EIA: US crude stocks have unexpectedly impacted export and refinery demand
The Energy Information Administration reported on Wednesday that U.S. crude stockpiles dropped unexpectedly due to higher exports and refinery demands, while gasoline inventories fell for the ninth consecutive week. The EIA reported that crude inventories dropped by 2.7m barrels, to 440.4m barrels for the week ending April 25. This was in contrast with the analysts' polled expectations of a 429,000 barrel increase. The EIA reported that crude stocks at Cushing, Oklahoma's delivery hub for futures contracts, rose by 682,000 barges in a week. Crude prices have pared their losses despite the unexpected build.
Equinor Q1 profits rise more than expected
Equinor announced a higher than expected increase in its first quarter profit on Wednesday. This was boosted by an increase in European gas prices compared to the same period last year. Equinor's poll of 20 analysts predicted that the Norwegian oil and gas company would earn $8.51 billion in January-March, but it actually increased to $8.65 from $7.53. Equinor has maintained its projections that oil and gas production will increase by 4% in this year's compared to the previous year. It also kept its forecast of capital expenditures for 2025 at $13 billion.
Woodside Energy, Australia signs LNG deal with BP to supply Louisiana project
Woodside Energy, a major Australian oil and natural gas company, announced on Wednesday that it had signed a deal with BP under which the British energy company would supply natural gases to its Louisiana liquefied gas project (LNG). Woodside, in a press release, said that the Louisiana project will buy a maximum of 640 billion cubic foot of gas over a long term basis from the integrated energy giant. However, it did not reveal any financial details. Woodside acquired Tellurian last year for $1.2 billion to develop in four phases the 27,6 million metric ton a year Louisiana LNG Project, formerly known as Driftwood.
PetroChina's profit for the first quarter increased by 2.3% due to natural gas sales
PetroChina, China's largest energy producer, posted a 2.3% increase in its first-quarter profits on Tuesday. The company cited higher natural gas production, even though poor margins affected the refined products business. A filing at the Hong Kong Stock Exchange revealed that the profit attributable by the owners of the company increased to 46.81 billion Yuan ($6.44billion) from 45.77billion a year ago. Revenue dropped 7.3% to 753.1 billion Yuan. Comparatively, local competitors reported lower profits, due to lower oil prices. Sinopec Corp.'s profit dropped 27.6% from a year ago, due to a decline in fuel sales as well as thin margins within its refining division.
CNOOC Q1 profits down 7.9% due to lower oil prices but production grows
CNOOC Ltd, the Chinese offshore oil company, saw its first-quarter profit fall 7.9% due to lower oil prices. However, higher production helped offset this decline. According to the filing made by the company on Tuesday at the Hong Kong Stock Exchange, the net income for the period January-March was 36.56 billion Yuan ($5.03billion), down from 39.7 billion Yuan during the same time last year. A higher production led to a revenue drop of 4.1% to 106.85 bn yuan for the first quarter. CNOOC Ltd.'s total net output during the period reached 188.8 millions barrels of oil-equivalent (boe), an increase of 4.8% over the previous year.
The European share price continues to rise as earnings continue to roll in and tariff watch continues
Investors pushed European shares higher on Tuesday, as they assessed corporate earnings, watched potential tariff movements, and awaited important economic data. As of 0712 GMT the pan-European STOXX 600 was up by 0.2%. However, it is on course for a second monthly decline if the current trend continues. The other regional indexes, with the exception of the UK which was down by 0.1%, were trading in positive territory. The UK's FTSE Index fell as BP shares dropped 3.3% after the oil company reported first-quarter profits that missed expectations. Officials said that the administration of U.S. president Donald Trump will reduce the impact on his auto tariffs.
BP announces a lower-than-expected $1.4 billion profit
BP missed expectations on Tuesday, with a underlying replacement costs profit of $1.38bn for the first three months. This was below the $1.53bn expected by analysts according to a poll conducted by the company. BP announced that it would buy back another $750,000,000 in shares this quarter. This is at the lower end of their guided range. The company said that it will spend $14.5 billion in this year's budget, which is $500 million less than the previous estimate, and has reiterated its target of $13 to $15 billion for 2027 and next year. Sources familiar with the matter say that Elliott…
As crude prices fall, investors fear that Big Oil may reduce share buybacks.
