Energy Stocks Lower

Energy stocks were mostly lower Monday afternoon, with the NYSE Energy Sector Index falling more than 0.7% while shares of energy companies in the S&P 500 also were down over 0.7% as a group. West Texas Intermediate crude oil for August delivery was slipping 59 cents to $59.62 per barrel at the New York Mercantile Exchange while the global benchmark Brent crude September contract was declining 26 cents to $66.46 per barrel. August natural gas futures were 6 cents lower at $2.39 per 1 million BTU. Among energy-related ETFs, the United States Oil fund was falling nearly 1.0% while the United States Natural Gas fund was dropping almost 2.5%. The Philadelphia Oil Service Sector index was down about 0.9%.

Among energy stocks moving on news:

(-) Cameco (CCJ) fell 7.6% on Monday after an international arbitration tribunal awarded $40.3 million in damages to the uranium producer rather than the $700 million it was seeking from Tokyo Electric Power Company Holdings after the utility canceled its supply agreement with the company following the Fukashima earthquake and tsunami in March 2011. The supply agreement does not allow for an appeal of the tribunal’s decision.

In other sector news:

(+) Carrizo Oil & Gas (CRZO) was 2% higher this afternoon, well under its intraday peak of 11%, after agreeing to a $3.2 billion buyout offer from Callon Petroleum (CPE). Under terms of the proposed transaction, investors will receive 2.05 Callon shares for each Carrizo share they own, valuing the target company at $13.12 a share, based on Callon’s closing share price on Friday.

(-) National Oilwell Varco (NOV) fell 1% on Monday after a Johnson Rice downgrade of the oilfield-services company to hold from buy.

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