NEW YORK (TheStreet) -- Shares of Anadarko Petroleum Corp. (APC) are higher by 5.90% to $78.04 in early afternoon trading on Wednesday, as the energy sector rises due to the slight gain in oil prices.
Brent crude for January delivery is higher by 4.29% to $58.33 per barrel on the NYMEX this afternoon.
The rise in oil prices is due to a smaller than expected drop in U.S. crude supplies, MarketWatch reports.
The U.S. Energy Information Administration said crude oil inventories were lower by 800,000 barrels for the week ended December 12. Analysts polled by Platts had expected a decline of 2.5 million barrels, MarketWatch added.
Additionally, the South African Nation of Mozambique issued a new law allowing groups, led by Anadarko and Eni SpA (E) , to move ahead with multi-billion dollar gas projects. The law sets legal and financial terms allowing a large portion of the revenue to be kept offshore, Bloomberg reports.
The two companies are said to be considering whether or not to develop offshore fields that Mozambique's national oil company estimates to hold 250 trillion cubic feet of gas, enough to meet world consumption for over two years, Bloomberg added.
Separately, TheStreet Ratings team rates ANADARKO PETROLEUM CORP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation: