On Wednesday, Shares of Halcon Resources Corp (NYSE:HK), gained 6.58% to $0.640.
Like most oil producers, Legacy Reserves LP (LGCY), Goodrich Petroleum Corp. (GDP) and Halcon Resources (HK) have been reporting growing losses over the past 2 years that appear to be increasing as the price of oil continues its downward descent.
When oil was trading at 80 to 100 dollars per barrel, there was plenty of room to pay for the high cost of water administration for fracking operations, however, now that the price of oil is falling and flirting with 40 dollars per barrel, profit margins are upside down, and ongoing high water administration costs are exacerbating widespread industry losses.
Water administration for fracking operations comprises the acquisition of source water that averages 4 million gallons per well, transportation of the source water to the well, transportation of the flowback and produced water from the well to the disposal site, and fees for disposal into an injection well. Southwestern Energy (NYSE:SWN) CEO Steve Mueller, estimates that water transportation for a single well, primarily trucking, costs around $1.5 million or 25% of the $6 million that an average Marcellus well costs.
Trucks are the predominant method of transporting the water and a typical truck carrying about 100 barrels (4,200 gallons) of either fresh water or wastewater normally ranges between $95 an hour to $150 an hour just for hauling. Hauling time varies substantially depending on proximity of source water and disposal wells. With an average well requiring about 4 million gallons of water, that means about 1,000 truck visits are needed, plus an additional large number of truck loads to dispose of the flowback and produced water.
Halcón Resources Corporation, an independent energy company, is engaged in the acquisition, production, exploration, and development of onshore oil and natural gas properties in the United States.
Shares of Lululemon Athletica inc. (NASDAQ:LULU), inclined 3.63% to $45.69, during its last trading session.
lululemon athletica, declared that former Nike executive Gina Warren has been named as Executive Vice President, Culture & Talent, effective February 1, 2016. She will report to the Company’s Chief Executive Officer, Laurent Potdevin, and will lead the team that is responsible for all people practices counting health and wealth, recruitment, and learning and development for all retail and support functions.
“Our people are the very core of lululemon and when they are inspired and empowered, they in turn inspire and empower their communities around the world,” said lululemon’s CEO, Laurent Potdevin. “I am thrilled to welcome Gina, who will work hand-in-hand with our people globally. A true visionary with an exceptional track record that speaks for itself, Gina is joining us to drive our culture and people forward, and attract and develop incredible talent as we continue to shape a workplace that most people only dream of.”
Ms. Warren led Nike’s Global Diversity & Inclusion team from 2002 to 2014. During that time she initiated inaugural Global Cultural Assessments, assisted establish the Global Women’s Leadership Council, launched women’s leadership conferences and oversaw the Company’s employee resource networks. From 1999 to 2002, Ms. Warren served as director of Nike Global Community Affairs and the Nike Foundation. priority to that she directed community relations for Levi Strauss and Co. and its foundation, and worked for AT&T and its foundation in community relations, human resources and other capacities.
lululemon athletica inc., together with its auxiliaries, designs, manufactures, and distributes athletic apparel and accessories for women, men, and female youth. It operates through two segments, Corporate-Owned Stores and Direct To Consumer. The company offers pants, shorts, tops, and jackets for healthy lifestyle activities and athletic pursuits, such as yoga, running, and general fitness; and dance-inspired apparel for female youth.
Finally, Shares of IAMGOLD Corp (USA) (NYSE:IAG), ended its last trade with 3.90% gain, and closed at $1.47.
IAMGOLD Corporation, declared the opening of its simplified public tender offer (the “Offer”) to acquire all of the outstanding common shares of EURO Ressources S.A. (“EURO”) that the Company does not already own for cash consideration of €2.84 per share, declared compliant by the French Market Authority (Autorité des Marchés Financiers (“AMF”)) on November 12th, 2015.
The Offer price represents a noteworthy premium of 32.1% based on the three (3) month volume-weighted average price and 31.5% based on the closing price on October 23rd, 2015, the day preceding to the declaration of the filing of the draft Offer for AMF review. Furthermore, the Offer price represents a premium of 60.0% to the Discounted Cash Flow valuation (central case) of EURO as estimated by the presenting bank as its primary valuation method, and approved by the AMF, and as described in the Information Note available on the AMF (www.amf-france.org) and IAMGOLD (www.iamgold.com) websites.
IAMGOLD Corporation primarily engages in the exploration, development, and operation of gold mining properties. It also explores for silver and copper deposits. The company holds interests in four operating gold mines, in addition to exploration and development projects located in Africa, South America, and Canada. IAMGOLD Corporation was incorporated in 1990 and is headquartered in Toronto, Canada.