1.2600 0.00 (0.00%)
After hours: 4:16PM EST
|Bid||1.2500 x 21500|
|Ask||1.2600 x 28000|
|Day's Range||1.2500 - 1.3400|
|52 Week Range||0.9900 - 4.7500|
|Beta (3Y Monthly)||2.50|
|PE Ratio (TTM)||N/A|
|Earnings Date||Oct 30, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||2.38|
(Bloomberg Opinion) -- Royal Dutch Shell Plc made a big investment in offshore energy this week — wind energy, that is. The very next day, Brazil announced the results of a more traditional energy auction in the waters off its coast. They were not good.The country’s biggest-ever sale of oil deposits flopped on Wednesday morning. Only two out of four blocks were sold, and only one of those involved foreign bidders, with China’s CNOOC Ltd. and China National Oil and Gas Exploration and Development Co. taking all of 10% of the Buzios field. Petroleo Brasileiro SA took the other 90% and all of the Itapu block. Western oil majors, such as Shell or Exxon Mobil Corp., were nowhere to be seen.Offshore oil investment was all the rage among Big Oil during the supercycle, with capital expenditure almost quadrupling in the decade up to 2014. That is the problem. The majors poured money into large, multi-year projects prone to delays and, because of their often bespoke engineering, spiraling budgets. The result: tumbling return on capital and an inability to dial back investment quickly when the oil crash hit in 2014. Roughly 3,000 new offshore projects sanctioned between 2010 and 2014 have either barely generated any value for oil companies or are expected to generate none at all, according to a recent study published by Rystad Energy, a consultancy:More recent investments score better, mostly because the boom tailed off, with offshore capex falling by more than half between 2014 and 2018. That took the heat out of industry inflation; and, because of the bonfire of returns in the prior decade, oil majors got smarter about such things as standardizing offshore equipment design to cut costs and shorten schedules. The pace of new projects has picked up again after the slump. Exxon, for example, has effectively opened up an entire new offshore zone with its Guyanese fields.Still, one look at the stock prices of oilfield services firms, especially offshore-focused types such as Transocean Ltd. and Noble Corp. Plc, tells you this investment wave is nothing like the tsunami of yesteryear. Bad memories combined with unease about both near- and long-term oil demand make bold bets on big, multi-year offshore projects a tough sell with investors more interested in payouts. Even Exxon’s success in Guyana gets overshadowed by the fact that the company’s capex bill leaves it borrowing to pay its dividend. And Exxon, like Chevron Corp. and other majors, has swung more of its spending toward shorter-cycle onshore fracking in North America.Brazil’s brush-off is an ominous sign the investment discipline demanded by energy investors is choking off one of the world’s biggest sources of oil-supply growth. In its latest World Oil Outlook published this week, OPEC cited Brazil as being second only to the U.S. in terms of medium-term growth, and number one in terms of projected long-term non-OPEC growth. Bob Brackett, an analyst at Sanford C. Bernstein, published a report a couple of weeks ago pondering if global offshore oil supply would peak next year, perhaps for good.The implications are profound. There is a wide range of views on when global oil demand will slow or peak altogether. If it is later than sometime next decade, then the decline in offshore production that will inevitably follow a mass exodus from this part of the business could stoke another upcycle in prices. The Brazil auction suggests, however, that such possibilities play second fiddle to expectations on the part of many investors that oil has entered its twilight years.Such results are ominous for offshore services providers, of course, and for the countries involved. Brazil’s currency slumped Wednesday morning as the market digested the lack of foreign capital targeting the country’s choicest oil resources.Another country that should take note is Saudi Arabia. Like Brazil, it’s trying to tempt foreign buyers to pay up for a piece of its black gold. On the same morning, reports emerged that Saudi Arabian Oil Co. is seeking commitments from Chinese state-owned entities to invest in its IPO. Such strategic buyers do provide cash. But as Brazil could tell Aramco, turning to them also says a lot about the broader appetite for what you’re selling.To contact the author of this story: Liam Denning at firstname.lastname@example.orgTo contact the editor responsible for this story: Mark Gongloff at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Liam Denning is a Bloomberg Opinion columnist covering energy, mining and commodities. He previously was editor of the Wall Street Journal's Heard on the Street column and wrote for the Financial Times' Lex column. He was also an investment banker.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
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Noble Corp. (NE) delivered earnings and revenue surprises of 13.21% and 5.45%, respectively, for the quarter ended September 2019. Do the numbers hold clues to what lies ahead for the stock?
