Higher oil prices bode well for Dana Gas, as the energy producer and explorer continues its production on the Nile Delta.
Dana shares up as oil price nears $100
Dana Gas was the most active stock on the Abu Dhabi exchange yesterday, gaining as Brent crude prices approached US$100.
The gas explorer and producer said this month that it would keep all its concessions in Egypt's Nile Delta. Earlier, the company had been looking to farm out as much as 30 per cent.
"As oil reaches $100, considering the by-products that Dana Gas produces, they are in a much better position than when the commodity was previously trading at $60," said Scott Darling, an analyst at Nomura Securities in Dubai. Dana Gas rose 1.6 per cent to 76 fils.
The Abu Dhabi Securities Exchange General Index closed the week 0.6 per cent lower at 2,737.65. The Dubai Financial Market General Index declined 2.4 per cent to 1,624.94.
Analysts attributed the slowness of local markets to a lack of positive catalysts, as fourth-quarter results are not expected to come in before the last week of this month.
Haissam Arabi, the chief executive of Gulfmena Alternative Investments, said: "If fourth-quarter results would come out next week, that would be great, but they usually only begin in late January."
In Dubai yesterday, Emaar Properties rose 0.5 per cent to Dh3.45.
Elsewhere in the region, Kuwait's index declined 0.1 per cent to 6,936.30, Bahrain's rose 0.3 per cent to 1,431.54, Oman's advanced 0.6 per cent to 7,026.94, and Qatar's was up 0.1 per cent at 7,026.94. The Saudi Tadawul All-Share Index was closed for the day.