Halliburton Co. CEO Dave Lesar made clear Wednesday that the slowdown in the U.S. and Canadian drilling market is only “transitory,” and the company will sit it out before cutting prices to capture new business.
Losses
Articles from Losses
Northeast Weakens, Rockies Strong, And Futures Soft
Overall physical gas Wednesday was unchanged on average with Rockies points the major winners and volatile Northeast points showing the greatest losses. Midwestern and eastern locations were largely flat. At the close of futures trading the October contract had fallen 1.1 cent to $2.762 and November was 1.6 cent lower at $2.945. October crude oil plunged $3.31 to $91.98/bbl.
Northeast Leads Broad Slide; Futures Traders Circumspect
All actively traded cash points recorded losses on gas for weekend and Monday delivery in Friday’s trading. The physical market on average fell 13 cents with Northeast points enduring the greatest declines. Eastern and Gulf points were weak as well. At the close of futures trading October had shed 9.4 cents to $2.943 and November had dropped 8.1 cents to $3.083. October crude oil added 69 cents to $99.00/bbl.
Nearly All Points Slide; Futures Waft Lower
The cash market slumped another five cents on average Friday with virtually all locations posting losses and Northeast locations suffering the greatest setbacks as hyper-warmth was forecast to return to the area on Monday. California points also weakened. Futures held relatively steady and at the close May had eased two-tenths of a cent to $1.989 and June had fallen eight-tenths of a cent to $2.084. May crude oil dropped 81 cents to $102.83/bbl.
California Points Steady, Northeast Plunges, and Futures Creep Lower
Physical natural gas prices across the country retreated on average by about 7 cents Monday, but Northeast locations had to endure double-digit losses, and in southern California prices were flat to a couple of cents higher. At the close of futures trading the April contract was down by 5.5 cents to $2.269 and May futures had fallen 5.2 cents to $2.373. April crude oil dropped $1.06 to $106.34/bbl.
Gas Prices Prompt Pioneer to Tweak Drilling Plan
Dallas-based Pioneer Natural Resources Co. reported a 9% sequential increase in production for the fourth quarter and attributed the success to “three core liquids-rich growth assets in Texas.” In light of low prices for dry gas, the company has tweaked some of its drilling plans while it continues to high-grade liquids-rich drilling.
Cash Posts Double-Digit Losses; Futures Ease
Futures and cash prices worked lower Wednesday, but physical gas posted sharper losses as forecasts of milder weather prompted cash quotes mostly a dime to 15 cents lower with some spots in the Northeast declining between 20 to 30 cents. At the close of futures trading March had shed 2.4 cents to $2.448 and April had softened 3 cents to $2.598. March crude oil added 30 cents to $98.71/bbl.
Cash Seen Lower Tuesday Following Late Futures Slide
Cash prices around much of the country on Monday rose about a dime, excluding double-digit losses posted at a number of eastern points. Traders ascribed the gains primarily to an early surge in March futures. However, the late session futures decline should result in lower cash quotes Tuesday.
Mixed Pricing Sees Modest Dominance of Firmness
The cash market recorded a mix of gains and losses Tuesday, but bulls were slightly in the ascendancy as flat to higher numbers tended to be both more numerous and have larger increases than the falling ones, all of which were in single digits.
Expected Hefty Storage Builds Lean on Futures; October Slides
October natural gas fell again in uninspired trading that saw traders ascribe the losses to more mild weather patterns. October dropped 6.8 cents to $3.730 and November fell 6.5 cents to $3.820. November crude oil lost $1.00 to $85.92/bbl.