Nexen Inc. (NXY) reported third-quarter recurring earnings of 21 cents (23 Canadian cents) per share, below the Zacks Consensus Estimate of 27 cents and lasts year’s earnings of $1.62 (C$1.68).

Production during the quarter, before royalties, averaged 214 thousand barrels of oil equivalent per day (MBOE/d), or 184 MBOE/d net of royalties, comprising 83% crude oil and 15% natural gas. Production before royalties was down 14% year over year, mainly due to turnarounds and maintenance activities at a number of fields. On a net-of-royalty basis, production was down slightly by 12% year over year to 184 MBOE/d.

While the quarter’s productions were hampered by the scheduled turnarounds on a number of the company’s fields, current production (275 MBOE/d) is increasing with the ramp-up of production at Ettrick, Longhorn and Long Lake. Management hinted that the fourth quarter production will be higher than the reported quarter level.

Nexen’s average oil price realization during

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Alberta-based Nexen Inc. (NXY) is well-positioned for a solid growth as it continues with major developments in the U.K. North Sea, announcing the discovery of substantial additional resource and the start-up of new production. Following the successful development of the Buzzard project in 2007, Nexen’s Golden Eagle area in the U.K. North Sea is shaping up to be a significant development project for the company. Nexen is currently evaluating development options in the Golden Eagle area as the company expects to continue appraisal drilling in the area for the remainder of the year. The Golden Eagle area contains 150 million to 275 million barrels of oil equivalent of gross recoverable contingent resource. Nexen recently completed a new step-out development well in the Scott/Telford development area in the North Sea. The well encountered 254 feet of high quality net oil pay. The company has a 72% ...

Calgary, Alberta-based Nexen Inc. (NXY) -- a major Canadian oil and gas company -- reported second quarter results on July 16. Recurring earnings per diluted share came in at C$0.04 ($0.03), compared to our estimate of C$0.36 ($0.31) and the consensus estimate of C$0.34 ($0.29). Production before royalties during the quarter averaged 240 thousand barrels of oil-equivalent per day (MBOE/d) or 208 MBOE/d net of royalties, comprising 85% crude oil and 15% natural gas. Production before royalties was down from 254 MBOE/d in the year-earlier period and 252 MBOE/d in the previous quarter. Production was lower in the quarter due to a scheduled downtime at Buzzard for a planned rig move and a coker turnaround at Syncrude. However, with the comeback of Buzzard and Syncrude to their full rates, current production volume is approximately 260 MBOE/d. On a net-of-royalty basis, production was 208 MBOE/d, compared ...

Six Dow components are scheduled to report as large-cap stocks dominate the first big week of earnings season. The 6 companies are Bank of America (...

With oil finally trading back above the $50-a-barrel level, it’s time to recognize that crude prices are probably not going to remain low for very long, and may end up fluctuating in the $50-$80 range - regardless of what happens to the prices of other commodities. After all, the economies in both China and India are apparently continuing to grow at a fairly rapid pace, and those countries’ demand for transportation and other forms of energy are thus likely to keep pace. For some minerals, the period of high prices from 2005 to 2008 has produced a surplus. But no such effect has been seen in the oil market, as large new discoveries are hard to find. If we’ve learned anything in the last few years, it’s that political risk is very important in oil investments. It’s not just a question of outright ...

Over the past ten years, oil prices have captivated the attention of nearly every American. This is not surprising as the price for a barrel of oil has risen from less than $15 to more than $150 in just the past decade, generating massive profits for oil and gas companies, as well as those who invested with them. As many would have predicted, the high cost of energy was unsustainable for the current worldwide recession, and since summer of last year, oil prices have fallen as much as 76%.

This extreme drop in the price within just a few months time shocked oil and gas companies who were extremely happy with the seemingly never ending increase of profits. Now with oil prices hovering around the $40 per barrel mark, many of these companies are cutting production and investment to reduce the available supply of energy, subsequently increasing the cost of

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