Lyondell Basell’s quarterly profits fall

The Houston chemical maker LyondellBasell’s second quarter profits fell nearly 40 percent from the previous year as the petrochemical industry contends with lower prices, plentiful supplies and tariffs.

LyondellBasell said it earned $1 billion in the second quarter, down from nearly $1.7 billion during the same period in 2018. Second quarter revenues fell 12 percent to about $9 billion from $10.2 billion a year earlier.

LyondellBasell missed Wall Street expectations. It earned $2.70 per share, compared to analyst estimates of $2.83. Revenues missed, too: analysts expected about $9.6 billion.

Although the company enjoyed cheaper prices for feedstocks such as heavy crude oil and natural gas liquids during the second quarter, the prices and margins for ethylene and other products also fell. The company, which also operates

a refinery in Houston, said that low discounts on heavy crude pressured its refining margins.

Lyondell-Basell’s stock fell 6.6 percent Friday to close at $77.14 a share. Sergio Chapa

EOG’s profit jumps

EOG Resources said its

profits and revenues jumped in the second quarter as it increased oil and gas production and held expenses down.

Profits jumped 22 percent in the second quarter to $848 million from $697 million during the same period in 2018. Revenues climbed 11 percent to $4.7 billion from $4.2 billion a year earlier.

“EOG is positioned to generate significant shareholder value even in lower

oil price environments,” said Chief Executive Bill Thomas. “Every facet of the company is generating improved performance each quarter, from drilling and completions to production and marketing. To put it simply, EOG’s business is stronger than ever.”

EOG said it increased its quarterly crude oil production 18 percent from last year up to 455,700 barrels of oil per day, a company record. Natural gas and natural gas liquids outputs also rose, contributing to total company production growth of 16 percent.

EOG continues to rely heavily on its foundation in South Texas’ Eagle Ford shale while also focusing on growth in West Texas’ booming Permian Basin.

EOG’s stock rose 1.7 percent to close at $82.46 a share. Jordan Blum