5 Top Stories Affecting Dow Energy Stocks This Week
Here’s your Cheat Sheet to the week in Dow 30 energy stock news:
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Chevron Corporation (NYSE:CVX): Current price $115.24
San Ramon Energy Group says that Chevron was the only applicant for a permit for exploration and extraction rights of shale gas or oil in a field in Lithuania. That country wants to lower its dependence on energy imports from Russia along with making the most advantage of any hydrocarbon reserves.
During the first half of the new year, OPEC production should to outstrip demand, according to Reuters. Saudi Arabia cut its output late in 2012, but the United Arab Emirates sees no reason to do the same. Mohammed Al-Hamli, the UAE’s oil minister said Wednesday that, “The market is well balanced… Well, maybe, it’s a little bit over supplied, but generally, it is well supplied. World demand is still not in good shape. There will be an increase in demand (in 2013) but less than last year… It really depends on how the crisis is handled.”
Due to a boost to economic growth in China, oil is going for the longest weekly increase in 14 months in New York, says Bloomberg. Crude for February delivery stood at $95.38 a barrel, following the contract advancing by 1.3 percent to $95.49 Thursday. Prices gained 2 percent this week for a sixth consecutive advance, marking the longest run of gains since November of 2011.
Exxon Mobil Corporation (NYSE:XOM): Current price $90.80
On Tuesday, Enterprise Products Partners said that its wholly owned affiliate, Enterprise Marine Services, has made a multi-year contract with SeaRiver to supply the ExxonMobil subsidiary with transport services. Through the terms, effective January 1st, Enterprise commits five tugs and 10 barges for the transportation of refined products and other hydrocarbon products along the inland waterway system of the United States.
An attorney participating at the environmental damage trial in New Hampshire says that research done by one of the two major oil firms on trial indicated decades ago that the additive MTBE should not be added to gasoline as it could create widespread groundwater contamination that would be expensive to clean up. The state has begun its case against ExxonMobil and Citgo, seeking over $700 million fees to monitor and treat contaminated water systems statewide.
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