Don't bet against American engineers squeezing more oil out of existing shale deposits, writes @JavierBlas (via @opinion) https://t.co/JrKfcg5n8u ...

The Australian market is extending its early gains in mid-market moves on Thursday, reversing to the losses in the previous two sessions, following the broadly positive cues from Wall Street overnight. The benchmark S&P/ASX 200 is moving above the 8,550 level, with gains across most sectors led by stocks. Energy stocks were the only weak spot amid tumbling crude oil prices.The benchmark S&P/ASX 200 Index is gaining 111.70 points or 1.32 percent to 8,559.60, after touching a high of 8,561.00 earlier. The br ...

Core Insights - Select Water Solutions, Inc. (NYSE:WTTR) experienced an 11.97% decline in share price from November 11 to November 18, 2025, ranking among the energy stocks that lost the most during that week [1] Financial Performance - For Q3, Select Water Solutions reported an adjusted EPS of $0.04, which was $0.01 below estimates, while revenue reached $322.2 million, exceeding expectations by over $16 million despite a year-over-year decline of over 13% [3] - The Chemical Technologies segment showed strong performance, with revenue and gross profit increasing by 13% and 34% year-over-year, attributed to new product launches and increased market share [3] Analyst Ratings - Northland downgraded Select Water Solutions from 'Outperform' to 'Market Perform' on November 13, setting a price target of $12, citing that the current valuation is reasonable but requires larger growth in adjusted EBITDA for FY 2026 to become more positive on the shares [4] - The firm also expressed interest in seeing more bolt-on projects, such as the recently announced lithium extraction, or improved activity in the American onshore market [4]

Core Insights - LandBridge Company LLC (NYSE:LB) experienced a significant share price decline of 27.52% from November 11 to November 18, 2025, ranking among the energy stocks that lost the most during that week [1] - The company reported mixed Q3 results on November 12, with earnings per share of $0.24 falling short of estimates by $0.27, while revenue increased by over 78% year-over-year to nearly $51 million, exceeding forecasts [3] - Adjusted EBITDA rose by 79% year-over-year, driven by surface and royalty earnings following a recent land acquisition [3] Company Actions - Following the Q3 report, Janney Montgomery Scott downgraded LandBridge from 'Buy' to 'Neutral', but raised its fair value estimate from $63 to $74 [4] - On November 14, LandBridge announced a public offering of 2.5 million Class A shares at $71 per share, with underwriters given a 30-day option to purchase an additional 375,000 shares [4]

Core Insights - Evolution Petroleum Corporation (EPM) experienced a significant decline in share price, falling by 11.55% from November 11 to November 18, 2025, ranking among the energy stocks that lost the most during that week [1] Financial Performance - In Q1 2026, Evolution Petroleum reported disappointing results, missing both earnings and revenue expectations. The company's net income decreased by 60% year-over-year, attributed to lower realized pricing for crude oil and increased lease operating costs [3] - Despite the poor financial performance, EPM declared a quarterly dividend of $0.12 per share, marking its 49th consecutive quarter of regular payouts [3] Analyst Ratings - Following the Q1 results, Northland reduced its price target for EPM from $4.5 to $4, citing lower benchmark commodity prices. However, the analyst maintained a 'Market Perform' rating on the company's shares [4]

Group 1: Company Performance - BP p.l.c. reported revenue of $49.2 billion in Q3 2025, reflecting a 2% increase from the same period last year [3] - The company achieved an upstream plant reliability rate of 96.8%, contributing to a 3% quarter-on-quarter increase in underlying production [3] - Operating cash flow for Q3 reached $7.8 billion, leading to an underlying replacement cost profit of $2.2 billion [3] Group 2: Strategic Initiatives - BP is in discussions with investment firm Stonepeak regarding the sale of its Castrol lubricants unit, part of a strategy to meet a $20 billion divestment target [4] - The sale process for the lubricants business began earlier this year as BP aims to shift away from traditional energy sources [4] - The company expects divestment and other proceeds for 2025 to exceed $4 billion [3] Group 3: Investment Outlook - Piper Sandler raised BP's price target to $44 from $41 while maintaining a Neutral rating on the shares [2] - BP is included among the 12 Best European Dividend Stocks to Buy Now, indicating positive sentiment in the investment community [1]