Investors will pay attention to the fact that falling oil prices are increasing the risk of dividends and share purchases for the remainder of 2025. Big Oil's efforts to win over Wall Street have been based on reinvesting cash in the form of dividends and stock repurchases. U.S. president Donald Trump's announcements of global tariffs have caused fears of a weaker oil market and a possible recession, leading forecasters to reduce their oil price expectations. If prices were lower, Big Oil would have less money to give to its shareholders.
Baker Hughes reports that US drillers added oil and gas rigs in the US for a second consecutive week.
Baker Hughes, a leading energy services company, said that U.S. firms added oil and gas rigs this week for the second consecutive week for the first since February. The number of oil and gas drilling rigs, a good indicator of future production, increased by two in the week ending April 25. Baker Hughes reported that despite this week's increase in rigs, the total count is still 26 or 4% lower than this time last year. Baker Hughes reported that oil rigs grew by two this week to 483 while gas rigs grew by one to 98. Drillers reduced the number of operating rigs by five in April. This is the second consecutive month that the total has decreased.
Elliott, an activist investor, calls for a change in BP's strategy chief and organizational structure
A source familiar with this situation on Friday said that activist investor Elliott Investment Management is pushing oil major BP's strategy chief to be replaced and its structure changed to separate its upstream and downstream divisions to improve accountability. Elliott has a small stake in BP of a little over 5%. The strategy, sustainability, and ventures division of BP is headed by Giulia Chiarchia. She was a key architect behind the company's ill fated focus on renewables during the tenure of previous CEO Bernard Looney. Chierchia, who joined BP in 2020 from McKinsey & Company consultancy, rose quickly to the position of strategy chief.
US wants to increase offshore oil drilling through easing of pressure rules
The U.S. Interior Department announced on Thursday that it had implemented new guidelines regarding pressure differentials allowed in certain types of oil drilling, in part of Gulf of Mexico. The department expects the changes to boost U.S. output of oil. The Energy Dominance Council, led by Doug Burgum, Interior Secretary to President Donald Trump, is seeking ways to reduce costs for oil and natural gas producers, lower regulations, and increase oil production, which was at record levels during the tenure of former President Joe Biden. Operators working in the Wilcox formation…
African energy exploration company Rhino Resources discovers light oil offshore Namibia
Namibia got a boost Thursday after Rhino Resources found "high-quality" light oil at its latest well. U.S. oil company Chevron also announced that it is considering a drilling campaign for 2026 or 2027. The southern African nation, a global hotspot for exploration, aims to produce its oil by the end of the decade, following a series of recent discoveries by Shell, TotalEnergies, and Galp Energia. The African energy explorer Rhino Resource found light oil in Capricornus 1X, its second successful exploration, which was drilled off the coast of Namibia in the prolific Orange Basin.
Trump's emergency move is aimed at cutting approval time for energy projects from 28 days to 28
The Trump administration announced on Wednesday that it would implement a process of emergency permitting for energy and mining on federal land, cutting approval times from months or even years down to just 28 days. The U.S. Department of the Interior's move comes in response to the President Donald Trump declaration of a national energy emergency, which he issued on his first official day of office. This was to expedite the permitting process in an attempt to boost the domestic energy supply, lower fuel prices, and strengthen national security.
Enverus: Weak oil prices and limited shale acres will impact energy M&A by 2025
Enverus, an analytics firm, said that the U.S. Upstream Oil and Gas M&A Market is bracing itself for the most challenging conditions in the past decade, as oil prices plummet and prime acreage disappears, despite the fact that dealmaking surged last quarter, making it the second best start to the year ever, despite the fact that the number of deals jumped to the highest level since 2018. After a string of record-breaking takeovers of oil and gas companies in recent years that culminated with a $192 billion deal in 2023, the expected decline in mergers and purchases follows.
Baker Hughes' first-quarter profits beat expectations on the back of strong demand for natural Gas Technology
Baker Hughes, a U.S. oilfield technologies firm, beat Wall Street expectations for the first-quarter profits on Tuesday thanks to a robust demand for natural Gas technology. The positive results are coming as oilfield service firms prepare for the impact of the tariffs introduced by the President Trump. These are expected to increase costs and disrupt sourcing of materials that are used in equipment such as drill pipes and artificial lifting systems. As Big Tech invests billions in AI, demand for electricity has increased to power data centres. This demand for LNG is also increasing.
