The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.

2136 ET - Beach Energy remains one of Morgan Stanley's least-preferred Australian energy stocks ahead of its 4Q production update. Recent swings in oil prices have been positive for Beach, and MS raises its EPS estimate for FY 2025 by 4%. However, MS pushes back its expectation for maiden natural gas output from the Waitsia Stage 2 project in Western Australia to the September quarter. "And we lifted tolls and tariffs and third party gas costs [one LNG cargo in June quarter], only partially offset by field production cost decline," analyst Rob Koh says. Those changes result a 7% cut to its FY 2026 EPS forecast, and a 1% reduction to its outlook for FY 2027. (david.winning@wsj.com; @dwinningWSJ)

2126 ET - OPEC+'s bigger output increase supports the view for further oil-price downside, ING's commodities strategists say in a research report. The group agreed on a larger-than-expected supply hike of 548,000 barrels per day for August, more than the 411,000 barrels-per-day increase seen in the preceding months, the strategists note. "A more bearish supply outlook, combined with demand uncertainty, doesn't bode well for prices," the strategists say. ING still forecasts Brent crude oil to decline toward $60.00/bbl by the year-end on expectations that OPEC+ will boost supply again for September. Front-month Brent crude oil futures are down 1.0% at $67.61/bbl; front-month WTI crude oil futures are 1.8% lower at $65.82/bbl. (ronnie.harui@wsj.com)

1937 ET - Oil falls in the early Asian session on the larger-than-expected output increase by OPEC+. The group announced on Saturday that it will raise production by 548,000 barrels a day in August. The planned boost to oil output comes after the group hiked production by 411,000 barrels a day in May, June, and July. Another 411,000 barrels-per-day increase had been widely expected for August. Front-month WTI crude oil futures are down 1.4% at $66.04/bbl; front-month Brent crude oil futures are 0.7% lower at $67.85/bbl. (ronnie.harui@wsj.com)

1856 ET - The prices that Metro Mining expects to achieve for its bauxite in 3Q fall short of Shaw & Partners's expectations. Still, the bank continues to rate the company among its top emerging company picks for 2025. Metro Mining said on Friday that prices for 3Q shipments will be down on the previous quarter but in line with what was achieved in 4Q of 2024. "That is about A$5/wet metric ton lower than we had previously modelled," analyst Andrew Hines says. Still, Metro Mining will generate approximately A$60 million of free cash flow in 3Q and move to a net cash position by the end of the current quarter. "That is not reflected in the current share price," Shaw says. It retains a A$0.17/share price target. Metro Mining ended last week at A$0.069. (david.winning@wsj.com; @dwinningWSJ)

(END) Dow Jones Newswires

July 06, 2025 21:36 ET (01:36 GMT)

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