Shell USA to Acquire Midstream MLP in $1.96 Billion Buyout
Shell USA Inc. agreed on July 25 to acquire Shell Midstream Partners LP in a buyout transaction...
Shell USA Inc. agreed on July 25 to acquire Shell Midstream Partners LP in a buyout transaction worth nearly $2 billion.
The transaction marks the latest MLP roll-up in the midstream space largely seen as being driven by the elimination of incentive distribution rights. Previously, the oil and gas industry had financed billions of dollars in pipeline and storage infrastructure through the use of MLPs.
Based in Houston, Shell USA is the U.S. subsidiary of global supermajor Shell Plc headquartered in London. A subsidiary of Shell USA currently owns about 269.5 million common units of Shell Midstream Partners, or roughly 68.5% of Shell Midstream Partner common units, which owns, operates, develops and acquires pipeline and other midstream and logistics assets in the U.S. from its headquarters in Houston.
U.S. stocks finished mixed Monday, with the Nasdaq Composite slipping ahead of the Federal Reserve's...
U.S. stocks finished mixed Monday, with the Nasdaq Composite slipping ahead of the Federal Reserve's two-day policy meeting set to begin July 26 amid recession fears. The Dow Jones Industrial Average DJIA, +0.28% gained 0.3% while the S&P 500 SPX, +0.13% edged up 0.1% and the technology-heavy Nasdaq COMP, -0.43% fell 0.4%, according to preliminary FactSet data. Investors are awaiting the Fed's decision on its interest-rate policy in a busy week for company earnings that will include quarterly results from big tech stocks such as Apple Inc. AAPL, -0.74% and Google parent Alphabet Inc. Consumer discretionary, information technology and communication services were the worst performing sectors in the S&P 500 index on Monday.
Oil rises as dollar strength eases, but Fed weighs
Oil prices are up slightly on Monday, bolstered by a slightly weaker U.S. dollar and stronger equity...
Oil prices are up slightly on Monday, bolstered by a slightly weaker U.S. dollar and stronger equity markets in a session that seesawed between supply fears and expectations that a rise in U.S. interest rates would weaken fuel demand.
Brent crude futures for September settlement were trading up 54 cents, to $103.74 a barrel at 10:40 AM ET, while U.S. West Texas Intermediate (WTI) crude futures were up 72 cents to $95.42 a barrel.
"A slightly weaker U.S. dollar and improving equity markets are supporting oil," UBS oil analyst Giovanni Staunovo said on Monday.
The energy sector is off to a higher start, supported by strength...
The energy sector is off to a higher start, supported by strength in the underlying commodities and in the broader markets. The major market indices edged higher ahead of the Federal Reserve policy meeting this week and on Q2 earnings which will allow investors to gauge the impact of a strong dollar and high inflation.
WTI and Brent crude oil are up in early trading as supply fears outweighed concerns over future aggressive rate hikes which would put a dent in demand. A weaker dollar combined with gains in the broader markets is also adding support to oil futures. European leaders are set to discuss a revised proposal where EU countries would cut gas use by 15% from August to March, in an effort to prepare for a winter of uncertain energy supplies. The European Union is expected to strike a deal on Tuesday. A repaired gas turbine will be installed in the Nord Stream 1 pipeline once it is returned after maintenance, and natural gas will then be supplied in "corresponding volumes", a Kremlin spokesman said on Monday. The Nord Stream 1 pipeline has only been operating at a 40% capacity since it resumed gas flows.
Natural gas futures rose this morning on forecasts for hotter weather and higher demand next week than previously expected.
U.S. stock futures hold near 5-week highs as investors await earnings wave and Fed decision
U.S. stock futures were a touch firmer on Monday as traders contemplated a week stuffed with monster...
U.S. stock futures were a touch firmer on Monday as traders contemplated a week stuffed with monster earnings and Fed action.
Futures on the Dow Jones Industrial Average futures YM00 added 163 points, or 0.5%, to 32,038.
S&P 500 futures ES00 rose 19 points, or 0.5%, to 3,984.
Nasdaq 100 futures NQ00 gained 53 points, or 0.4%, to 12476.50.
The Dow Jones Industrial Average DJIA last week rose 2%, while the S&P 500 SPX gained 2.6% and the Nasdaq Composite COMP advanced 3.3%. The Russell 2000 index RUT of small cap stocks is up 5.8% so far in July
