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Sector Update: Energy Stocks Tracking Higher With Rising Commodity Prices

· 02/05/2021 08:48

01:34 PM EST, 02/05/2021 (MT Newswires) -- Energy stocks were higher this afternoon, with the NYSE Energy Sector Index climbing 1.1% while the SPDR Energy Select Sector ETF was up 0.9%.

Front-month West Texas Intermediate crude oil was rising 57 cents to $56.80 per barrel at the New York Mercantile Exchange while the global benchmark Brent crude contract was adding 53 cents to $59.37 per barrel. Henry Hub natural gas futures were 4 cents higher at $2.84 per 1 million BTU.

Among energy-related ETFs, the United States Oil Fund was ahead 0.8%% while the United States Natural Gas Fund was advancing 0.1%. The Philadelphia Oil-Service Sector index also was posting a less than 0.1% gain.

In company news, Equinor ASA (EQNR) rose fractionally after the Norwegian energy major Friday said it discovered a new oil and gas reservoir near its Troll field in the North Seas and expected to contain between 44 million and 69 million barrels of oil equivalent.

Occidental Petroleum (OXY) still was nearly 1% higher, giving back a 3.8% gain earlier Friday after a new regulatory filing showed BlackRock (BLK) cut its stake in the energy major by about 8.6% during 2020, selling 5 million shares and reducing its Occidental holdings to 53.7 million shares.

Noble Midstream Partners (NBLX) jumped out to a 6.8% advance after Chevron (CVX) Friday presented a non-binding buyout offer to the pipeline company, offering almost $432 million in stock for the 38% of Noble Midstream it doesn't already own. The Chevron bid values Noble Midstream at $12.47 per share, although the company said final terms of the offer still are subject to negotiation and may not result in a transaction. Chevron shares were narrowly lower this afternoon.