Shares of Noble Corp. Plc. rose nearly 7% in the extended session Wednesday after the offshore drilling contractor reported a narrower-than-expected adjusted quarterly loss and revenue came above expectations. Noble said it lost $445 million, or $1.79 a share, in the third quarter, compared with a loss of $82 million, or 33 cents a share, in the year-ago quarter. Adjusted for a non-cash charge related to one of its drillships, Noble lost $114 million, or 46 cents a share, compared with a loss of 43 cents a share a year ago. Revenue fell to $276 million from $279 million. Analysts polled by FactSet had expected Noble to lose an adjusted 53 cents a share on sales of $261 million.
HIGHLIGHTS AND RECENT DEVELOPMENTS: - Contract extensions for three jackups improve days under contract in 2020 - Noble Joe Knight commences operations offshore Middle East - Advanced discussions with ...
Noble Corp. (NE) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
RPC's (RES) third-quarter 2019 performance is expected to have been influenced by slowdown of demand for pressure pumping services in U.S. shale plays.
LONDON , Oct. 17, 2019 /PRNewswire/ -- Noble Corporation plc (NYSE: NE) today announced that its report of drilling rig status and contract information has been updated as of October 17, 2019 . The report, ...
Schlumberger's (SLB) Reservoir Characterization and Production segments are expected to have generated lower earnings than the year-ago period.
LONDON, Oct. 2, 2019 /PRNewswire/ -- October 2, 2019 – Noble Corporation plc (NE) today announced it plans to report financial results for the third quarter 2019 on Wednesday, October 30, 2019, after the close of trading on the New York Stock Exchange. Copies of the Company's press release will be available on the Noble Website at www.noblecorp.com. Interested parties are invited to listen to the call by dialing 1-833-245-9653, or internationally 1-647-689-4225, using access code: 6469144, or by asking for the Noble Corporation plc conference call.
The Zacks Analyst Blog Highlights: Halliburton, Noble, Transocean, Diamond Offshore Drilling and Valaris
The Zacks Analyst Blog Highlights: Diamond Offshore, Noble, Helmerich & Payne, Independence Contract and Transocean
Low oil price, conservative upstream capital budget and regulatory hurdles can keep affecting the drilling industry. However, cost reduction and efficiency gains can aid the industry.
Oil producers have gotten progressively more efficient at pulling oil from the ground with fewer rigs. On Monday, Citi analyst JB Lowe, who just took over coverage of the stocks, downgraded shares of two offshore drillers, Noble (NE) and (VAL) (VAL), to Sell because of problematic debt loads. “While offshore activity has improved, our analysis shows that drillers would need significant incremental pricing and activity improvement to address debt loads before becoming attractive investments,” Lowe wrote.
ExxonMobil's (XOM) Tripletail-1 well, which is drilled at a depth of 2,003 meters of water, is located about five kilometers northeast of the Longtail discovery.
LONDON, Sept. 13, 2019 /PRNewswire/ -- Noble Corporation plc (NYSE: NE, the Company) today announced that Adam C. Peakes, Senior Vice President and Chief Financial Officer resigned effective September 9, 2019. A search for Mr. Peakes' replacement has begun. In the interim, Mr. Peakes' direct reports, including those individuals responsible for the Company's Treasury and Financial Reporting activities, will report directly to Julie J. Robertson, Chairman, President and Chief Executive Officer of Noble Corporation plc.
LONDON , Sept. 4, 2019 /PRNewswire/ -- Noble Corporation plc (NYSE: NE) today announced that Julie J. Robertson , Chairman, President and Chief Executive Officer, will present at the Pareto Securities ...
LONDON , Aug. 28, 2019 /PRNewswire/ -- Noble Corporation plc (NYSE:NE) today announced that Julie J. Robertson , Chairman, President and Chief Executive Officer, will participate in an industry discussion ...