SHARE OF THE WEEK: Energy price surge created bonanza for Shell and BP, both of whom reported huge profits, investors hope Harbour will follow suit
While next week is shaping up to be a thin one for corporate results, oil and gas group profits will remain in focus when Harbour Energy reports its half-year figures on Thursday.
The FTSE 250 firm is the North Sea’s biggest oil and gas producer and also has projects in other countries including Norway, Indonesia and Vietnam.
Oil prices have surged by nearly 25 per cent so far this year following supply disruption caused by the war in Ukraine and a jump in demand as the relaxation of lockdown restrictions sparked a rebound in fuel consumption.
The energy price surge has created a bonanza for the likes of Shell and BP, both of whom reported booming profits.
Investors will be hoping Harbour will follow suit.
They will also hope for more share buybacks after the company announced a £167m stock repurchase programme in June.
But given its heavy focus on the North Sea, there will also be concerns the company could find itself at the sharp end of the UK’s windfall tax on oil and gas profits, which was unveiled earlier this year by then-Chancellor Rishi Sunak.
Harbour’s boss Linda Cook previously warned the tax would force it to reduce investment plans in Britain, so investors will be watching for signs she is acting on her words and diverting resources to other areas of the business.
The energy sector will be in focus earlier in the week when engineering group John Wood Group, which helps to build structures including oil rigs and refineries, posts its half-year figures on Tuesday.