This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Stockwatch Business Reporter

West Texas Intermediate crude for June delivery added $1.22 to $44.66 on the New York Merc, while Brent for July added $1.89 to $45.52 (all figures in this para U.S.). Western Canadian Select traded at a discount of $11.65 to WTI ($33.01), up from a discount of $11.95. Natural gas for June added six cents to $2.158. The TSX energy index added 4.23 points to close at 178.29.

Alberta producer Athabasca Oil Corp. (ATH) added seven cents to $1.12 on 17.4 million shares, regaining some of the 12 cents it lost over the previous two trading days after releasing underwhelming first quarter financials and being forced to shut down its Hangingstone thermal project because of the encroaching Fort McMurray fire. Athabasca gets a little over half of its production from Hangingstone and the remainder from its light oil assets in the Placid Montney and Kaybob Duvernay plays. In the first quarter, Hangingstone produced 7,029 barrels a day and the light oil assets produced 6,319 barrels a day, for total production of 13,348 barrels a day. This was well below analysts' predictions of over 14,100 barrels a day. The main culprit seems to be natural declines at the Kaybob assets. These saw just $5.8-million of the $32-million that Athabasca spent in the first quarter, and so their production in April was just 4,800 barrels a day, down from 6,900 in December. Athabasca expects this production to rise once four wells are completed next quarter. Of course, the big news when it comes to Kaybob remains the joint venture with Murphy Oil that Athabasca announced in January. Murphy agreed to a $250-million cash payment and a $225-million capital carry in the Duvernay in exchange for a 70-per-cent interest in the Kaybob assets, as well as a 30-per-cent interest in the Placid Montney assets. This deal was expected to close in the first quarter, but was later postponed to the second quarter, raising some anxious eyebrows. Athabasca maintained in its first quarter financials that closing is still expected this quarter. It plans to release updated 2016 guidance after the deal closes.

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS