Sunday, April 5, 2020

Brazil News

OPEC+ Debates Biggest Ever Oil Output Cut as Virus Destroys Demand

Image by OSORIOartist - AdobeStock

OPEC and allies are working on a deal for an unprecedented production cut equivalent to around 10% of global supply, an OPEC source said after U.S. President Donald Trump called on oil nations to stop the oil rout caused by the coronavirus pandemic. The meeting of OPEC and allies such as Russia has been scheduled for Monday, April 6, Azeri's energy ministry said…

Deepwater Acreage to Attract Investments

Image: Norwegian Petroleum Directorate

Deepwater acreage will continue to attract significant company interest through 2020, said a report.According to GlobalData, a significant portion of the acreage available in Q1 2020 is located in either deep or ultra-deep water, up from the previous quarter.In Q1 2020, approximately 60% of the acreage available in licensing rounds either…

US Sanctions on Rosneft Trading Shifting Crude Flows

© Nikita Maykov / Adobe Stock

U.S. sanctions on Russian Rosneft's trading arm will disrupt a slice of global crude flows and may prompt refineries in Europe, India and the United States to shift purchases to other crude suppliers, traders said.The United States on Tuesday redoubled efforts to oust Venezuelan President Nicolas Maduro by barring U.S. dealings with Rosneft Trading S.A.…

Brazil Breaks Oil Output Record in January

Illustration; An FPSO in Brazil - Image by Ranimiro / AdobeStock

Oil companies produced 3.17 million barrels per day (bpd) on average in Brazil in January, a volume 20.4% larger than seen in the same month a year earlier and an output record for the country, oil regulator ANP said on Wednesday. Natural gas production increased 22% over January 2019 to 138.7 million cubic meters per day on average last month, also a record.

PetroRio to Acquire OSX-3 FPSO for $140M

FPSO OSX-3 - Image by PetroRio

Brazilian oil company PetroRio has agreed to buy the OSX-3 FPSO for $140 million, and acquire an 80 percent stake in the Dommo Energia's Tubarao Martelo field off Brazil where the FPSO is currently deployed. The OSX-3 FPSO was built and delivered to the Tubarão Martelo Field in 2012. It has the capacity to process 100,000 barrels of oilper…

Exxon to Load First Crude from Guyana This Weekend

The Liza Phase 1 development project utilizes the Liza Destiny floating, production, storage and offloading (FPSO) vessel moored approximately 120 miles offshore Guyana, with four undersea drill centers supporting 17 wells. (Photo: Hess Corp)

The first-ever cargo of Guyana's crude for export is scheduled to begin loading this weekend so the oil can be processed at Exxon Mobil's refining system, the company told Reuters on Friday.Exxon has so far made 15 discoveries of oil reserves in Guyana, turning a risky exploration venture into one of the world's most promising oil mega-projects.

Brazilian Beaches Hit by Second Oil Spill

© Arun Roisri / Adobe Stock

Crude oil smudges have been spotted at some Brazilian beaches in the northeast state of Ceará, the country's navy said on Monday, almost two months after the area was hit by another oil slick.That was part of a broader spill, whose origin remains a mystery, that stained hundreds of beaches on Brazil's northeast coast between September and November…

Africa: Strong Scope for Offshore Licensing in 2020

Image: Total

Throughout 2019 Africa has led licensing round activity; looking forward to 2020 this is set to continue, however results of the recent rounds have had limited success in a global context.Eight licensing rounds are open or have closed in Africa during the quarter and going forward 13 countries may offer acreage in 2020, said a report by…

Oil Consumption Tracking is All About Asia

© Vic / Adobe Stock

Oil market analysts must make sense of a bewildering array of statistics about production, consumption and inventories, compiled and published with varying definitions and degrees of accuracy and timeliness.The challenge is to form an accurate and nuanced picture of the whole market capable of generating useful forecasts, without becoming…

Offshore: OSV Market Report

Photo courtesy Ulstein Group/Marius Beck Dahle

The environment in oil patches onshore and offshore alike has been challenging throughout 2019; worries about an economic slowdown – whether cyclical or induced by a trade war – have weighed heavily on oil prices, even in the face of reduced production by the big producers. Though storm clouds persist, there appears a clearing on the horizon.The fate of Offshore Service Vessels (OSVs) is…

