Friday, September 21, 2018

Delaware News

U.S. Imports of Nigerian Crude Fall to 3-year Low

© keller / Adobe Stock

U.S. crude oil imports from Nigeria in July plunged to the lowest level in three years and are continuing to slip as Asian and European buyers increase purchases, trade flow data from Thomson Reuters and market intelligence firms Genscape and Kpler show.A narrowing spread between benchmark Brent and Oman crude futures <DUB-EFS-1M>, trading at less than $2 a barrel compared with more than $4 in May, has made Nigerian crude more attractive to Asian buyers than U.S. refiners.

Devon Energy to Sell EnLink Midstream Stakes

Oil and gas producer Devon Energy Corp said on Wednesday it plans to sell its stakes in EnLink Midstream for $3.13 billion cash in a bid to streamline assets and pare debt."The EnLink proceeds, combined with proceeds from the non-core E&P assets already sold and those currently being marketed, will exceed our $5 billion divestiture target," Chief Executive Officer Dave Hager said in statement.Shares of the company rose more than 6 percent to $41.85 before the bell.Devon is trying to simplify its asset portfolio…

TGS commences onshore seismic project in Permian Basin

West Kermit 3D Image TGS

TGS announces commencement of field operations on the West Kermit 3D seismic survey in the Delaware Basin. This project will encompass a minimum of 150 square miles in Loving and Winkler Counties, TX. This high resolution 3D survey is designed to assist in the evaluation and development of multiple zone potential including highly productive Wolfcamp and Bone Spring intervals. Data Acquisition is expected to begin in early Q2 2017 with final data available to clients in Q4 2017.

ExxonMobil Earns $7.8 Bi in 2016

Earning Summary

Exxon Mobil Corporation today announced estimated 2016 earnings of $7.8 billion, or $1.88 per diluted share. An asset recoverability review was completed in the fourth quarter and resulted in a U.S. Upstream asset impairment charge of about $2 billion mainly related to dry gas operations with undeveloped acreage in the Rocky Mountains region of the U.S. Excluding the impairment charge, full year earnings were $9.9 billion compared with $16.2 billion a year earlier, reflecting lower commodity prices and refining margins.

Shell Renegotiating Permian JV with Anadarko

Royal Dutch Shell and Anadarko Petroleum are renegotiating their five-year-old joint venture in the Permian shale basin in Texas, Shell Chief Financial Officer Simon Henry said on Thursday. The 50-50 JV in the Delaware basin, which expires this year, will likely see the operatorship of the asset "consolidated in a different way", Henry said in an earnings presentation to analysts. The Anglo-Dutch oil and gas company is in the midst of a $30 billion global asset disposal programme and has previously said it has put up for sale two assets in its U.S. shale portfolio.

US Judge to Approve Peabody Ch. 11 Plan, Subject to DOJ Talks

A U.S. bankruptcy judge said on Thursday he would approve a plan by Peabody Energy Corp , the world's largest private sector coal producer, to exit Chapter 11 bankruptcy subject to discussions with the U.S. Department of Justice.   (Reporting by Tom Hals in Wilmington, Delaware; Editing by Chris Reese)

Marathon Adds to Permian Acreage with $700 Mln Buy

Marathon Oil Corp said on Tuesday it bought additional acreage in the Permian basin for about $700 million, the company's second purchase in less than two weeks as it focuses on higher-margin, lower-cost U.S. assets. The about 21,000 acres, situated in the Northern Delaware basin of New Mexico, was acquired from Black Mountain Oil & Gas and other private players, the company said. Marathon, which has said it would exit its Canadian oil sands business, bought up about 70,000 net surface acres in the oil-rich Permian basin for $1.1 billion earlier this month.

As Texas Output Surges, Cash Discounts Soar

File Image (CREDIT: AdobeStock / Edelweiss)

Surging West Texas oil production has pushed the value of the region's spot crude to its lowest discount to the U.S. oil benchmark in nearly two years, as an exuberant shale industry pumps more to take advantage of higher prices and demand from refiners who have seen supplies cut by top global producers. OPEC and non-OPEC suppliers are working toward cuts of 1.8 million barrels per day, around 2 percent of the 92 million bpd global market, as they try to bring down record oil inventories and raise prices.

Blackstone to buy EagleClaw Midstream

File Image (CREDIT: AdobeStock / (c) pisotckii)

EagleClaw Midstream Ventures LLC said on Monday it agreed to be bought by funds managed by Blackstone Group LP for about $2 billion.   EagleClaw Midstream Ventures LLC, which owns and operates natural gas pipelines and processing facilities, said the all-cash deal includes about $1.25 billion in debt, financed by Jefferies LLC.   EagleClaw is the largest privately held midstream operator in the Permian's Delaware Basin in West Texas. Reporting by Arathy S Nair

Blackstone to Buy EagleClaw Midstream

EagleClaw Midstream Ventures LLC, the largest privately held operator of pipelines and processing facilities in West Texas' Delaware Basin, said it agreed to be bought by funds managed by Blackstone Group LP for about $2 billion. Private-equity funds, including Blackstone, Carlyle Group , and CVC Partners, have built up significant firepower in recent years to invest in the oil and gas industry, where asset prices have dipped sharply since crude oil prices collapsed mid-2014. Blackstone said in August it would invest about $1.5 billion in the oil-rich Permian basin.

