3 Energy Stock Stories To Kick Off the Trading Week
Royal Dutch Shell (NYSE:RDSA): Closing price $68.15
A spokeswoman for Metropolitan Police in London said that authorities in the United Kingdom are looking into allegations of money laundering connected with a Nigerian oil block that is currently owned by subsidiaries of Royal Dutch Shell PLC and Eni SpA (NYSE:E). Thus far, no charges nor arrests have been made, and the inquiry is at a very early stage, according to the spokeswoman. Shell and Eni themselves have not been accused of wrongdoing related to the investigation, but the details as to how the offshore block OPL 245 changed hands have lured scrutiny from anti-corruption campaigners, who are driving for greater transparency from resource firms in their dealings with foreign governments. Eni said it did not behave improperly in any way, and reiterated its previous statements that the deal it struck over the OPL 245 block was solely with the Nigerian government.
Genesis Energy, L.P. (NYSE:GEL): Closing price $52.07
On Monday, Genesis said that it will purchase all the assets of the downstream transportation arm of Hornbeck Offshore Transportation for around $230 million. The division is primarily made up of nine barges and nine tug boats which carry crude oil and refined petroleum products, principally serving refineries and storage terminals along the Eastern Seaboard, Gulf Coast, Great Lakes and the Caribbean. After the close, Hornbeck and Genesis expect to enter into transition service accords to facilitate a smooth transition of operations and uninterrupted services for employees and customers alike.
Goodrich Petroleum Corporation (NYSE:GDP): Closing price $15.15
Goodrich announced Monday it will acquire a 66.7-percent working interest in producing assets, and roughly 277,000 gross acres in the Tuscaloosa Marine Shale for a price of $26.7 million, with an effective date of March 1, 2013, subject to the usual closing adjustments. The remaining 33.3 percent working interest owner in the producing assets and leasehold has chosen to retain its interest, and to participate with Goodrich in developing the assets. The transaction is subject to customary due diligence, and it should close on or before August 22.