OIL

BHPB raising cash, falling oil price hits stock

Resource giant, BHP Billiton is looking to raise cash after National Australia Bank, UBS Warburg ...

However, despite a successful investor roadshow that took in Brisbane, Melbourne and Sydney last week, analysts have downgraded their earnings' expectations for the resource giant as demand for commodities slides along with the slowing global economy.

BHPB's share price went below the $10 mark to close at $9.63. The slump in oil prices was the main factor in the fall. Last week the price of crude fell to a two year low of $17.45 a barrel after non-OPEC nations such as Russia refused to cut production.

Oil analysts wound back earning expectations of BHPB after factoring in average crude price of $US20 bbl rather than the previous number of $US21.50 bbl.

The deteriorating oil price has not affected the company's credit rating. The resource giant is rated A (positive outlook) by Standard and Poor's and A3 (positive outlook) by Moody's Investor Services.

TOPICS:

A growing series of reports, each focused on a key discussion point for the energy sector, brought to you by the Energy News Bulletin Intelligence team.

A growing series of reports, each focused on a key discussion point for the energy sector, brought to you by the Energy News Bulletin Intelligence team.

editions

ENB CCS Report 2024

ENB’s CCS Report 2024 finds that CCS could be the much-needed magic bullet for Australia’s decarbonisation drive

editions

ENB Cost Report 2023

ENB’s latest Cost Report findings provide optimism as investments in oil and gas, as well as new energy rise.

editions

ENB Future of Energy Report 2023

ENB’s inaugural Future of Energy Report details the industry outlook on the medium-to-long-term future for the sector in the Asia Pacific region.

editions

ENB Cost Report 2021

This industry-wide report aims to understand current cost levels across the energy industry