Sources say Exxon is in advanced talks about returning to Venezuela's Orinoco Belt.
ExxonMobil has been in talks to return to Venezuela. The US energy giant is interested in the huge Petromonagas project, which was previously a part of the Orinoco Belt. It also showed interest in certain areas in the Carabobo Block. If finalized, a re-entry by Exxon into Venezuela would be a stunning?reversal? for?the?company after it left the OPEC nation nearly 20 years ago amid a dispute triggered because the government of the former president Hugo Chavez nationalized its oil projects.
Energy secretary: US energy company to announce Venezuelan investment
U.S. energy secretary Chris Wright said that a U.S. oil producer would?announce a'major investment 'into Venezuela on Wednesday. Foreign oil producers are moving joint ventures and sharing production contracts to Venezuela as part a sweeping energy reform. Meanwhile, new entrants – mostly U.S. based firms – are committing to development in the OPEC nation encouraged by a $100 billion reconstruction plan supported by Washington. Bloomberg News reported that Oklahoma City's Continental Resources, founded by billionaire Harold Hamm and based in Oklahoma City, will?announce?
State regulator: North Dakota oil production expected to remain steady, despite the price decline
North Dakota's regulator stated that energy companies will likely keep crude production steady in North Dakota this year, the state with the third largest oil production in the United States, despite the sharp drop in oil prices following the signing of an interim agreement between the United States, Iran, and the end of their war. The oil prices dropped on Thursday, reaching their lowest level since March's first trading day during the Iran War. U.S. West Texas Intermediate subsequently pared its losses to settle down at $76.60 per barrel, a 0.3% decline.
U.S. oil companies in North Dakota are cautious about drilling despite rising prices
?U.S. Oil operators in North Dakota are cautious about increasing?drilling? despite the sharp rise in oil price caused by the Iran War. They want to know if the higher prices will last for long enough to justify the new investment. Mark Bohrer is the assistant director for the Oil and Gas Division of the State's Industrial Commission. He said that while the prices are higher, the majority of producers have stuck to their budgets from the end of last season, which has limited any immediate increase in drilling activity.
US producer Continental claims that the shale resource in Argentina could be "another Permian".
Continental Resources CEO Doug Lawler stated on Tuesday that Argentina's shale resource might be similar to the size of the Permian Basin in the United States. Lawler, a U.S. oil company, said that the oil production potential in Argentina could be as high as 1.5 to 2 million barrels a day within the next few years. Continental increased its stake in Argentina's Vaca Muerta shale basin last month by purchasing a non-operating share in four blocks. Lawler stated that Argentina must invest in its oil infrastructure, reforms and tax incentives to encourage investment.
Houston, the US oil capital, is buzzing as industry prepares for Venezuelan oil rush
Matthew Goitia explains his idea in a bar downtown Houston. He wants to build and refurbish marine terminals for Venezuela that will allow crude oil to be blended and exported, and chemical products shipped. Matthew Goitia, a director at Pelorus Terminals, explains his ambitious plan to refurbish and build marine terminals that can blend and export crude and ship chemical products in Venezuela. He also plans to add storage tanks, renovate the docks, and ensure that power is available. This could all take three to ten years. It's still unclear how to obtain permission from the U.S.
Financial Times – March 13,
These are the most popular stories from the Financial Times. These stories have not been verified and we cannot vouch their accuracy. Intel named Lip-Bu Tan, a former board member who has worked in the chip industry for many years, as its new CEO on Wednesday. Pat Gelsinger was ousted by the board of the struggling U.S.-based chipmaker back in December. Keir starmer, the British Prime Minister, will pledge on Thursday to reshape government services by tackling a "cottage-industry of checkers and blocks" and using AI to achieve efficiencies.
When Oil Became Waste
A week of turmoil for crude, and more pain to comeThe magnitude of how damaged the energy industry is came into full view on April 20 when the benchmark price of U.S. oil futures, which had never dropped below $10 a barrel in its nearly 40-year history, plunged to a previously unthinkable minus $38 a barrel.In just a few months, the coronavirus pandemic has destroyed so much fuel demand as billions of people curtail travel that it has done what financial crashes, recessions and…
US Shale CEOs Meet with Saudi Aramco Board
Two of the U.S. shale industry's most prominent executives met with the Saudi Aramco board of directors in Houston on Wednesday.Mark Papa, chief executive of Centennial Resource Development Inc, and Harold Hamm, CEO of Continental Resources Inc, spoke at a regularly scheduled meeting of the directors of the world's largest oil producer.They declined to comment on the meeting.(Reporting by Ernest Scheyder; editing by Jonathan Oatis)
US Oil Industry Set to Break Record, Upend Global Trade
Surging shale production is poised to push U.S. oil output to more than 10 million barrels per day - toppling a record set in 1970 and crossing a threshold few could have imagined even a decade ago. And this new record, expected within days, likely won't last long. The U.S. government forecasts that the nation's production will climb to 11 million barrels a day by late 2019, a level that would rival Russia, the world's top producer. The economic and political impacts of soaring U.S.
