Friday, December 13, 2019

Fracturing News

McDermott Appoints Krummel as CFO

Chris Krummel (Photo: McDermott)

McDermott International announced the appointment of Chris Krummel as Executive Vice President, Chief Financial Officer, effective immediately. Krummel joined McDermott in 2016 and previously served as the company's Global Vice President, Finance and Chief Accounting Officer. He replaces Stuart Spence, who has resigned from McDermott to pursue other opportunities."Chris…

Drilling Ban Proposals Divide Democrats

AdobeStock / © Shamtor

In the southeast corner of New Mexico, new houses, hotels and jobs are sprouting like flowers in the desert. Trucks hauling equipment and laborers jam once-barren highways on the way to thousands of oil rigs.The Democrats who control the state's government have lofty plans for the billions of dollars in projected tax revenues from the drilling industry in the Permian Basin…

Investors Brace for Poor US Shale Earnings

© Robert Coy / Adobe Stock

Investors are bracing for weaker results from U.S. shale players in coming days as lower oil and natural gas prices and cost-cutting measures have weighed on third-quarter operations.Major shale producers ConocoPhillips and Concho Resources this week kick off quarterly earnings reports for a group whipsawed this year by volatile pricing and investor demands for improved returns.

Halliburton Promises Cost Cuts

© V.Kreinacke / Adobe Stock

Halliburton Co on Monday promised more cost cuts after reporting a bigger-than-expected drop in quarterly revenue as the oilfield services looks to counter weak demand from North American shale producers, sending its shares up about 7%.The biggest hydraulic fracking services provider, which earlier this month cut 650 jobs in North America, said it would take…

ProPetro Cuts Almost 150 Workers

AdobeStock / © Diter

ProPetro Holding Corp this month cut about 150 workers, people familiar with the matter said on Monday, the latest sign of growing trouble in the oilfield services sector as U.S. shale producers reduce drilling.The job cuts reflect slowing shale activity due to weak prices for oil and gas, and producers exhausting their spending budgets for the year, one of the people said.Midland…

Schlumberger CEO Outlines Digital Strategy

Schlumberger CEO Olivier Le Peuch (Photo: Schlumberger)

Schlumberger NV's newly-appointed Chief Executive Officer Olivier Le Peuch on Wednesday outlined his vision for the world's largest oilfield services company, vowing to exit unprofitable businesses, restructure some units and focus on returns.In his first public remarks since taking office in July, the 32-year company veteran also warned the company would record a sizeable, non-cash charge to write down assets in the current quarter.

NOV Cuts Staff for Second Time This Year

© bomboman / Adobe Stock

Oilfield equipment and service provider National Oilwell Varco has begun trimming its workforce for the second time this year, two people familiar with the matter said this week, as oil producers cut spending budgets.The Houston, Texas-based company last quarter rolled out a voluntary early retirement program and said it was reorganizing operations to reduce costs as part of a broader restructuring plan.

Permian Fracking Sets New Records

Graph: Rystad Energy

Hydraulic fracturing operations in the Permian shattered old records in June. The prolific shale basin in Texas and parts of New Mexico in the US has reached new heights in terms of the number of fracked wells – both on a daily basis and in terms of absolute monthly wells. Rystad Energy estimates there were as many as 18 wells fracked per day across the entire Permian Basin, or almost 550 wells during the month of June.

Halliburton Profit Beats Estimates

(Photo: Halliburton)

Halliburton Co on Monday beat analysts' estimates for second-quarter profit as its Completions and Production unit outperformed expectations, pushing its shares up 6.8 percent in early trading.The Houston, Texas-based company is a leading provider of hydraulic fracturing services in North America, a segment of the oilfield services business that has been hard-hit by an abundance of equipment…

Oilfield Services Firms Keane, C&J Merge

© Michael Potts / Adobe Stock

Oilfield services company Keane Group Inc said on Monday it will merge with rival C&J Energy Services in a $745.7 million all-stock deal, as it looks for scale amid spending cuts by crude producers.The oil service sector has been battling lower demand and pricing pressure as U.S. producers hold off drilling new wells on investor demand that cash be used for…

