4 Energy Stock Stories to Fuel Weekend Investment Chatter

By Roger Baettig | March 15 2013 4:41 PM

Reuters

The cost of living in the U.S. increased at a slower pace in March.

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BP (NYSE:BP): Current price $41.00

BP’s oil-trading division is under intensified scrutiny after its becoming a weak link for the oil giant, which says that the unit, at one time bringing in one-tenth of company profits, was responsible for its inability to fully keep its pledge to improve performance at its refining division. Sources in the industry, along with ex-insiders, say that the weak performance has ignited an internal debate regarding the unit. These developments at BP show generally poor performances across many trading units at oil majors and trading houses during the past three years, because of relatively low market volatility.

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Chesapeake Energy Corporation (NYSE:CHK): Current price $22.26

On Thursday, Chesapeake was unable to obtain a court order allowing it to redeem $1.3 billion of notes early at a favorable price, marking a decided setback for the natural gas company as it attempts to close a potential $4 billion cash shortfall in 2013. United States Judge Paul Engelmayer announced the decision in Manhattan federal court. The bond trustee Bank of New York Mellon Corporation, along with a group of investors holding $250 million of the notes had fought the proposed redemption, claiming that it would cause irreparable harm.

SolarWinds (NYSE:SWI): Current price $60.38

The Solar Energy Industries Association, which is the industry’s main trade group, will report that the amount of new solar energy capacity installed in the United States jumped by 76 percent last year versus 2011, according to The New York Times, which added that the boost was due to an oversupply of cheaper solar panels made in China.

Transocean (NYSE:RIG): Current price $53.379

Marine engineering expert Edward G. Webster, testifying for plaintiffs who have brought a lawsuit in connection to the 2010 Gulf oil spill, has reviewed in court a Transocean computerized maintenance system report for the Deepwater Horizon, dated a day prior to the April 20, 2010, blast, which listed 222 overdue maintenance tasks, including 76 “high priority” jobs. Such internal documents indicate that the company failed to maintain the Deepwater Horizon, deferring critical repairs and maintenance for years before the drilling rig burned and sank in the Gulf of Mexico. Webster said that “Safety critical” systems and equipment had been in need of maintenance or repairs for months and, in certain cases, years, citing the report.