Energy stocks were higher late Tuesday afternoon, with the NYSE Energy Sector Index rising 1% and the Energy Select Sector SPDR Fund (XLE) up 0.9%.

The Philadelphia Oil Service Sector index added 0.7%, while the Dow Jones US Utilities index shed 0.5%.

Front-month West Texas Intermediate crude oil rose 1% to $74.28 a barrel, and the global benchmark Brent crude contract advanced 1% to $77.08 a barrel. Henry Hub natural gas futures were falling 6.6% to $3.43 per 1 million BTU.

In corporate news, Hallador Energy (HNRG) shares rose nearly 6% after it said Hallador Power has entered into an exclusive energy supply negotiation agreement with a data center developer.

Precision Drilling (PDS) said Tuesday it cut its debt by $176 million in 2024, achieving the midpoint of its debt reduction target. Its shares popped 5.1%.

Liberty Energy (LBRT) shares rose 2.5% after it said Tuesday it signed a memorandum of understanding to provide power systems to direct current equipment supplier DC Grid for clients operating data center shelves and charging hubs for electric vehicle fleets.

Exxon Mobil (XOM) is suing California Attorney General Robert Bonta and several environmental groups, alleging they defamed and disparaged the company's plastics recycling initiatives, according to a complaint filed Monday. Exxon shares were adding 0.9%.