Baker Hughes reports that US energy companies have cut back on drilling for the first time in six-weeks.
Baker Hughes, a closely-followed energy'services' firm, said in a report on Friday that U.S. firms have cut back the number of operating rigs for the first six weeks. Total oil and gas rig counts, an indicator of future production, dropped by one in the week ending July 24. This is the lowest level since mid-July. Baker Hughes said that despite this week's decline in rig count, the total number was still 45 rigs or 8% higher than this time last. Baker Hughes reported that oil rigs dropped by two this week to 450, their lowest level since mid July, while gas-fired rigs climbed by one to 127 - the highest level since mid May - and miscellaneous or other rigs remained at 10.
FT reports that BP is close to a deal to sell its solar business to a Kuwait-backed group.
The Financial Times reported that BP has advanced discussions to sell its Lightsource solar business to a consortium backed Kuwait's sovereign fund. The energy giant is focusing on oil and natural gas in order to boost?returns. The report, citing sources familiar with the situation, said that the green energy private equity firm Qualitas Energy, and Wren House, Kuwait Investment Authority's infrastructure arm, had teamed up to bid for the project. BP is doubling down its efforts to simplify its 'operations' and refocus its attention on traditional oil & gas, in a bid to reduce debt and boost profit and reinvestment after an ill fated foray into renewables under its previous CEO.
Top US oilfield services firm SLB beats quarterly profit estimates
SLB beat Wall Street expectations for the second quarter profit on Friday as resilient demand in key'markets' helped the top U.S. oilfield services firm to overcome weakness in the Middle East caused by the Iran war. Iran is now trying to close the Bab el-Mandeb entrance to the Red Sea, after choking off shipping through the Strait of Hormuz. SLB's biggest market is the Middle East, which will account for 34% in total revenue in 2025. The company warned that disruptions would cost them 6 to 8 cents in the second quarter. The revenue from Middle East and Asia fell 14% to $2.57 billion in the third quarter.
St. Bernard Parish in Louisiana is hit by Tropical Storm Bertha
The U.S. National Hurricane Center reported on Wednesday that Tropical storm Bertha had made landfall in St. Bernard Parish in Louisiana. Miami-based forecaster said that the storm was located approximately 45 miles (70 kilometers) southwest of Biloxi in Mississippi, and 40 miles east of New Orleans. Maximum sustained winds have decreased to 45 mph. The NHC stated in an afternoon Wednesday advisory that the center of Bertha would move along or near the Louisiana and upper Texas coastlines on Thursday, then track further inland to Texas on Friday. It said that further weakening was expected over the next couple of days.
Egypt approves oil, gas and Perenco North Sinai Project deals
Egypt's Parliament approved four oil and gas exploration agreements and development agreements on Wednesday. This included a project in North Sinai involving the?FrancoBritish producer?Perenco. Egypt is looking to boost domestic energy production, which has been struggling to keep up with the growing demand. Regional tensions are also tightening global LNG markets. Egyptian media reported that the approvals covered?exploration activities and production in North Sinai, Nile Delta, the Mediterranean and Egypt?s Eastern Desert. The state-owned Egyptian Natural…
Union urges investors and BP to put pressure on BP to end US Midwest refinery locksout
The union representing 800 workers at BP Whiting, Indiana refinery urged investors to put pressure on the British 'oil major, BP, to end a four-month lockout. They argued that the dispute highlights broader governance and safety risks within the company. United Steelworkers cited BP's executive rotation and past safety incidents as concerns. "... "... BP 'locked out' the workers at Midwest’s largest refinery, on March 19, after the Union?rejected their "last,best and final" offer, following months of stalled negotiations. BP claims that the lockout did not affect production.
Equinor profits soar on high oil and gas prices during wartime
As expected, Equinor reported on Wednesday a steep rise in profits for the second quarter, boosted by the surge in gas and oil prices, as the Middle East war disrupted the global energy supply. Equinor's poll of 17 analysts predicted that the Norwegian group would earn $11.48 billion in the period from April to June, a significant increase over the $6.54 billion it earned a year ago. Equinor, the majority-owned state company, has seen its shares rise 54% in value year-to date, outperforming an increase of 30% among European energy stocks. This reflects Equinor's position as Europe's largest supplier of oil, gas, and natural gases, with no direct exposure towards the Middle East.
Kazakhstan's dispute with oil majors
Two sources told AFP that Kazakhstan had warned the head an oil consortium, which includes Exxon and Shell, about possible criminal charges if they did not pay a $5 billion fine for environmental damage. This is just the latest in a series of disputes that have seen international firms cede control?of giant oilfields in the country to the government?or pay cash settlements. Tengizchevroil operates the Tengiz Oilfield, which produces approximately 960,000 barrels per day. Chevron owns 50% of TCO while KazMunayGaz, the Kazakh energy company, holds 20%. Exxon Mobil has 25%, and Lukoil, 5%.
Halliburton falls on tepid forecast of revenue, Middle East recovery warning
Halliburton's shares dropped more than 6% Tuesday after the U.S. provider of oilfield services forecast lower third-quarter revenue and signaled uncertainty over the pace at which the Middle East is recovering. This year, the 'conflict in Middle -East' has dominated the energy markets. A major oil producing region remains on edge after repeated flare-ups. However, oil prices are not as high as expected when Israel and the U.S. went to war against Iran in February. Halliburton's Chief Operating Officer Shannon Slocum stated that activity in the area was returning to the highs of the conflict. However, she cautioned the pace of recovery would depend on the day-today events.
Baker Hughes reports that US energy companies have increased the number of rigs to their highest level since April 2025.
Energy services firm Baker Hughes reported on Friday that U.S. firms added rigs this week for a fifth consecutive week for the first since early June. The 'total count' now stands at its highest level since April 2025. The total rig counts, which are an early indicator of the future production, increased by seven in the week ending July 17. Baker Hughes reported that the total rig counts are up by?44 or 8% from this time last week. Baker Hughes reported that oil rigs increased by seven this week to 452, the highest level since May 2025. Gas rigs remained at 126, and other miscellaneous drilling rigs stayed at?10.
BP to sell stakes in the portfolio and close its venture arm
Verdane has agreed to buy minority stakes in over 10 companies from BP's portfolio. Meg O'Neill - the CEO of BP who took over the top position in April - said in a statement earlier this month that the company 'needs' to prioritize financial discipline, by simplifying their portfolio, cutting costs, and tightening up capital expenditures, while refocusing on its core investments in oil and gas. "We propose?to evolve our?management of interest in the few investments we will retain and to close the bp Ventures Team, subject to consultation, in line with local regulatory and legal requirements," a BP representative said in an email.
Shell plans to drill at Venezuela's offshore gas field in 2027, according to sources
Shell has started tendering drilling services for its Dragon off-shore gas project in eastern Venezuela. This is part of a plan to begin drilling four wells here?in the second quarter of 2027. People say that the contract should be awarded before the end of September. The contract will not be effective until a final investment decision has been made on the 4.2 trillion cubic-foot project. The requirement shows that the company has taken concrete steps to advance the development, which was delayed for years due to sanctions. The U.S. has changed its policy towards Venezuela, which has caused the Dragon project to be repeatedly halted.
Shell plans to drill at Venezuela's offshore gas field in 2027, according to sources
Shell has begun tendering drilling services for its Dragon off-shore gas project in eastern Venezuela. This is part of a plan to start drilling 'four wells in this area in the second quarter 2027. People familiar with the process say that the contract should be awarded before the end of September. The contract will not go into effect until a final investment decision has been made on the 4.2 trillion cubic-foot project. The requirement shows that the company has taken concrete steps to progress the long-delayed project after years of uncertainty due to sanctions. The U.S. has changed its policy towards Venezuela, which has caused the Dragon project to be repeatedly halted.
