Energy stocks were rallying premarket Wednesday as the Energy Select Sector SPDR (XLE) was recently advancing by more than 1%. The United States Oil Fund (USO) was nearly 2% higher and the United States Natural Gas Fund (UNG) was up more than 3%.
West Texas Intermediate crude oil was up $1.66 at $72.12 per barrel at the New York Mercantile Exchange. The global benchmark Brent crude gained $1.55 to $75.16 per barrel and natural gas futures were 27 cents higher at $5.47 per 1 million BTU.
Indonesia Energy (INDO) was gaining more than 12% in value after saying it has discovered oil in its Kruh 26 well and that it plans to conduct stimulation work and commence production from both the Kruh 25 and 26 wells in October. The company expects full production from the two new wells to boost its overall daily revenues and oil production by over 100%.
Chevron (CVX) was slightly higher in recent trading. The company announced yesterday that it more than tripled its planned low-carbon investment to over $10 billion over the next seven years as part of efforts to address growing climate change concerns.