Wood Group accepts Sidara’s takeover bid following a year-long pursuit
The Wood Group in Britain has accepted a conditional bid of 216 million pounds ($292 millions) from Dubai's Sidara. This ends a long-running pursuit involving multiple offers and rejections. Sidara's 30-pence per share offer will see it assume Wood Group's $1.6 billion debt and inject $450 millions of cash in the company. Wood Group must publish its delayed results, and ensure that certain debt facilities will not be terminated. A British oilfield service firm delayed publishing its annual results in April due to an audit that was pending…
Nigeria LNG signs long-term contracts for gas supply
Nigeria LNG Ltd. has signed 20-year contracts for gas supply with NNPC Ltd. and other oil companies to supply 1.29 billion standard cubic feet per day in support of its liquefaction plant expansion plans and to support the company's liquefaction facilities. These agreements, which also include options for extension, involve Shell Nigeria, Aradel Holdings and First E&P. They are expected to reduce Nigeria's long-standing gas shortages upstream while accelerating its energy transition and industrialisation.
Prio shares drop as Brazilian oil regulator halts a key unit
Brazilian oil company Prio announced on Monday that the local regulator ANP ordered a production halt for the Peregrino FPSO. The regulator cited the need to improve risk management documentation as well as adjustments to the deluge system of the unit. Shares of the independent oil producer fell as a result. The Peregrino field is responsible for a large portion of Prio’s production, and the company recently purchased the remaining stake in the asset.
OPEC's oil production rose in July, led by the UAE and Saudi Arabia, according to a survey
A survey on Friday found that OPEC oil production increased in July following an OPEC+ deal to increase production. However, the rise was limited due to Iraq's additional cuts and drone attacks on Kurdish fields. According to the survey, the Organization of the Petroleum Exporting Countries (OPEC) pumped 27,38 million barrels of oil per day in June, an increase of 270,000 bpd over the revised total for the month. The United Arab Emirates, and Saudi Arabia, were the two countries that saw the biggest increases.
TotalEnergies sold 45% of its oil and gas blocks in Argentina to YPF at $500 million
TotalEnergies announced on Wednesday that Total Austral, its affiliate company, had agreed to sell 45% of its interest in two unconventional gas and oil blocks to YPF Argentina. TotalEnergies announced that the deal was valued at $500m. It represents 20% of TotalEnergies' acreage within Argentina's Vaca Muerta shale, which is the second largest unconventional gas reserve in the world. TotalEnergies, Argentina's biggest private operator, is responsible for about one-quarter of the gas produced in the country.
Glencore warns that a ban on exports from Congo could result in a large portion of its cobalt production not being sold by the end of 2025
Glencore announced on Wednesday that a large portion of its cobalt output would likely remain unsold at the end of 2025, due to the suspension of cobalt sales by the Democratic Republic of Congo. DRC, world's largest cobalt exporter, suspended exports for four months in February, after prices fell to a record low. In June, it extended the suspension by another three months. The export ban was intended to reduce the global oversupply of cobalt, and…
Glencore's rejection of US listing boosts UK markets
Glencore has decided to keep its main listing in London. It will not move to the United States at this time. This is a rare victory for London's markets which are shrinking because of a lack of new shares. The London-listed mining company said on Wednesday that moving across the Atlantic wouldn't increase shareholder value. It said in February that it was considering moving its primary listing to New York from London. Nagle stated on Wednesday that his company has thoroughly researched the possibility of moving to major exchanges in the world.
Germany wants to reduce its dependence on China for wind energy components
Germany's Economy Ministry published plans Tuesday to diversify sourcing of key components used in offshore wind turbines mainly by 2035, to reduce dependence on China. The government is implementing a "de-risking strategy" amid the geopolitical tensions between China and the United States, as well as after the Russian war in Ukraine triggered an energy crisis that highlighted the dangers associated with over-dependence on a single country for essential supplies.
BP will review assets and costs after profit exceeds expectations
BP said it will review its assets and look at further cost reductions as part of a push to improve shareholder value. The oil major announced this on Tuesday after reporting a second quarter profit that was well above expectations. Murray Auchincloss, the CEO of Murray Auchincloss announced earlier this year that he would reduce costs, buy back shares, and sell assets worth $20 billion by 2027. This was in response to pressure from Elliott, an activist investor, to improve profitability.
Kuwait Petroleum's annual profit drops 5.8% due to lower crude prices
Kuwait Petroleum Corporation, a state-owned company, posted a net loss of 1.366 billion dinars (US$4.47 billion) in the fiscal year that ended on March 31. This is a decline of 5.8% compared to the previous year. In the last fiscal year, the company and its subsidiary posted a profit of 1,450 billion dinars. KPC didn't give a specific reason for the drop, but lower oil costs likely impacted returns. Kuwaiti oil prices fell by 5.5%, to $79.70 a barrel…
Chevron wins arbitration against Exxon over Hess deal, according to analysts.