Ifax reports that Kashagan Oilfield Operator ordered to pay $4.9 Billion environmental fine
Interfax reported that Kazakhstan's Justice Ministry said that the operator of the?Kashagan oilfield is required to pay an environmental fine of 2.3 trillion tenge ($4.89 billion) by July 20. However, the company has filed a claim for arbitration against the penalty. Interfax reported that Daniyel Vaisov, deputy minister of justice in Kazakhstan, said the arbitration was being held in Washington D.C. The North?Caspian Operating Company, which is Kashagan’s operator, is a joint-venture between Shell, TotalEnergies,?ExxonMobil, and China’s CNPC. NCOC didn't?immediately respond to a comment request.
Baker Hughes reports that US energy companies have added rigs to their fleets for the fourth consecutive week.
Baker Hughes, a leading energy services company, said that U.S. firms added rigs this week for the fourth consecutive week for the first since early June. Baker Hughes normally releases the report around 1700 GMT on Fridays at?1 pm EDT. The report was released 49 minutes later. Baker Hughes officials did not comment on the cause of the delay. The number of oil and gas drilling rigs, which is a good indicator of future production, increased by one in the week ending July 10 to 581, its highest level since May 2025. Baker Hughes reported that the total number of rigs increased by 44, or 8% over this time last year.
BP CEO: Company must tighten its spending and maintain financial discipline
Meg O'Neill, BP's CEO, said that the British energy giant must prioritise its financial discipline, by simplifying their portfolio, cutting costs, and tightening up capital expenditure, while focusing on its core investments in oil and gas. O'Neill has worked to restore investor confidence by reducing costs and debt. She took over the role of CEO in April after Murray Auchincloss abruptly left the company last year. Albert Manifold was removed as chair in May over bullying accusations. Manifold denies the allegations. She said BP should be more selective with its investment decisions, as it resets its strategy after an unsuccessful push in renewables.
US EIA: Global oil production to return to pre Iran war levels by the end of this year
The U.S. Energy Information Administration stated on Tuesday that global oil production?and?trade flows will fully recover by the end this year after the disruptions caused due to the Iran War. The EIA reported that the global benchmark Brent crude oil price will average $74 per barrel on the spot market in the third quarter this year. This is down from an?average of $85 in June. Last month, the agency forecast Brent prices to average more than $101 per barrel in the third quarter. As a result of the months-long wartime blockade of Strait of Hormuz, refiners in Europe and Asia have been forced to cut fuel production.
US EIA: Global oil production to return to pre Iran war levels by the end of this year
The?U.S. Energy Information Administration says that global oil production and trade flows will?rebound completely by the end of the year from the disruptions caused the Iran war. Energy Information Administration?reported on Tuesday. The EIA reported that Brent crude oil, the global benchmark, will average $74 per barrel on the spot market in the third quarter, down from $85 per barrel on average in June. Last month, the agency forecast Brent prices to 'average over $100 a barrel during the third quarter. Millions of barrels per day of oil production from the Middle East have been halted by the months-long wartime blockade on the Strait of Hormuz…
BP withdraws from Bay du Nord oil projects, leaving Equinor the sole owner
BP and Equinor have agreed to sell their stakes in the Bay du Nord oil project off the coast of Canada. The British energy giant is now focusing on opportunities with higher returns. Equinor, a Norwegian company, will acquire BP's 37.2% share of Bay 'du Nord under the agreement. The companies did not disclose financial details. This agreement is another step for BP in its efforts to reshape their portfolio and refocus capital on 'higher-return oil & gas?projects. BP will keep its 100% ownership in two offshore exploration licences located in Newfoundland & Labrador, Canada. Equinor said it would assess the opportunities to bring partners in as part of Bay du Nord’s further development.
Fiserv and service station operators, including BP, warn US stores about illegal vapes
Fiserv, a payments platform, and operators of service stations including BP have 'warned' their U.S. counterparts and store owners to not?deal with illegal vapes - or risk heavy fines. According to estimates, a coalition of state and city law enforcement officials in the U.S. are putting pressure on shippers, payment networks and e-commerce platforms to crack down on an illegal vape market worth up to $9 billion in sales annually. Shopify has banned vapes in recent weeks after a 'crackdown' that was backed by the attorneys general of states such as California, Illinois, and Arizona, and authorities from New York City, the District of Columbia, and Puerto Rico.
