4.0500 -0.05 (-1.22%)
Pre-market: 7:17AM EST
|Bid||4.0000 x 1000|
|Ask||4.1000 x 3100|
|Day's range||3.9900 - 4.5700|
|52-week range||3.5800 - 26.6000|
|Beta (3Y monthly)||2.36|
|PE ratio (TTM)||N/A|
|Earnings date||30 Oct 2019|
|Forward dividend & yield||0.16 (3.41%)|
|1y target est||8.92|
(Bloomberg) -- Offshore oil production is expected to hit a peak in 2020 before joining the shale industry in a slowdown that could dramatically rewrite market supply predictions.A report by analysts at Sanford C. Bernstein & Co. sees projects in the Gulf of Mexico and off of South America significantly boosting output next year. After that, though, the odds drop for any further growth gains, the report found. Meanwhile, two well-known shale pioneers last month forecast a downturn ahead for their sector.Together, the warnings could signal a new era for a commodity that’s selling for about half the price reached just five years ago. The catalyst is a shareholder push for spending discipline. The result: Potentially a “tempting scenario” for investors where oil prices rise even as costs and demand fall, said Bob Brackett, a Bernstein report author.Three crude sources have seen substantive growth this century -- deepwater, shale and oil sands, according to Brackett. “The first peaks in 2020,” he wrote in an email. “The second peaks a few years later (and is slowing). And the future of oil sands is in question from a sustainability/CO2 impact.”The offshore industry has struggled to maintain growth since oil prices plunged to less than $30 a barrel in 2016 after reaching more than $100 in mid-2014.The high prices spurred a flurry of expensive projects between 2010 and 2014. But today those projects are “barely able” to generate value, according to industry consultant Rystad Energy, which evaluated offshore oil fields sanctioned since 2010 in an Oct. 30 report and ranked them by estimated value per barrel of oil.While newer deepwater projects are less expensive, they still take longer to develop than shale wells and they can’t compete on costs. Over the last few years, roughly $100 billion in spending has shifted to shale work as a result, according IHS Markit.Royal Dutch Shell Plc’s decision last month to pull the plug on a pair of projects in Kazakhstan because of their high costs points to offshore’s changing status. The latest example hit last week when Brazil failed to draw bids from the world’s oil majors in its auction of deep-sea deposits that could hold 15 billion barrels of oil, almost twice as much as Norway’s reserves.“The pipeline of things that have been discovered just won’t get sanctioned,” Brackett said.Shale industry pioneers Scott Sheffield, Pioneer Natural Resources Co.’s chief executive officer, and Mark Papa, who built Enron Corp. castoff EOG Resources Inc. into one of the world’s biggest independent oil explorers, are sounding the alarm on shale growth.Across the shale industry, output growth will slow next year, Sheffield said on Nov. 5. That will provide a boost for prices through the early 2020s, he said.“U.S. shale production on a year-over-year growth basis will be considerably less powerful in 2021 and later years than most people currently expect,” Papa said during an earnings call for Centennial Resource Development Inc., his current company.To be sure, both the shale and offshore sectors will continue to produce. Sheffield sees about 700,000 barrels a day being added next year in U.S. shale fields while the Energy Information Administration predicts daily production will expand by 910,000 barrels. Even that, though, would be half of last year’s increase.In early 2020, Exxon Mobil Corp. is expected to begin producing oil from deepwater wells off the coast of Guyana that have the potential to produce more than 6 billion barrels. Meanwhile, eight new projects are opening in the Gulf of Mexico this year and in 2020, according to an Oct. 16 report by the U.S. Energy Information Administration.Even so, the Gulf’s share of U.S. production overall is expected to shrink, the EIA report said, to about 15% from 23% in 2011. In 2014, the industry had 245 floating rigs working globally, according to Evercore ISI. Now there are less than half that number, and contractors are trying to manage through the downturn. Valaris Plc, one of the biggest owners of offshore rigs, announced Tuesday a new round of cost cuts adding up to at least $100 million as executives “fully recognize the continued pressures in the current market environment,” according to a statement.Some workers in the industry see few silver linings ahead.“The fracking technology has just opened up so much more oil,” said Chip Keener, a former manager of the global rig fleet for Transocean Ltd., the biggest owner of deepwater rigs. “Deepwater I think is going to be on the skids for a very long time.”(Updates with comment from Valaris in 15th paragraph.)To contact the reporters on this story: David Wethe in Houston at email@example.com;Allison Mccartney in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Simon Casey at email@example.com, Joe Carroll, Carlos CaminadaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Valaris (VAL) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Kahn Swick & Foti, LLC ("KSF") and KSF partner, the former Attorney General of Louisiana, Charles C. Foti, Jr., remind investors with losses in excess of $100,000 that they have only until October 21, 2019 to file lead plaintiff applications in a securities class action lawsuit against Valaris plc (f/k/a Ensco Rowan plc) (VAL), if they purchased the Company’s securities between April 11, 2019 and July 31, 2019, inclusive (the “Class Period”). This action is pending in the United States District Court for the Southern District of New York. If you purchased securities of Valaris and would like to discuss your legal rights and how this case might affect you and your right to recover for your economic loss, you may, without obligation or cost to you, contact KSF Managing Partner Lewis Kahn toll-free at 1-877-515-1850 or via email (firstname.lastname@example.org), or visit https://www.ksfcounsel.com/cases/nyse-val/ to learn more.
