Author Archive: Clark Williams-Derry

Energy Finance Analyst Clark Williams-Derry served for 18 years as director of energy finance and research director for the Sightline Institute, a multi-issue sustainability think-tank based in Seattle, where his research focused on U.S. and global energy markets. He was also a senior analyst for Environmental Working Group.

IEEFA U.S.: Decline in coal exports adds to Navajo-owned company’s problems

IEEFA U.S.: Decline in coal exports adds to Navajo-owned company’s problems

Weak demand and low prices are likely creating steep losses for NTEC

U.S. coal exports to Asia—once heralded as the saving grace for struggling coal producers in the western United States—are facing new strains from low prices and weak demand in the wake of the global COVID-19 crisis.  In its third-quarter financial statement released earlier this month, Westshore Terminals in British Columbia, the primary terminal for U.S. thermal coal […]

IEEFA update: Peabody Energy flirts with bankruptcy—again

IEEFA update: Peabody Energy flirts with bankruptcy—again

Bear market for coal, new financial pressures push world’s largest coal company towards default

Just three-and-a-half years after emerging from its previous bankruptcy, Peabody Energy—the world’s largest private coal miner—admitted to investors on Monday that it could face yet another trip to bankruptcy court in the coming months. Coal bankruptcies in the United States have become increasingly common. Cheap gas and renewable power have steadily replaced coal in the […]

IEEFA update: ExxonMobil’s dismal third quarter

IEEFA update: ExxonMobil’s dismal third quarter

Cash results disappoint, raising questions about dividends

ExxonMobil today posted third quarter cash results that were significantly worse than those of its four peers, Shell, Total, BP and Chevron. These disappointing results challenge the company’s repeated claims that the fundamentals of the oil and gas industry have not changed.  “ExxonMobil needs a business model that manages decline, generates stable profits and contributes […]

IEEFA: What Australia can learn from Texas’ embrace of clean energy

IEEFA: What Australia can learn from Texas’ embrace of clean energy

In the home of U.S. oil and gas, private investors are pouring money into renewables

19 October 2020 (IEEFA Australia): The Australian government’s plan for a gas-fired economic recovery from COVID-19 ignores the market’s clear preference for renewables over fossil fuels. That’s the conclusion of a new note from the Institute for Energy Economics and Financial Analysis (IEEFA) that argues Australia could learn from the experience of U.S. oil and […]

IEEFA U.S.: Weakness of fracking accentuated by plunging cash flows during pandemic quarter

IEEFA U.S.: Weakness of fracking accentuated by plunging cash flows during pandemic quarter

Amid increasing bankruptcies, companies outspent cash flows by more than $3 billion

September 15, 2020 (IEEFA)— A cross-section of 34 North American shale-focused producers continued a long-term losing streak in the second quarter of 2020, spending $3.3 billion more on drilling and other capital projects during the quarter than they generated from selling oil and gas. Low prices and declining sales volumes slashed revenues, leaving the fracking […]

IEEFA U.S.: Capex cuts fail to stem gusher of red ink for Appalachian frackers

IEEFA U.S.: Capex cuts fail to stem gusher of red ink for Appalachian frackers

Nine major E&P companies collectively lost more than $1 billion over past year

September 10, 2020 (IEEFA) — Even after cutting capital expenditures to their lowest quarterly point in more than six years, nine Appalachian shale-focused gas producers continued to hemorrhage money, reporting more $134 million negative free cash flows in the second quarter of 2020.  Together, they have spilled $1.1 billion in red ink over the past […]

IEEFA brief: Second quarter results show that shareholder dividends pushed oil supermajors deep into red

IEEFA brief: Second quarter results show that shareholder dividends pushed oil supermajors deep into red

ExxonMobil, recently kicked out of the Dow Jones Industrial Average, posted the worst performance among supermajors in Q2

August 25, 2020 (IEEFA)— One day after ExxonMobil was kicked out of the Dow Jones Industrial Average, a new analysis shows that the company suffered through one of its worst quarters in years, characterized by sharply negative free cash flows and massive borrowing to sustain its shareholder dividends. Overall, the five global oil and gas […]

IEEFA U.S.: Utah bailout of bankrupt California coal-export project likely to fail

Markets, distance, and community opposition pose obstacles - proposal lacks private sector backers

August 19, 2020 (IEEFA) —A proposed $20 million state investment in a bankrupt California coal-export project would most likely result in a loss to the state, concludes a research brief published today by the Institute for Energy Economics and Financial Analysis. The brief—Utah Bailout of Bankrupt California Coal-Export Project Would Likely Fail—describes how weak export […]

IEEFA report: China unlikely to come to rescue of overbuilt U.S. LNG industry

IEEFA report: China unlikely to come to rescue of overbuilt U.S. LNG industry

Falling prices and shrinking demand constrain market, even before coronavirus crisis

July 29, 2020 (IEEFA) — A rebound of the ailing U.S. liquefied natural gas (LNG) industry isn’t likely to come from Chinese demand, according to a new study by the Institute for Energy Economics and Financial Analysis (IEEFA). Global LNG markets have been hammered by collapsing prices, falling consumption, and an enormous supply glut in […]

IEEFA update: Frackers record positive free cash flow during Q1, no thanks to economics of gas industry

IEEFA update: Frackers record positive free cash flow during Q1, no thanks to economics of gas industry

Capex reductions, financial hedging offset plunging demand

June 25, 2020 (IEEFA)—Nine fracking-focused gas companies in Appalachia reported a positive free cash flow during the first quarter of 2020—but only after slashing capital expenditures and reporting significant revenues from financial hedging, according to a new study by the Institute for Energy Economics and Financial Analysis (IEEFA). The positive first quarter results, however, didn’t […]