Energy stocks were higher Friday afternoon, with the NYSE Energy Sector Index up 0.6% and the Energy Select Sector SPDR Fund (XLE) adding 0.8%.

The Philadelphia Oil Service Sector index dropped 0.9%, and the Dow Jones US Utilities index eased 0.1%.

Front-month West Texas Intermediate crude oil was declining 1% to $70.57 a barrel while the global benchmark Brent crude contract shed 0.6% to $74.58 a barrel. Henry Hub natural gas futures rose 3% to $3.74 per 1 million BTU.

In corporate news, Diamondback Energy (FANG) is in talks to buy Double Eagle in a deal potentially valuing the business at over $5 billion, The Wall Street Journal reported. Diamondback shares were down fractionally.

Enbridge (ENB) Chief Executive Greg Ebel said Friday on Bloomberg TV that the scrapped Northern Gateway oil pipeline proposal would be difficult to revive without major legislative changes in Canada. Enbridge shares were falling 3.7%.

Epsilon Energy (EPSN) shares popped nearly 4% after the company said late Thursday its board approved a new one-year program under which the company may repurchase up to 2.2 million shares for an aggregate purchase price of not more than $13 million.