It’s a good day on the market for the Beach Energy Ltd (ASX: BPT) share price despite no word having been released by the company.
The energy company’s stock might be gaining due to higher oil prices. The black liquid’s value lifted overnight, reportedly on the back of supply concerns.
At the time of writing, the Beach Energy share price is $1.6125, 4.03% higher than its previous close.
For context, the S&P/ASX 200 Index (ASX: XJO) has lifted 1.51% at the time of writing with the S&P/ASX 200 Energy Index (ASX: XEJ) outperforming all other ASX 200 sectors.
Let’s take a closer look at what might be going on with the oil and gas company on Tuesday.
Beach Energy share price gains alongside oil prices
Beach Energy’s stock is lifting today, tracking upwards with both global oil prices and its home sector.
The Brent crude oil price lifted 0.9% to US$114.13 a barrel overnight, according to CommSec. Meanwhile, the West Texas Intermediate crude price rose 0.6% to reach US$110.27 a barrel.
The rise was likely due to concerns oil supply will remain tight amid continued sanctions on Russian oil and despite worries of a recession in the US, according to Reuters.
The news is probably helping the energy sector outperform on Tuesday. It’s currently 3.33% higher, coming in as today’s best-performing ASX 200 sector.
Meanwhile, the Beach Energy share price is the sector’s third-best performer, behind Paladin Energy Ltd (ASX: PDN) and Whitehaven Coal Ltd (ASX: WHC). They’ve lifted 9.2% and 7.05% respectively at the time of writing.
Beach’s share price is also likely recovering from yesterday’s 8% tumble. That drop followed news the company is prioritising a new opportunity over the development of an existing reserve.
Today’s gain included, the Beach Energy share price is around 28% higher than it was at the start of 2022. It has also gained approximately 26% since this time last year.