Chevron completed its $55 billion purchase of Hess last Friday, after winning a landmark court battle against Exxon Mobil. This was to gain access the largest oil discovery of the past decade - the Stabroek Block offshore of Guyana. It contains more than 11 billion gallons of oil. This project will drive significant growth in production for the next 3 to 5 years. It will also add new weight on the liquids front from Guyana, Permian and Gulf of Mexico.
Britain accelerates clean energy projects through a new energy reform scheme
The British government made changes on Tuesday to its main scheme to promote clean energy projects. Contract lengths were extended and auction budgets were changed in an effort to speed up the rollout of renewable energy. Britain's plans for decarbonising its electricity sector are centered around offshore wind. The aim is to increase capacity from 15 GW to 43-50 Gigawatts (GW) by the end decade. A government report published in November warned that it would be difficult to achieve this goal.
Russia will compensate for overproduction of oil in August and September
Interfax reported that Alexander Novak, Deputy Premier, said on Friday that Russia will compensate in August and September for oil production in excess of the OPEC+ quota. This is in accordance with the current plan. Novak also said that the government is still debating a complete ban on gasoline exports and that any decision would depend on the market price in the coming days. The Russians have to compensate for a cumulative overproduction of 691,000 barrels a day since April.
Shell receives permission to drill on the west coast of South Africa
Shell announced on Friday that it has received environmental approval to drill five deepwater wells near the west coast of South Africa. Oil majors applied for authorization last year, and plan to drill appraisal or exploration wells at depths between 2,500 metres (8.200 ft), and 3,200 metres (10.500 ft), in the Northern Cape Ultra Deep Block of the Orange Basin. TotalEnergies and other oil companies are planning to drill near the west coast of South Africa, where the Orange Basin extends down into the waters.
Morocco builds data center powered by renewable energy
Morocco is planning to build a 500-megawatt data center powered by renewable energies to improve the security of data storage. This was announced by its minister for digital transition. Amal El Fallah Seghrouchni, a spokesperson for the Western Sahara Government, said that he was unable to provide any details about cost or timeline. These centres are being built by several countries to store and process sensitive data within their national borders.
Ghana warns about power cuts as Eni, the Italian gas company, works to increase gas supply
The West African nation said that the Italian energy group Eni would temporarily suspend operations on Sunday at a Ghana gas plant to implement an increase in supply, which could result in power outages. Ghana, which is the second largest cocoa producer in the world, has tried to boost oil and gas production, both to increase revenue and to prevent fossil fuels becoming stranded. The energy ministry announced on X that it had reached an agreement with Eni for a 30 million standard cubic foot per day increase in natural gas supplies to 270 millions.
Greece's DEPA signs out-of-court agreement with Gazprom on gas prices
DEPA Commercial, the Greek gas supplier, announced on Tuesday that it had reached an agreement outside of court in its dispute with Gazprom regarding gas prices. DEPA signed with Gazprom a contract in January 2022 for 2 billion cubic meters of gas annually through 2026. The price was 80% index to the Dutch TTF benchmark price, with the remaining 20% index to oil prices. DEPA, however, struggled to sell gas in 2022 after the Russian invasion of Ukraine. The drop in Russian pipeline deliveries also contributed to a rise in European gas prices.
Sources say that OPEC+ is set to increase oil production again in August.
Four delegates from OPEC+ said that the world's largest oil producer group, OPEC+ is planning to announce a production increase of 411,000 barrels a day for August in order to regain market shares. If the agreement is reached, the increase in supply by OPEC+ would be 1.78 million bpd, which is equivalent to more than 1.5% of the global demand. The group hasn't yet increased production to the agreed volumes because some members have been compensating for overproduction while others are taking longer to bring their output online.
Sierra Leone is West Africa's new oil and gas frontier
A senior government official announced on Thursday that Sierra Leone would wait to see the results of its recently launched offshore 3D seismic study, its first for over a decade. This will allow it to open its next round of oil and gas licenses later this year. GeoPartners, in partnership with the petroleum directorate of the government, began the six-week survey last month to reduce the risk associated with exploration in the offshore basin of Sierra Leone. Foday Mansaray is the director general of the Sierra Leone Petroleum Directorate.
The afternoon session saw a reduction in gains due to nuclear-related factors
European power forwards retreated from their early gains Wednesday on concerns about possible corrosion of the French reactor Civaux 2. However, prices were still significantly higher than previous closing levels. ASNR later stated that further testing is required. An EDF spokesperson confirmed an inspection at Civaux 2 was underway as part of the annual maintenance. The utility has not yet received the results. By 1405 GMT, the French baseload power for the year ahead was up 5.1% to 66 euros ($75.74).