We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
ExxonMobil (XOM) to Construct Pipeline in Crowded Permian
Read MoreHide Full Article
Exxon Mobil Corporation (XOM - Free Report) intends to construct a pipeline in the Permian Basin, in line with its plan to allocate more than $2 billion for midstream asset expansions in the crowded shale play.
The largest publicly traded integrated energy firm along with Plains All American Pipeline (“PAA) will likely invest billions of dollars for building a pipeline that will transport crude to the Gulf coast region from the Permian Basin.
The Permian faces a dearth of pipeline capacity for transporting oil to Gulf Coast export facilities, major refinery terminals and principal hubs like Cushing. This has forced Midland operators to sell stranded oil at a big discount to that in Cushing.
Drillers with strong foresight have already booked the existing pipeline capacity for transporting Permian crude to the principal hubs. Thus, other drillers do not have the incentive to operate in the basin. Also, labor shortage and low pipeline capacity have bumped up the cost of production in the Permian, making the operating scenario unfavorable for new drillers.
To solve the Permian pipeline bottleneck, Magellan Midstream Partners, L.P. (MMP) — midstream infrastructure provider — along with Plains stretched the BridgeTex pipeline.
The latest announcement seems that ExxonMobil is following the same path to construct pipeline networks in the Permian so that explorers can boost oil production. In fact, the integrated energy firm is willing to lift Permian production three times through 2025.
Headquartered in Irving, TX, ExxonMobil fell 0.5% over the past year versus the 19.4% composite gain of the stocks belonging to the industry.
Currently, ExxonMobil carries a Zacks Rank #3 (Hold). A few better-ranked stocks in the energy space are Anadarko Petroleum Corporation , Eclipse Resources Corporation and Wildhorse Resource Development Corporation . While Anadarko carries a Zacks Rank #2 (Buy), Eclipse and Wildhorse sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
We expect Anadarko Petroleum to witness year-over-year earnings growth of 229.6% in 2018.
Eclipse is expected to record revenue growth of 13.5% through 2018.
Wildhorse will likely see year-over-year earnings growth of 309.3% in 2018.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Image: Bigstock
ExxonMobil (XOM) to Construct Pipeline in Crowded Permian
Exxon Mobil Corporation (XOM - Free Report) intends to construct a pipeline in the Permian Basin, in line with its plan to allocate more than $2 billion for midstream asset expansions in the crowded shale play.
The largest publicly traded integrated energy firm along with Plains All American Pipeline (“PAA) will likely invest billions of dollars for building a pipeline that will transport crude to the Gulf coast region from the Permian Basin.
The Permian faces a dearth of pipeline capacity for transporting oil to Gulf Coast export facilities, major refinery terminals and principal hubs like Cushing. This has forced Midland operators to sell stranded oil at a big discount to that in Cushing.
Drillers with strong foresight have already booked the existing pipeline capacity for transporting Permian crude to the principal hubs. Thus, other drillers do not have the incentive to operate in the basin. Also, labor shortage and low pipeline capacity have bumped up the cost of production in the Permian, making the operating scenario unfavorable for new drillers.
To solve the Permian pipeline bottleneck, Magellan Midstream Partners, L.P. (MMP) — midstream infrastructure provider — along with Plains stretched the BridgeTex pipeline.
The latest announcement seems that ExxonMobil is following the same path to construct pipeline networks in the Permian so that explorers can boost oil production. In fact, the integrated energy firm is willing to lift Permian production three times through 2025.
Headquartered in Irving, TX, ExxonMobil fell 0.5% over the past year versus the 19.4% composite gain of the stocks belonging to the industry.
Currently, ExxonMobil carries a Zacks Rank #3 (Hold). A few better-ranked stocks in the energy space are Anadarko Petroleum Corporation , Eclipse Resources Corporation and Wildhorse Resource Development Corporation . While Anadarko carries a Zacks Rank #2 (Buy), Eclipse and Wildhorse sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
We expect Anadarko Petroleum to witness year-over-year earnings growth of 229.6% in 2018.
Eclipse is expected to record revenue growth of 13.5% through 2018.
Wildhorse will likely see year-over-year earnings growth of 309.3% in 2018.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>