainable resources are dwindling, so companies engaged in offshore production will continue to gain importance. Icahn is one of the largest shareholders in drilling firm Transocean (RIG). Icahn also revealed that he had shorted the euro/dollar trade. As the activist investor made comments on this bet, the euro's exchange rate fell below $1.14-a new 11-year low. Icahn said he placed the currency bet about three years ago and "shorted quite a bit" around $1.27. He said he was forced to "grit my teeth" when the euro strengthened, but the trade eventually turned around. The Icahn Enterprises chairman also discussed his activism with several companies. On Wednesday, eBay (EBAY) said it had reached an agreement with Icahn to appoint his pick for its board and to give shareholders more say in its eventual PayPal spin off.
Read More EBay breakup plans may open door for M&A EBay has "acted responsibly," Icahn said, and its board has engaged in "damn good corporate governance." On the other hand, Icahn criticized the board of Gannett (GCI). Earlier Thursday, he nominated two directors to the USA Today owner's board
By Samantha Sunne
1. Oil holds ground as traders search for bottom of rout Reuters
2. U.S. distillate, gasoline stocks soar by record 19 mln bbls Reuters
3. GLOBAL MARKETS-Stocks jump, dollar gains on Fed, ECB outlooks Reuters
4. U.S. crude below $50 as oil selloff extends into new year Reuters
5. Oil closes up for first week in eight after supportive reports Reuters
NEW YORK (Reuters) - Crude oil futures tumbled on Thursday after the Energy Information Administration announced the largest build in U.S. crude stocks in at least 14 years.
Crude stocks rose by 10.1 million barrels to a total of 397.9 million, the highest level for this time of year in at least 80 years, the EIA said.[EIA/S]
The increase was much greater than the 2.6 million barrel build traders predicted in a Reuters poll.
U.S. crude (CLc1) fell more than 3 percent after the announcement, tumbling $1.54 to trade at $46.24 by 11:57 a.m. EST (1457 GMT). Global benchmark Brent (LCOc1) also fell by 61 cents to trade at $48.42.
The market was waiting for a catalyst like the EIA report to break out either positive or negative, said Eli Tesfaye, senior market strategist at RJO Futures.
"There's no factor right now stabilizing this market," Tesfaye said. "There's definitely a race to the bottom here."
The inventory build included a 2.91 million barrel rise at Cushing, Oklahoma, the delivery point of the U.S. crude contract. [EIA/S] The U.S. supply glut has been a major contributing factor to the 60 percent decline in oil prices over the past several months.
Adding further pressure to prices on Thursday was a bond-buying program announced by the European Central Bank to bolster the euro zone economy. ECB President Mario Draghi said the bank would buy 60 billion euros ($69 billion) of government bonds a month until the end of September 2016, exceeding market expectations.
The program is expected to add strength to the dollar, which is already gaining support from an expected U.S. interest rate hike and a U.S. economy that is growing while Europe and Asia slow.
While the ECB's quantitative easing may support the European economy, there will be a lag before any increase in demand can support oil prices, said Tony Headrick, energy market analyst at CHS Hedging LLC.
"It's going to be a longer process for the European economy to bounce back," Headrick said.
In a market structure known as a contango, Brent crude prices for delivery this March are $10 a barrel cheaper than those for March 2016, making it attractive to buy oil now and put it into storage for sale later, traders say.
Billionaire investor Carl Icahn's company Icahn Enterprises (IEP) has significant holdings in a bunch of energy companies that have gotten annihilated since Friday.
In the third quarter, IEP announced a $355 million loss on revenues of $4.4 billion for the quarter. At the same time the year before, the firm took in $472 million of net income on revenue of $5.8 billion.
In a release discussing the decline, IEP said that its losses were mostly on the investing side. A number of its holdings — mostly the energy companies that are getting pummeled — sucked $270 million out of IEP.
And it has gotten worse since Thursday, when OPEC decided not to boost the price of oil by cutting supply.
So let's go over the damage as it stands:
In October 2013 Icahn disclosed a 61-million-share position in Talisman Energy. Since then he has doubled down on the stock, increasing his holding to almost 134 million shares, according to the most recent data collected by Bloomberg. In the past year the stock has fallen over 60%. It is priced at $4.75 a share after falling from $6.22 last week.
Icahn's second largest of these energy holdings is in Chesapeake Energy. IEP owns over 66.4 million shares of the company. The stock closed down almost 15% last week from the beginning of the week to the short trading day Friday.
Read more: http://www.businessinsider.com/oil-crash-hurting-icahn-portfolio-2014-12#ixzz3PZj2SmqK
Energy & Oil Prices
Crude Oil & Natural Gas
Crude Oil (WTI) USD/bbl. 46.45 -1.33 -2.78% Mar 15 11:37:36
Crude Oil (Brent) USD/bbl. 48.64 -0.39 -0.80% Mar 15 11:37:36
TOCOM Crude Oil JPY/kl 37,780.00 -360.00 -0.94% Jun 15 11:37:01
NYMEX Natural Gas USD/MMBtu 2.83 -0.14 -4.84% Feb 15 11:37:31
December 31, 2014
Future cash inflows $ 3,282,768
Future production costs 1,443,121
Future development costs 219,509
Future income tax expense -
Future net cash flows 1,620,138
10% annual discount for estimated timing of cash flows (710,875 )
Standardized measure $ 909,263
PV-10 as of December 31, 2014(1) $ 909,263
December 31, 2013
Standardized measure as previously reported $ 844,510
Add: income taxes
Undiscounted income taxes 149,367
10% discount factor (71,807 )
Future discounted income taxes 77,560
PV-10 as previously reported 922,070
Less 2014 Divestitures (176,300 )
PV-10 as of December 31, 2013, adjusted for 2014 divestitures $ 745,770
(1) as of December 31, 2014, standardized measure of discounted future cash flows and PV-10 are the same due to the Company's income tax position.
The SEC requires oil and natural gas companies, in filings made with the SEC, to disclose proved reserves, which are those quantities of oil and natural gas that by analysis of geoscience and engineering data can be estimated with reasonable certainty to be economically producible from a given date forward, from known reservoirs, and under existing economic conditions, operating methods, and government regulations.
About Magnum Hunter Resources Corporation
Magnum Hunter Resources Corporation and subsidiaries are a Houston, Texas-based independent exploration and production company engaged in the acquisition, development and production of crude oil, natural gas and natural gas liquids, primarily in the States of West Virginia, Ohio, and North Dakota. The Company is presently active in three of the most prolific unconventional shale resource plays in North America, namely the Marcellus Shale, Utica Shale, and Williston Basin/Bakken Shale.
Availability of Information on the Company's Website
Magnum Hunter is providing a reminder that it makes available on its website (at www.magnumhunterresources.com) a variety of information for investors, analysts and the media, including the following:
•annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and any amendments to those reports as soon as reasonably practicable after the material is electronically filed with or furnished to the Securities and Exchange Commission;
•the most recent version of the Company's Investor Presentation slide deck;
•announcements of conference calls, webcasts, investor conferences, speeches and other events at which Company executives may discuss the Company and its business and archives or transcripts of such events;
•press releases regarding annual and quarterly earnings, operational developments, legal developments and other matters; and
•corporate governance information, including the Company's corporate governance guidelines, committee charters, code of conduct and other governance-related matters.
Magnum Hunter's goal is to maintain its website as the authoritative portal through which visitors can easily access current information about the Company. Over time, the Company intends for its website to become a primary channel for public dissemination of important information about the Company. Investors, analysts, media and other interested persons are encouraged to visit the Company's website frequently.
Certain information included on the Company's website constitutes forward-looking statements and is subject to the qualifications under the heading "Forward-Looking Statements" below and in the Company's Investor Presentation slide deck.
This press release includes "forward-looking statements." All statements other than statements of historical facts included or incorporated herein may constitute forward-looking statements. Actual results could vary significantly from those expressed or implied in such statements and are subject to a number of risks and uncertainties. Although Magnum Hunter believes that the expectations reflected in the forward-looking statements are reasonable, Magnum Hunter can give no assurance that such expectations will prove to be correct. The forward-looking statements involve risks and uncertainties that affect operations, financial performance, and other factors as discussed in filings made by Magnum Hunter with the Securities and Exchange Commission (SEC). Among the factors that could cause results to differ materially are those risks discussed in the periodic reports filed by Magnum Hunter with the SEC, including Magnum Hunter's Annual Report on Form 10-K for the fiscal year ended December 31, 2013 and its Quarterly Reports on Form 10-Q for the fiscal quarters ended after such fiscal year. You are urged to carefully review and consider the cautionary statements and other disclosures made in those filings, specifically those under the heading "Risk Factors." Forward-looking statements speak only as of the date of the document in which they are contained, and Magnum Hunter does not undertake any duty to update any forward-looking statements except as may be required by law.