In this April 23, 2018, file photo, the logo for ExxonMobil appears above a trading post on the floor of the New York Stock Exchange. ExxonMobil is selling most of its upstream assets in the United Kingdom central and northern North Sea to HitecVision for more than $1 billion. Neil Chapman, senior vice president of ExxonMobil, said in a statement Wednesday, Feb. 24, 2021, that the company is selling assets that are “less strategic” and concentrating on development plans that prioritize Guyana, the U.S. Permian Basin, Brazil and liquefied natural gas. (AP Photo/Richard Drew, File)
ExxonMobil is selling most of its upstream assets in the United Kingdom central and northern North Sea to HitecVision for more than $1 billion.
The sale includes ExxonMobil’s interests in 14 producing fields in the U.K. North Sea. This includes fields run primarily by Shell, including Penguins, Starling, Fram, the Gannet Cluster and Shearwater; Elgin Franklin fields operated by Total; and interests in the associated infrastructure. ExxonMobil’s share of production from these fields was approximately 38,000 oil-equivalent barrels per day in 2019.
The Irving, Texas-based oil company, which has operated in the U.K. for more than 135 years, is still keeping extensive refining and fuels marketing, lubricants, petrochemicals production and the natural gas marketing business in the U.K. It will also keep its non-operated share in upstream assets in the southern North Sea, and its share in the Shell Esso gas and liquids infrastructure that supplies ethane to the company’s Fife ethylene plant.
Neil Chapman, senior vice president of ExxonMobil, said in a statement Wednesday that the company is selling assets that are “less strategic" and concentrating on development plans that prioritize Guyana, the U.S. Permian Basin, Brazil and liquefied natural gas.
The deal is expected to close by the middle of the year.
Featured Article: What are the risks of holding treasury bonds?7 Bellwether Stocks Signaling a Return to Normal
Bellwether stocks are considered to be leading indicators about the direction of the overall economy, a specific sector, or the broader market. They are predictive stocks in that investors can use the company’s earnings reports to gauge economic strength or weakness.
The traditional definition of bellwether stocks brings to mind established, blue-chip companies. They are the home of mature brands with consumer loyalty. These may be stocks that aren’t associated with exceptional growth; some may be dividend stocks.
But there’s something different about normal this time around. If it’s true (and I think it is) that the old rules no longer apply, investors need to change the way they think about bellwether stocks. Plus, let’s face it, many stocks that we might consider to be bellwether stocks have already had a bit of a vaccine rally. That means that the easy gains are gone.
With that in mind, we’ve put together this special presentation that highlights seven of what may be termed the new bellwether stocks. These are stocks that investors should be paying attention to as the economy continues to reopen.
One quality of many of these stocks is that they are either negative for 2021 or underperforming the broader market. And that means that they are likely to have a strong upside as the economy grows.
View the "7 Bellwether Stocks Signaling a Return to Normal"
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