Phillips 66 Reduces Capital Spending for 2021
Industry Segment: Petroleum Refining | Word Count: 761 Words
SUGAR LAND December 15, 2020 Researched by Industrial Info Resources (Sugar Land, Texas) With COVID-19 numbers at a record high in the U.S., midstream companies have had a tough year and are bracing for an uncertain post-pandemic world where the game has changed. To this end, it should come as little surprise that midstream company Phillips 66 (NYSE:PSX) (Houston, Texas) is lowering its capital spending in the upcoming year, setting the forecast at $1.7 billion, more than 40% lower than this year s spending.
Other companies featured: Plains All American Pipeline (NYSE:PAA)
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The Companies That Could Benefit From A Major Pipeline Shortage By Tsvetana Paraskova - Dec 10, 2020, 4:00 PM CST
The pandemic-inflicted oil demand crash and price collapse did not spare any segment of the oil industry. U.S. drillers and refiners cut oil and fuel production after demand plunged, while the entire oil and gas sector slashed capital budgets to preserve cash amid low oil and gas prices. The crisis spilled over to energy infrastructure, where oil and gas pipeline operators deferred or outright canceled projects and also reduced capital expenditure (capex) plans.
But it’s not all doom and gloom in the American midstream sector. Some pipeline operators with pipes already in the ground will see the value of their existing pipelines rise amid a looming scarcity of infrastructure, analysts say. The capex cuts and canceled projects would also add to the so-called scarcity value of the already operational oil and gas pipelines. In addition,