Elliott presses BP to boost free cash flow by 40% via spending reductions, FT reports
The Financial Times reported that Elliott Management, an activist investor, has urged BP a 40% increase in its free cash flow through spending cuts. Elliott wants BP to focus on achieving a $20 billion annual free cash flow target by 2027 instead of growing its oil business, according to a report citing sources familiar with the issue. BP has worked to increase its share price, which has lagged behind rivals Shell and Exxon in recent years. According to the report, the hedge fund suggests that BP sell its solar and offshore-wind power businesses. It asserts that it can reduce its spending on oil and gas operations because of the sufficient future oil reserves.
Oil industry sources claim that Central Africa's new FX Initiative falls short of its target.
Two oil industry sources said that six Central African nations who were expecting to receive billions in foreign exchange from funds set aside for environmental restoration by oil companies may actually see less than 500 million dollars by the April 30 deadline. Bank of Central African States, the central bank of Cameroon and Gabon, Equatorial Guinea Central African Republic, Republic of Congo, Chad, Gabon and Chad, introduced rules in 2018 governing these funds that are mostly held by foreign banks. The funds in the BEAC-controlled accounts will be used to replenish the hard currency reserves of the six countries and to address their economic vulnerability.
Shell completes survey of Venezuelan gas field as winding down of license approaches
Shell, the oil and gas company, plans to finish a marine survey of the offshore Dragon gas field in Venezuela before the May deadline set by the United States to close all energy licenses in the country. According to LSEG vessel tracking data, the Colombian-flagged Dona Jose II survey vessel arrived in Venezuela sanctioned by the U.S. this month to collect data for Shell and Trinidad’s National Gas Company. Two sources said that the exploration work will be completed within the next few weeks and allow the company determine drilling locations as well as pipeline design, should Washington allow the development of the project, which is planned to supply gas to Trinidad.
Turkey looks to regional energy expansion as Black Sea Gas output increases
Alparslan bayraktar, the Energy Minister, said that the daily production of natural gas in Turkey's flagship Sakarya Field, located on the Black Sea, has reached 9.5 million cubic meters. The country is ramping up its energy ambitions at home as well as abroad. Bayraktar, a Turkish minister of energy, told reporters in Giresun province that the country aims to sign an agreement by the end of the month allowing TPAO to explore a Black Sea bloc off the coasts of Bulgaria and a foreign partner. "We're about to finalize an agreement in the Bulgarian Economic Zone." He said that TPAO will likely sign a contract with a foreign firm for a bloc in Bulgarian waters next month.
Trump Administration kicks off plan to expand offshore drilling
The U.S. The U.S. Donald Trump ordered the government to find ways to increase U.S. oil production. He argued that previous administrations had curtailed drilling unnecessarily to combat climate changes. He also rescinded the efforts of former president Joe Biden to stop oil drilling in the Arctic, and large areas along the U.S. Atlantic Coast and Pacific Coast. In a recent press release, Interior Secretary Doug Burgum stated that "Under the leadership of President Donald J. Interior announced that it would begin the development of the five-year planning process by opening a 45-day period for public comments.
BP approves Ginger Gas Project in Trinidad and Tobago
BP said that it has approved the Ginger gas project in Trinidad and Tobago. This is one of ten projects named by Murray Auchincloss, CEO, in a recent strategy overhaul to support BP's renewed emphasis on oil and natural gas. The company stated that Ginger will start production in 2027 and reach a maximum of 62,000 barrels equivalents per day. Trinidad and Tobago has encouraged BP and other producers of natural gas to increase production in order to meet demand for its flagship liquefied gas facility, Atlantic LNG and its petrochemical factories. LSEG preliminary data shows that BP owns 45% of Atlantic LNG.
China CNOOC 2024's net profit increases 11% on record production
CNOOC Ltd., a state-owned energy company in China, posted an increase of 11.4% on a record production in 2024 despite lower oil prices. The firm is continuing to focus on increasing its reserves and production. In a filing on Thursday to the Hong Kong Stock Exchange, offshore oil and natural gas specialist reported net profit of 18.99 billion dollars. Sinopec Corp, a domestic rival, reported a 16.8% drop in net income to 50.3 billion yuan. CNOOC achieved its high-end target by increasing oil and gas production 7.2%, to 726.8 millions barrels of oil equal (boe). The company's total production costs have remained low, at $28.52 per boe. This is compared to $28.83 by 2023.
