Where did it all go wrong?

By Paul Sankey Published on August 5, 2021 at 8:52 AM

With EOG rounding out oils’ earning season after the market yesterday, we had the final disappointment as oil prices test downside support levels breaking $70/bbl (Brent, WTI already broke into the upper $60s.) Expectations of an excess cash return special or splashy buyback announcement by EOG were dashed. Nothing. Just good free cashflow in a $70/bbl+ tape and the promise to pay down more debt by 2023. This is not the first disappointing Q2 earnings, […]

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Morning Denbury

By Paul Sankey Published on June 29, 2021 at 8:47 AM

A major client writes: Hi Paul – hope all well, you need to put Denbury on your radar – the only way to play CCS in US. They’ve emerged from Chapter 11 and have 1,000 miles of massively under-utilized CO2 pipes on the Gulf Coast, Brad Whitmash (former Noble IR) is their new IR, no bulge bracket coverage and worth a look! This was a great heads up, that immediately interested me, so I spoke […]

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Memorial Monday Sankey 5/31/21

By Paul Sankey Published on May 31, 2021 at 1:34 PM

OIL RISK HIGH. We have an OPEC meeting tomorrow, and the word is that Iran is pumping into storage on anticipation of successful negotiations with the Biden administration, which, for reasons I do not fully understand, is very keen to make a nuclear deal. This will allow Iran back into global oil markets. We understand that OPEC is warning Iran not to flood the market, and Iran is saying “we are going to flood the […]

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