Core Viewpoint - Shell plc (NYSE:SHEL) is recognized as one of the best European dividend stocks to invest in, despite facing challenges in the crude oil market [1]. Financial Performance - In Q3 2025, Shell reported revenue of $68.15 billion, which is a decrease of over 4% compared to the same period last year and fell short of analysts' expectations by more than $3.5 billion [3]. - The company generated $12.2 billion in cash flow from operating activities, primarily driven by adjusted EBITDA, indicating a solid cash position [3]. Shareholder Returns - Total shareholder distributions for the quarter reached $5.7 billion, comprising $3.6 billion in share repurchases and $2.1 billion in dividends [4]. Investment Plans - Shell announced plans to invest approximately $1 billion in new oil blocks in Angola, aiming to boost production that has declined in recent years [4]. Analyst Ratings - Piper Sandler raised Shell's price target to $90 from $87 while maintaining an Overweight rating, highlighting the company's strong positioning in the energy sector despite cautious investor sentiment regarding crude oil [2].

Core Insights - Oil prices have increased slightly in early Asian trade, recovering from a nearly 2% drop in the previous session, influenced by a mix of demand softness and supply risks, particularly due to impending sanctions on Russian oil [1][3] - Brent futures rose by approximately 16 cents (0.25%) to $63.67 per barrel, while U.S. West Texas Intermediate increased by around 17 cents (0.29%) to $59.42 per barrel [1] - The modest price increase follows a significant drop after reports of renewed diplomatic efforts to resolve the conflict in Ukraine, raising concerns about potential Russian oil supply returning to the market [2] Demand and Supply Dynamics - The rebound in oil prices is primarily driven by traders' focus on the upcoming U.S. deadline to cease operations with major Russian oil producers, which could lead to further oil supply reductions [3] - Despite the recent price recovery, the demand outlook remains weak due to high inventories and global economic uncertainties, indicating that unless demand strengthens, price increases may be limited [4] - Short-term supply concerns are prevalent, but a significant improvement in demand is necessary for a sustainable long-term price rally [4]

Core Insights - Indian refiners' shift away from Russian oil has led to a significant increase in oil product prices, with ICE Brent-Gasoil crack spreads rising nearly 70% year-to-date, reaching a 21-month high above $32 per barrel [1] - U.S. distillate inventories are at their lowest level since mid-July, which is expected to support product strength as the high-demand winter season approaches [2] - Despite the tightening distillates market, crude oil prices remain weak, influenced by bearish supply sentiment and geopolitical tensions, particularly Ukrainian attacks on Russian energy infrastructure [3] Inventory and Pricing Trends - Gasoline inventories in the U.S. are reported at 205.06 million barrels, 8.2 million barrels below the five-year average, marking the lowest level in 12 years [1] - U.S. distillate inventories stand at 110.91 million barrels, 9.3 million barrels below the five-year average, indicating a tightening market as winter demand increases [2] - The ICE gasoil-Brent crack has exceeded $34 per barrel, the highest level since September 2023, with the price differential remaining above $30 per barrel for 10 consecutive trading days [2] Geopolitical and Supply Dynamics - Recent Ukrainian missile and drone attacks on Russian energy infrastructure have not significantly boosted oil prices, with Brent crude trading at $63.32 per barrel, showing minimal change from the previous week [3] - The port of Novorossiysk, a key export terminal with a capacity of approximately 2.2 million barrels per day, experienced a temporary suspension of loadings due to these attacks, highlighting vulnerabilities in the southern export route [3] - Analysts predict a slowdown in Russian crude exports following the upcoming sanctions on Lukoil and Rosneft, which could impact the overall supply dynamics in the market [4]

Core Viewpoint - Obsidian Energy is conducting a private placement offering of $175 million in senior unsecured notes with an interest rate of 8.125%, maturing in 2030, to refinance existing debt and strengthen its balance sheet amid commodity price volatility [1][2][3] Group 1: Offering Details - The offering consists of $175 million aggregate principal amount of 8.125% senior unsecured notes due December 3, 2030 [1] - The notes will be issued at par and will rank equally with all other present and future senior unsecured indebtedness of the company [1] - Closing of the offering is expected around December 3, 2025, subject to customary closing conditions [1] Group 2: Use of Proceeds - Net proceeds from the offering will be used to redeem existing $80.8 million senior unsecured notes due July 27, 2027, pay down debt under the syndicated credit facility, and cover related transaction expenses [2] - Post-offering, the company's syndicated credit facility of $235 million will have approximately $5 million drawn [2] Group 3: Management Commentary - The President and CEO of Obsidian Energy highlighted the opportunity to refinance at a lower interest rate, which strengthens the balance sheet and provides flexibility for production growth and shareholder returns [3]