Rebounding US Shale Poses Problem for OPEC
U.S. crude oil prices have risen above $60 per barrel which should accelerate shale drilling and production in the next few months, provided the price increase is sustained. U.S. crude futures are trading over $60 for all delivery months between February and August 2018, an increase of about 40 percent since the middle of 2017 (http://tmsnrt.rs/2CW5DIt). And the futures strip for 2019, the benchmark against which U.S. shale producers can execute hedges for next year's output, is trading over $56, up almost 20 percent on the last six months.
WTI Discount to Brent Reflects Logistics Constraints
Even as crude stocks decline elsewhere in the United States, stocks are rising in the Midwest, especially around the delivery point for the New York Mercantile Exchange’s light sweet crude contract at Cushing in Oklahoma. Crude stocks at Cushing hit a low of 56 million barrels on July 28 but have since risen by almost 7 million barrels, according to the U.S. Energy Information Administration (EIA). In the rest of country, commercial crude stocks stood at 426 million barrels on July 28 but have since fallen by almost 24 million (“Weekly Petroleum Status Report”, EIA, Oct. 4). Stocks on the U.S.
Who is Responsible for WTI Weakness?
The U.S. Energy Information Administration (EIA) is distorting oil prices by being far too optimistic in its forecasts for U.S. production, according to Harold Hamm, the chief executive of Continental Resources. Hamm, who also chairs the Domestic Energy Producers Alliance (DEPA), a lobbying group, blames EIA for both the outright decline in U.S. oil prices and their underperformance compared with Brent since June. Hamm faults EIA for being too optimistic about U.S. production, creating an impression there will be surplus of crude and depressing futures prices for West Texas Intermediate (WTI).
US Shale Sector at Critical Price Threshold: Kemp
Forward U.S. oil prices for 2018 have climbed back above $50 per barrel, a level that should be high enough to stabilise drilling activity over the next two months. But if prices continue their current upward trend, shale firms will almost certainly interpret that as a sign to increase output and begin ramping up their drilling programmes again. Shale drilling has proved very sensitive to changes in the value of West Texas Intermediate (WTI) crude, especially the forward prices shale firms rely on to hedge production and reduce their risks.
U.S. Shale Breakeven Price Pegged at $50
U.S. shale producers need a WTI oil price around $50 per barrel to break even, according to an analysis of financial statements for the second quarter. Fifteen of the largest shale oil and gas producers reported total net losses of $470 million for the three months between April and June when benchmark WTI prices averaged $48. Total losses were down from $3.7 billion in the first three months of the year and $7.4 billion in the same period in 2016, according to earnings statements published in the last week (http://tmsnrt.rs/2ftmgnd).
US Shale Breakeven Price Revealed
U.S. shale producers need a WTI oil price around $50 per barrel to break even, according to an analysis of financial statements for the second quarter. Fifteen of the largest shale oil and gas producers reported total net losses of $470 million for the three months between April and June when benchmark WTI prices averaged $48. Total losses were down from $3.7 billion in the first three months of the year and $7.4 billion in the same period in 2016, according to earnings statements published in the last week.
Renewed Slide in Oil Tests U.S. Shale Profits
U.S. independent oil and gas producers came close to breaking even during the first quarter of 2017 thanks to aggressive cost cutting and improvements in well productivity. Some shale producers claim they can drill wells profitably at prices well below $50 per barrel and in some cases below $40. But Harold Hamm, chief executive of Continental Resources , a major producer in North Dakota and Oklahoma, has said oil prices need to be above $50 to be sustainable. Prices below $40 would force producers to idle rigs again…
U.S. Shale Producers Drilling Themselves into a Hole
U.S. shale firms are drilling themselves into a deep hole despite warnings from industry leaders about the risk of flooding the market with too much crude, says Reuters analyst John Kemp. Drilling and production are rising. Prices are declining. Companies are barely breaking even or losing money. Costs are starting to rise. And share prices are sliding. Current oil prices are not sustainable according to Harold Hamm, the chief executive of Continental Resources, said in an interview on June 28.
All Drill, No Frack: US Shale Leaves Thousands of Wells Unfinished
U.S. shale producers are drilling at the highest rate in 18 months but have left a record number of wells unfinished in the largest oilfield in the country – a sign that output may not rise as swiftly as drilling activity would indicate. Rising U.S. shale output has rattled OPEC's most influential exporter Saudi Arabia and pushed oil prices to a near four-month low on Wednesday. U.S. production gains are frustrating Saudi-led attempts by the world's top oil exporters to cut supply, drain record-high inventories and lift prices.
As Trump Targets Energy Rules, Oil Companies Downplay their Impact
President Donald Trump’s White House has said his plans to slash environmental regulations will trigger a new energy boom and help the United States drill its way to independence from foreign oil. But the top U.S. oil and gas companies have been telling their shareholders that regulations have little impact on their business, according to a Reuters review of U.S. securities filings from the top producers. In annual reports to the U.S. Securities and Exchange Commission, 13 of the 15 biggest U.S.