RADNOR, Pa., Oct. 18, 2019 -- Kessler Topaz Meltzer & Check, LLP reminds Valaris plc (NYSE: VAL) (“Valaris”) investors that a securities fraud class action lawsuit has.
Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC reminds investors that a class action lawsuit has been filed against the following publicly-traded companies. You can review a copy of the Complaints by visiting the links below or you may contact Peretz Bronstein, Esq. If you suffered a loss, you can request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Glancy Prongay & Murray LLP (“GPM”) reminds investors of the upcoming October 21, 2019 deadline to file a lead plaintiff motion in the class action filed on behalf of Valaris plc (“Valaris” or the “Company”) (NYSE: VAL) investors who purchased securities between April 11, 2019 and July 31, 2019, inclusive (the “Class Period”). If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, at 310-201-9150, Toll-Free at 888-773-9224, or by email to email@example.com, or visit our website at www.glancylaw.com. On April 11, 2019, Ensco plc and Rowan Companies plc combined to form Ensco Rowan plc, which was later renamed Valaris plc.
NEW YORK, Oct. 18, 2019 -- The Law Offices of Vincent Wong announce that class actions have commenced on behalf of shareholders of the following companies. If you suffered a.
NEW YORK, Oct. 17, 2019 -- The Klein Law Firm announces that class action complaints have been filed on behalf of shareholders of the following companies. If you suffered a.
NEW ORLEANS, Oct. 16, 2019 -- ClaimsFiler, a FREE shareholder information service, reminds investors of pending deadlines in the following securities class action lawsuits:.
Bernstein Liebhard LLP announces that class action complaints have been filed on behalf of shareholders of VAL, CADE, and OLLI. If you wish to serve as lead plaintiff, you must move the court by the lead plaintiff deadlines listed below. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.
NEW YORK, Oct. 16, 2019 -- Levi & Korsinsky, LLP announces that class action lawsuits have commenced on behalf of shareholders of the following publicly-traded companies..
Bragar Eagel & Squire, P.C. reminds investors that class action lawsuits have been commenced on behalf of stockholders of Valaris Plc (VAL), Sarepta Therapeutics, Inc. (SRPT), Canada Goose Holdings, Inc. (GOOS), and Meredith Corporation (MDP). On July 31, 2019, Valaris issued a press release announcing its second quarter 2019 financial results—its first earnings report post-merger reflecting the results of the combined company—which missed market expectations (the “2Q 2019 Press Release”). Upon issuance of the 2Q 2019 Press Release, Seeking Alpha published an article on August 2, 2019, entitled “Valaris PLC - Off To A Bad Start” (the “Seeking Alpha Article”), noting that Valaris’s results “shock[ed] investors with massive cash usage [and] .
Investors suffering losses on their investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in these class actions at 888-638-4847 or by email to firstname.lastname@example.org. The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects.
NEW ORLEANS, Oct. 14, 2019 -- Kahn Swick & Foti, LLC (“KSF”) and KSF partner, former Attorney General of Louisiana, Charles C. Foti, Jr., remind investors of pending.
NEW YORK, Oct. 14, 2019 -- Rosen Law Firm, a global investor rights law firm, reminds purchasers of the securities of Valaris plc (NYSE: VAL) from April 11, 2019 through July.
Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC reminds investors that a class action lawsuit has been filed against the following publicly-traded companies. You can review a copy of the Complaints by visiting the links below or you may contact Peretz Bronstein, Esq. If you suffered a loss, you can request that the Court appoint you as lead plaintiff.
NEW YORK, Oct. 10, 2019 -- The Klein Law Firm announces that class action complaints have been filed on behalf of shareholders of the following companies. If you suffered a.
Bernstein Liebhard LLP announces that class action complaints have been filed on behalf of shareholders of VAL, NTAP, and MYGN. If you wish to serve as lead plaintiff, you must move the court by the lead plaintiff deadlines listed below. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.
BENSALEM, Pa., Oct. 09, 2019 -- Law Offices of Howard G. Smith reminds investors that class action lawsuits have been filed on behalf of shareholders of the following.
Bragar Eagel & Squire, P.C. reminds investors that class action lawsuits have been commenced on behalf of stockholders of NetApp, Inc. (NTAP), SAExploration Holdings, Inc. (SAEX), Nektar Therapeutics, Inc. (NKTR), and Valaris Plc (VAL). Stockholders have until the deadlines below to petition the court to serve as lead plaintiff.
NEW YORK, Oct. 08, 2019 -- Pomerantz LLP announces that a class action lawsuit has been filed against Valaris plc (f/k/a Ensco Rowan plc) (“Valaris” or the “Company”) (NYSE:.