Sapura Energy Secures New Order

Image: Sapura Energy

Malaysian oil and gas services firm Sapura Energy has secured several new contracts and contract extensions for its engineering and construction (E&C) as well as drilling segments.The contracts, valued at approximately RM615 million (USD 148 million), brings the total order book year-to-date to RM15.1 billion, which will increase work volume and utilization of assets.Building on its long-term relationship…

Petronas in Game for a Third FLNG Unit

Image: Petronas

Malaysian oil and gas company Petroliam Nasional Berhad (Petronas) would build a third floating liquefied natural gas (FLNG)unit if there’s a demand.Petronas is the only company to own and operate two FLNGs, namely PFLNG Satu and PFLNG Dua.Bernama reported, quoting the gas and new energy business executive vice-president and chief executive officer Adnan Zainal Abidin…

Avenir LNG in Brazilian Pact with Golar Power

Pic: Avenir LNG

Small-scale liquefied natural gas (LNG) supplier Avenir LNG announced that it will collaborate with the Bermuda-registered Golar Power in developing the small-scale LNG market in Brazil.Avenir’s second 7,500 cbm LNG Carrier will be used to deliver LNG to various ports across Brazil upon delivery. The vessel will also offer ship-to-ship bunkering capability as part of Avenir’s global multi-nodal bunkering solution…

Petrobras to be World's Largest Oil Producer

Graph: Rystad Energy

Brazil’s Petrobras is on track to become the world’s largest oil producer among publicly listed companies by 2030, based on Rystad Energy’s latest data and forecasts.Brazil’s biggest-ever oil auctions in November were generally deemed to be disappointing, receiving muted interest from international exploration and production companies.However, national oil company Petrobras could not have asked for a better outcome.

Oil Prices Gain 2%

© Pavel Ignatov / Adobe Stock

Oil futures gained nearly 2% on Friday as comments from a top U.S. official raised optimism for a U.S.-China trade deal, but worries about increasing crude supplies capped prices.Benchmark Brent crude gained $1.13, or 1.8%, to $63.41 a barrel, while West Texas Intermediate crude rose 93 cents, or 1.6%, to $57.70 a barrel.Brent and WTI were both on track to post their second straight weekly gain.

Japanese Firms in Brazilian FPSO Gig

Image: MODEC

Japanese companies have decided to proceed with the deepwater floating production, storage, and offloading system (FPSO) charter project for the Petrobras-operated Búzios pre-salt oil field located offshore Brazil.MODEC, Mitsui & Co., Mitsui O.S.K. Lines (MOL), and Marubeni Corporation have agreed that Mitsui, MOL, and Marubeni will invest…

Shell Eyes Brazil Exploration Areas

The head of Royal Dutch Shell Plc in Brazil said on Friday that it currently made more sense for the company to look for exploration areas.Speaking after Brazil's disappointing oil auctions this week, which Shell chose to sit out, Andre Araujo said the Buzios block, where state-run oil company Petroleo Brasileiro SA won rights to extract proven reserves, is an area that any company would want.

Big Oil Stuns Brazil in Back-to-back Auction Flops

© Simon Mayer / Adobe Stock

Major global oil firms snubbed a second Brazilian oil auction in a row on Thursday, passing up offshore blocks and forcing officials to reconsider a bidding system that gives a privileged position to state-run Petroleo Brasileiro SA.The only block awarded in Thursday's bidding went to Petrobras, as the Brazilian state-run firm is known…

Moment of Truth for Brazilian Oil Auction is Here

Reuters graphic of Brazil Oil blocks

Executives from many of the world's biggest oil companies gathered in Rio de Janeiro on Wednesday to compete in Brazil's long-awaited transfer-of-rights (TOR) oil bidding round, the largest offer of crude and gas reserves in the nation's history.Lawyers and executives have been working feverishly in recent weeks to sort out terms of consortia…

Top Shale CEO Says OPEC Shouldn't Worry About U.S. Oil Growth

© ??????? ??????? / Adobe Stock

Pioneer Natural Resources Chief Executive Scott Sheffield said on Tuesday that he expects the Permian Basin, the top U.S. shale field, to "slow down significantly over the next several years.""I don't think OPEC has to worry that much more about U.S. shale growth long term," Sheffield said on Tuesday on a call with analysts.U.S. shale fields have driven domestic production to all time highs…