Frac Sand Prices to Remain Flat

Graph: Rystad Energy

Demand for sand to be used by the oil and gas industry in hydraulic fracturing operations in the US is set to grow by 10% in 2019 and 17% in 2020, said a report.According to Rystad Energy, frac sand supply, on the other hand, is forecast to increase by 10% in 2019 and then decrease by 2% in 2020 as more Northern White Sand will come off the market.The Eagle…

UK Fracking Tsar Quits

The British government's fracking tsar Natascha Engel said on Sunday she had quit the role after just six months because government policy was preventing the industry from developing.Fracking, or hydraulically fracturing, involves extracting gas from rocks by breaking them up with water and chemicals at high pressure.It is fiercely opposed by environmentalists…

Oil Majors Rush to Dominate US Shale

© pavantt / Adobe Stock

In New Mexico's Chihuahuan Desert, Exxon Mobil Corp is building a massive shale oil project that its executives boast will allow it to ride out the industry's notorious boom-and-bust cycles.Workers at its Remuda lease near Carlsbad - part of a staff of 5,000 spread across New Mexico and Texas - are drilling wells, operating fleets of hydraulic pumps and digging…

Halliburton Profit Beats on International Demand

(Photo: Halliburton)

Halliburton Co beat Wall Street estimates for quarterly profit on Tuesday, as higher demand for its oilfield services in international markets offset a slowdown in North America.Clients in North America, Halliburton's biggest market by revenue, began pulling back on some drilling services last year amid transportation bottlenecks in the largest U.S. production…

Digitalization Can Save Upstream Business $73 Bln a Year

The Ivar Aasen platform in the North Sea transmits vast volumes of data back to shore. (Photo: Aker BP)

Energy firms could save an annual $73 billion within five years in oil and gas exploration and production by making better use of existing computing technology, energy consultancy Wood Mackenzie said.Exploration and production, known as the upstream industry, requires energy firms to analyze huge amounts of seismic and geological data and to monitor and maintain offshore platforms and other complex assets…

Schlumberger Sees International Growth in 2019

Boosting technology from Schlumberger's OneSubsea (File image: Schlumberger)

Schlumberger NV on Friday reported quarterly revenue that topped estimates and forecast single-digit growth in international markets this year even as crude prices have tumbled roughly 30 percent since October.With the drop in oil prices many producers were evaluating spending budgets for 2019, stoking concerns that a slowdown in activity would hurt oilfield…

Test Well Boosts Valeura's Confidence in Turkey

Valeura said on Monday that findings from a test well in Turkey's Thrace basin, where it operates with Norway's Equinor, had boosted its confidence in the area's potential for gas fracking.Toronto-listed Valeura and its partners sit on 20 trillion cubic feet, or roughly 3.5 billion barrels of oil equivalent, of potential gas and condensate resources two hours from Istanbul…

US Drillers Add Oil Rigs Again

File Image: AdobeStock / © Mike Mareen

U.S. energy firms this week increased the number of oil rigs operating for the second time in three weeks after oil prices soared over 18 percent in January.Companies added 7 oil rigs in the week to Feb. 8, bringing the total count to 854, General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday.The U.S. rig count…

Senex Energy Gemba Tests Successful

 Location of Gemba-1 and surrounding infrastructure. Map:  Senex Energy

Australian energy company Senex Energy has successfully tested a gas exploration well in the Cooper Basin in South Australia.According to the Brisbane-based company The Gemba-1 well flowed 227,000 cubic metres (8 mcf) of gas per day over a period of a week."Senex Energy has successfully completed the initial flow test of the Gemba-1 gas exploration well in the Cooper Basin…

BP Launches $3 Bln Sale of US Onshore Assets

(File photo: BP)

Britain's BP has launched the sale of U.S. oil and gas onshore assets that could raise more than $3 billion to help pay for other fields in the United States it bought in October from BHP, industry and banking sources said.The sale proceeds will partly fund the $10.5 billion acquisition of BHP's onshore assets that are mostly around oil-producing fields in Texas and Louisiana.