While most energy companies have already reported financial results for the second quarter of 2012, several large operators will report earnings this week and provide more evidence on current conditions in the North American onshore.

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Upcoming Earnings
Chesapeake Energy
(NYSE:CHK) reports on Monday, August 6, with the street looking for earnings of 7 cents per share. Even more important for investors will be any insight that management offers during its conference call on activity in the onshore United States. The company is present in all the major onshore basins and will have much to add to the current debate on the strength and trajectory of the drilling cycle.

Concho Resources (NYSE:CXO) will also offer similar insight on conditions in the Permian Basin, where the company has its operations. The company reports after the close of trading on August 6, and the Street is looking for 99 cents per share.

On the oil services side, C&J Energy Services (NYSE:CJES) reports after the market closes on Wednesday, August 8, with analysts expecting earnings of 92 cents per share. C&J Energy Services provides pressure pumping, hydraulic fracturing and coiled tubing services, and is active in most of the major unconventional plays in the U.S.

SEE: A Guide To Investing In Oil Markets

Exploration Success
Last week, Eni (NYSE:E) reported yet another natural gas discovery in offshore Mozambique, adding to the horde of resources found in this area. The company said that the success of the Mamba North East 2 exploration well adds an additional 10 Tcf of natural gas in place to Area 4, bringing the total here to 62 Tcf. Eni is the operator of Area 4 and owns 70% of the license area.

Development Sanctioned
Chevron Corporation (NYSE:CVX) announced the approval of the development of the Lianzi field located offshore of West Africa near Angola and the Republic of Congo. The project will cost an estimated $2 billion, with oil and gas production transported to an existing platform in Angolan waters. Chevron expects first production from Lianzi in 2015 and peak gross production of 46,000 barrels of oil equivalent (BOE) per day. The company is the operator of the field and owns 31.25%, with Total (NYSE:TOT) and Eni involved on a non-operated basis.

SEE: Oil And Gas Industry Primer

Chevron is also moving forward with the expansion of a natural gas field in Bangladesh, increasing production by 300 million cubic feet per day at the Bibiyana Field. The expansion will cost $500 million and start up in 2014, bringing the company's total natural gas production in Bangladesh to 1.4 billion cubic feet per day.

Joint Venture
The recent drop in oil prices has not dissuaded further investment in the onshore U.S. as Devon Energy (NYSE:DVN) signed a joint venture agreement last week with Sumitomo Corporation. The company will pay $1.4 billion and receive a 30% share of 650,000 net acres in the Permian Basin that is prospective for the Cline and Wolfcamp Shale.

The Bottom Line
Energy earnings season is ending and has provided investors with plenty of information to use to incorporate into their fundamental analysis of the sector. Investors should use this information to adjust stock positions and sector allocations accordingly.

At the time of writing, Eric Fox did not own shares in any of the companies mentioned in this article.

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