Energy stocks were lower Thursday afternoon, with the NYSE Energy Sector Index shedding 0.3% and the Energy Select Sector SPDR Fund (XLE) easing 0.2%.

The Philadelphia Oil Service Sector index dropped 2.4%, while the Dow Jones US Utilities index rose 1.7%.

Front-month West Texas Intermediate crude oil was declining 2.4% to $61.61 a barrel, and the global benchmark Brent crude contract was dropping 2.4% to $64.49 a barrel.

US natural gas stocks rose by 110 billion cubic feet in the week ended May 9, as expected in a survey compiled by Bloomberg and following an increase of 104 billion cubic feet in the previous week.

Henry Hub natural gas futures were 2% lower at $3.42 per 1 million BTU.

In corporate news, Phillips 66 (PSX) shares were down 0.5% after it said Thursday a subsidiary has agreed to divest a 65% interest in its German and Austrian retail marketing business.

Shell (SHEL) paid out about $28.1 billion related to its extractive activities to governments around the globe in 2024, according to a company report released Thursday. Shell was down 0.1%.

Eni (E) said Thursday it entered a period of exclusivity with Ares Alternative Credit Management to negotiate a definitive agreement for the sale of a 20% stake in Plenitude at an equity valuation of 9.8 billion euros ($10.98 billion) to 10.2 billion euros. Eni shares shed 0.7%.