Halcon Resources to Shed Some Williston Assets

File Image (CREDIT: AdobeStock / (c) Edelweiss)

Oil producer Halcon Resources Corp said on Tuesday it would sell assets it operates in the Williston Basin to Bruin E&P Partners for $1.4 billion in cash, as it looks to focus on the more lucrative Delaware Basin. Halcon shares were up 40 percent at $6.30 in premarket trading. The Delaware basin, part of the larger Permian Basin, has seen a slew of land acquisitions as producers scramble to gain or expand positions in the top U.S. oil field. The assets to be sold produce about 29,000 barrels of oil equivalent per day, Halcon said in a statement.

Coyanosa Survey Phase 1 Set to Begin

A FairfieldNodal and Schlumberger WesternGeco multiclient joint venture project in the southern Delaware Basin of West Texas, known as Coyanosa Phase I, is scheduled to begin shooting late-August. This initial phase, to be acquired by Dawson Geophysical, will consist of 307 square miles of high-quality, 3D seismic data in Ward, Reeves and Pecos Counties, Texas. Of particular interest are the Bone Spring and Wolfcamp formations. The resulting 3D data will tie…

Anadarko Petroleum to Buy Back $2.5 Bln in Shares

Anadarko Petroleum Corp said on Wednesday that its board had authorized a $2.5 billion share repurchase program through 2018.   The company's shares were up 3.8 percent at $46.5 in after-market trading.   Anadarko also reaffirmed its 2017 production forecast for its Gulf of Mexico and Delaware Basin assets. (Reporting by Yashaswini Swamynathan in Bengaluru; Editing by Maju Samuel)

Anadarko Petroleum Eyes 2018 Sales Rise

(Photo: Anadarko Petroleum)

Anadarko Petroleum Corp on Thursday forecast an 11 percent rise in sales volumes for 2018, as shale producers boost oil output aggressively, taking advantage of recovering oil prices. The Woodlands, Texas-based oil and gas producer said it expects to sell 245-255 million barrels of oil equivalent (MMBOE) in 2018, higher than the 224-228 MMBOE it forecast for 2017. The company expects to spend $4.2 billion to $4.6 billion in 2018, with about 80 percent for the Delaware and DJ basins, including its midstream and deepwater assets in the Gulf of Mexico.

Oasis Petroleum to buy Permian Assets

File Image (CREDIT: AdobeStock / (c) Edelweiss)

Oil and gas producer Oasis Petroleum Inc said on Monday it would buy 20,300 net acres in the Delaware Basin from privately-held Forge Energy LLC for about $946 million.   Oasis said it will would buy the acreage, which produced 3,500 barrels of oil equivalent in November, in cash and stock.   Reporting by Ahmed Farhatha

Oasis Looks Beyond North Dakota to Permian Basin

File Image (CREDIT: AdobeStock / (c) Edelweiss)

Oasis Petroleum Inc, the last major oil producer operating exclusively in North Dakota's Bakken shale formation, is heading south to the nation's largest oilfield, pursuing a pricey expansion as investors worry about maturing shale fields. Oasis shares have tumbled 21 percent following last week's disclosure, pointing to growing tension between oil producers looking to invest in their future and investors demanding better returns. Oasis said the $946 million cash-and-stock investment secures a premier foothold in the Delaware basin area of the Permian…

Crystallex Pursues Citgo as Vens Miss Payment Deadline

Mining company Crystallex International Corp said on Thursday Venezuela failed to honor a settlement and urged a federal judge to allow it to seize control of U.S. refiner Citgo Petroleum Corp, which is owned by the country's state oil company. Canada-based Crystallex won a 2016 international arbitration award of $1.2 billion against Venezuela, which has refused to pay. The company had been trying to collect by seizing shares of Citgo's U.S. parent company, which is owned by Venezuelan state oil company PDVSA.

After Florida, more States Press US for Offshore Drilling Exemptions

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Governors and other officials from several U.S. coastal states ramped up pressure on the Trump administration on Wednesday to exempt their waters from an offshore drilling plan, hours after the Interior Department granted Florida's request to opt out. The backlash could complicate President Donald Trump's efforts to expand oil and gas production offshore. A proposed leasing plan unveiled last week aims to open up all U.S. coasts to drillers over the next five years. Alaska and Maine are the only two U.S. states whose governors have expressed support for the plan.

California to Ban Crude from Trump Offshore Drilling Plan

© Don Bright / Adobe Stock

California will block the transport of petroleum from new offshore oil rigs through its state, officials told Reuters, a move meant to hobble the Trump administration’s effort to vastly expand drilling in U.S. federal waters. California's threat to deny pipeline permits for transporting oil from new leases off the Pacific Coast is the latest step by states trying to halt the biggest proposed expansion in decades of federal oil and gas leasing. Officials in Florida…

EPA Announces Funding to Reduce Diesel Emissions

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Preference given to fleets in areas facing air quality challenges. The U.S. Environmental Protection Agency (EPA) announced the availability of grant funding to modernize the nation’s diesel fleet by retrofitting or replacing vehicles with cleaner, more efficient diesel engines. EPA anticipates awarding approximately $40 million in Diesel Emission Reduction Program (DERA) grant funding to eligible applicants, subject to the availability of funds. “These grants will incentivize improvements to aging diesel fleets and improve air quality throughout the country…