4 Energy Stock Stories Sparking Midweek Chatter

Petroleo Brasileiro – Petrobras (NYSE:PBR): Closing price $14.75

The Brazilian government-run oil company announced late on Tuesday that it might partner with China Petroleum & Chemical Corp. (Sinopec) so as to construct a much-needed refinery that would help to lower heavy imports of gasoline and diesel. Petrobras and Sinopec have signed a letter of intent through which to evaluate a possible joint venture to build the Premium 1 refinery in the northeastern Brazilian state of Maranhao. On June 10th, Petrobras reported a similar joint-venture study to build the Premium 2 refinery in nearby Ceara state, with the GS Energy Corp.

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PBR

Imperial Oil (AMEX:IMO): Closing price $39.60

On Wednesday, the Canadian integrated energy firm announced that it will convert its crude-oil refinery in Dartmouth, Nova Scotia, into a terminal operation, having failed to find a buyer that would be willing to operate the refinery. In May 2012, the company began shopping the refinery around, explaining that competition in the area had caused lower-than-anticipated financial returns from the operation. In its statement, Imperial Oil said that the failure to find a buyer shows “the challenges of operating a refinery of Dartmouth’s scale in the competitive conditions of the Atlantic Basin market.” The firm expects to post an after-tax charge of as much as $274 million in the second quarter linked with the conversion.

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IMO

Statoil (NYSE:STO): Closing price $21.85

According to Reuters, Statoil has reiterated that it is set to reach an output of 2.5 million barrels of oil equivalent per day in the fiscal year 2020, and that it potentially could surpass that amount. The firm’s production guidance for fiscal year 2013 also remains firm and should be lower than in the previous period, in which  Statoil produced 2,004 million barrels of energy equivalent.

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STO

PetroQuest Energy (NYSE:PQ): Closing price $4.50

PetroQuest reported on Wednesday that it will acquire certain shallow water Gulf of Mexico producing properties for roughly $193 million in cash. The transactions will be effective as of January 1, 2013, and should close in July, subject to the usual closing conditions.

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PQ

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