Daily Brief Energy/Materials: Shell PLC, Crude Oil, Louisiana Pacific, Trigon Metals , SGX Rubber Future TSR20, PetroTal, Sintana Energy and more

• Shell’s Q4 2024 revenue and EPS are expected to decline 21.9% YoY and 35.1%, respectively. For fiscal 2024, forecasts project a 4.8% revenue drop and a 7.4% EPS decline.
• Shell anticipates a USD 1.3 billion Q4 charge for emissions certificates and biofuel programs, alongside non-cash post-tax impairments ranging from USD 1.5 billion to USD 3 billion.
• Shell forecasts flat refining margins at USD 5.5/bbl but a 16% QoQ drop in chemical margins to USD 138/tonne.

• For the week ending 10/Jan, US crude inventories fell by 2m barrels, missing expectations of a 3.5m barrel decrease. Gasoline and distillate stockpiles rose more than expected.
• US natural gas inventories fell by 258 Bcf for the week ending 10/Jan, slightly missing analyst expectations of a 260 Bcf drawdown. Inventories are 2.5% above the 5-year seasonal average.
• BP forecasts tepid Q4 earnings on low refining margins and upstream output, while TotalEnergies expects higher production and gas prices to offset lower oil prices.

• LPX is recommended to buy at $104 with a 5-year price target of $255
• The company has developed value-added Oriented Strand Board products and converted mills to produce higher-margin siding
• LPX is expected to deliver mid/high-teens total shareholder return and has opportunities for reinvestment at high returns, focused on wood-based products for construction.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Trigon announced that its two underground pumps failed at its Kombat Mine, halting operations.
• All personnel and mining equipment have been removed from the underground mine.
• The Company stated that despite the issues, Horizon still plans to proceed with its commitment to purchase TM’s interest in Kombat.

• RRII’s new clone RRII 417 to give yield of 2080 kg/ha a year
• INROAD project covers 1,25,272 hectares in four years in NE
• Northeast share of national production to go up to 32% 

• PetroTal expects to produce 21-23 mbbl/d in 2025, with the midpoint of this guidance exceeding our expectations of 21.2 mbbl/d.
• Although only four new wells are expected to come online in 2025 (including the 23H well but excluding the final well of the FY25 four-well drilling program), average production is expected to grow by ~4.2 mbbl/d from 2024 to 2025.
• In comparison, six new producers were brought online in 2024 (excluding the 23H well but including the 16H well), but production increased by only ~3.4 mbbl/d from 2023 to 2024.

• The Kapana 1-X well on PEL-90 did not encounter commercial hydrocarbons.
• The rig is likely to be demobilized, but the well’s results have increased confidence in the block.
• Chevron has indicated that it anticipates further exploration in Namibia.