Industries

Driller Nabors Industries Ltd. said last week it expects its results for the third quarter to be lower than current analyst consensus estimates due to operational and other factors.

Driller Nabors Industries Ltd. said Friday it expects its results for the third quarter to be lower than current analyst consensus estimates due to operational and other factors.

The 2008 retirement of veteran Sen. Pete Domenici (R-NM), a key figure in shaping energy policy over the years, will be a major loss to the oil and natural gas industries.

As the oil and natural gas industries took a beating in the Senate and House tax-writing committees this week, Reps. John Peterson (R-PA) and Neil Abercrombie (D-HI) provided producers a ray of optimism. The two lawmakers introduced legislation Wednesday that would remove the congressional ban on natural gas exploration and production in much of the Outer Continental Shelf (OCS).

Nabors Industries Ltd., the largest land driller in the world, “recently” has begun to see a weakening in several of its U.S. Lower 48 operating areas and is uncertain how much it may affect industry rig counts and rates, CEO Gene Isenberg said last week. A “significant” reduction in spot market rates is likely in some areas, although he said any contraction in North American natural gas drilling is likely to be “shallow and brief.”

Nabors Industries Ltd., the largest land driller in the world, has “recently” begun to see a weakening in several of its U.S. Lower 48 operating areas and is uncertain how much it will affect industry rig counts and rates, CEO Gene Isenberg said Wednesday. A “significant” reduction in spot market rates is likely in some areas, but any contraction in North American gas drilling is likely to be “shallow and brief.”

Nabors Industries Ltd., the world’s largest land-based driller, warned last week that its 4Q2006 earnings will fall well short of Wall Street estimates on weaker-than-expected natural gas operations in the Lower 48 states and Canada.

Nabors Industries Ltd., the world’s largest land-based driller, warned Wednesday that its 4Q2006 earnings will fall well short of Wall Street estimates on weaker-than-expected natural gas operations in the Lower 48 states and Canada. The news, coming as several energy analysts slashed gas price forecasts (see related story), sent oil service stocks tumbling, pushing Nabors’ share price down 6% in early trading.

Citing the prospect of continuing high and volatile commodity prices, Fitch Ratings’ 2007 outlook for the U.S. power and gas industries is generally stable, particularly in the competitive part of the industry. Not so fortunate are the regulated gas and electric sectors, which face “a challenging environment.” And no company should become complacent. Risks, demand and interest rates could change over the longer term.