As the world battles the economic uncertainty brought on by the coronavirus pandemic, oil and gas companies have been on the rise this week according to results from the TSX (Toronto Stock Exchange).
Royal Dutch Shell, Talisman Energy, Canadian Natural Resources, and Suncor Energy all gained on the Toronto Stock Exchange during the week ending Friday November 6th.
Royal Dutch Shell, the multinational energy and petrochemical company, reported a 3rd quarter 2020 net income that was 2.7% higher than that of the 3rd quarter of 2019, despite the economic headwinds of COVID-19. Shell also announced that it plans to reduce debt by up to $22 billion and reduce costs by nearly $4 billion over the next three years.
Talisman Energy, the independent Canadian oil and gas company, recorded a net income of $363 million in the 3rd quarter, up from $33 million in Q3 2019. Talisman attributed the increase to the cost cutting they had undertaken during Q3.
Canadian Natural Resources, Canada’s largest independent exploration and production company, is also on the rise after reporting a net earnings of $2.3 billion in the 3rd quarter, a 2.5% increase from 2019. The company also noted a production increase of 5.1%.
Finally, Suncor Energy, Canada’s largest petroleum producer, is up 1.3% on Q3 earnings of approximately $1 billion. This is a slight dip from Q3 2019 when Suncor posted a net income of $1.3 billion, however Suncor noted they had lower operating expenses, operational costs, and exploration expenses.
Overall, the week ending November 6th witnessed gains for some of Canada’s largest oil and gas companies despite the economic headwinds of 2020. As the world battles the pandemic, it will be interesting to see how these companies as well as ones that have yet to report, will do in the coming weeks and months.