Natural Gas Crashes, Halliburton’s Frack of the Future

Cabot Oil & Gas Corp. (NYSE:COG) and Patterson-UTI Energy, Inc (NASDAQ:PTEN): Mild winter weather and the shale production boom have absolutely destroyed natural gas prices. Today, natural gas tumbling to its lowest price in a decade. COG shares closed at $69.62, down $8.75, or 11.16%, on the day. Its market capitalization is $7.27 billion. PTEN shares closed at $20.42, down $1.51, or 6.89%, on the day. Its market capitalization is $3.18 billion.

Southwestern Energy Co. (NYSE:SWN) traded lower after Baird downgraded shares to Outperfrom on valuation. The firm cited exposure to volatile natural gas prices. Southwestern is already down 32% since late October. The shares closed at $29.92, down $2.59, or 7.97%, on the day. Its market capitalization is $10.42 billion.

Exxon Mobil Corporation (NYSE:XOM): As the U.S. faces a glut of gas from shale, ExxonMobil’s Golden Pass LNG terminal is going largely unused. Qatar’s oil minister says it’s time to consider revamping the terminal so it can begin exporting U.S. Liquid Natural Gas to the rest of the world. The shares closed at $85.08, down $0.64, or 0.75%, on the day. Its market capitalization is $407.81 billion.

Energy companies are putting in place new methods to reduce the cost and increase production from fracking. Former Schlumberger Limited (NYSE:SLB) CEO Andrew Gould says the process hasn’t evolved from “brute force and ignorance.” Not so, says Halliburton (NYSE:HAL). The Oil Services company is offering a “frack of the future.” Further, Baker Hughes (NYSE:BHI) has disintegrating frack balls. SLB shares closed at $70.16, down $0.59, or 0.83%, on the day. Its market capitalization is $94.16 billion.

To contact the reporter on this story: Stella Mariz at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com