EIA: US crude stocks fall as refining increases.
The Energy Information Administration reported on Wednesday that U.S. crude inventories dropped last week, as refiners increased production. Gasoline and distillate stocks also fell. The EIA reported that crude inventories dropped by 3.3 millions barrels, to 433.6 million in the week ending March 21. This was a far cry from the 956 thousand barrels analysts had predicted in a survey. Refinery crude production increased by 87,000 barrels a day. The refinery utilization rate also rose, by 0.1 percent, to 87%, for the third consecutive week, as refiners finished their seasonal maintenance. Brent crude futures, and U.S.
Glencore refinery in South Africa invests in cleaner fuels
Astron Energy, an affiliate of the global commodity trader Glencore will invest up six billion rands ($328 million) in order to install new equipment, and to become compliant with South Africa’s cleaner fuel specification before a 2027 deadline. Astron officials have said that the foundations for a Gasoline Hydrotreating Process, which will reduce petrol to Euro 5 specifications has already been laid in the 100,000 barrels a day crude oil refinery near Cape Town. The Clean Fuels II regulation in South Africa, which stipulated that the sulphur content in petrol and diesel must be reduced to 10 parts-per-million (ppm)…
Suriname's Staatsolie raises 515.8 millions dollars through bond issue
Suriname’s state-owned energy firm Staatsolie raised $515.8 millions through the issuance of debt bond aimed at raising capital for the small South American country’s first offshore oil and gas project. Staatsolie must raise $2.4 billion in order to acquire a 20% stake of the $12 billion GranMorgu Project, which will be operated by TotalEnergies. The first production is expected in 2028. The company is in negotiations with foreign banks for up to $1.5billion in financing. This year. The company also put aside cash reserves. The company had originally aimed to raise $304 million through the sale of bonds that will mature in 2033 with interest rates between 7.25 and 7.75%.
Iraq plans to increase oil production above 6 million barrels per day by 2029
Iraq plans to increase oil production to 6 million barrels per days (bpds) or more by 2029. This was announced on Sunday by the Iraqi oil ministry, according to Iraq's state news agency. Bassem Mohammed Khodeir, the undersecretary of the Oil Ministry, told Reuters that Iraq aims at achieving its target by oil exploration and drilling activities across the country. He cited a recent agreement with oil giant BP for redevelopment of four Kirkuk oil fields and gas fields. Officials from the oil ministry say that Iraq's current production of oil is around 4 million barrels per day. Last month, it reaffirmed its commitment to the output agreement of the OPEC+ Group.
Baker Hughes reports that US oil and gas rigs have risen for the first time in 3 weeks.
Baker Hughes, a leading energy services company, said that the U.S. added oil and gas rigs this week for the first time since three weeks. The number of oil and gas drilling rigs, a good indicator of future production, increased by one in the week ending March 21. Baker Hughes reported that despite this week's increase in rigs the total count is still 31 rigs or 5% lower than this time last year. Baker Hughes reported that oil rigs dropped by one this week to 486, while gas-rigs increased by two to 102. Oil and gas rig counts are expected to decline by 5% and 20% respectively in 2024, as the lower U.S.
Sources say that Elliott met with BP investors in order to discuss further changes.
Two shareholders have confirmed that Elliott Management, an activist investor in BP, has met with several of the company's largest shareholders to form a consensus on more changes. These could include cost reductions and a possible leadership reshuffle. BP's stock has performed worse than rivals Shell, Exxon and Shell in the past five years. Investors have blamed this in part on 2020 plan of the company to focus on its renewable business and cut oil and gas production. After watering down this plan, BP accelerated the pivot back to hydrocarbons with a new strategy last month.
UK's Energean terminates Carlyle deal
Energean, a UK-based gas company, announced on Friday that it had terminated its agreement with Carlyle to sell some of its assets because regulatory approvals were still pending in Italy and Egypt. In June 2024, the two companies struck a $945 million deal that would allow Carlyle to establish a new Mediterranean-focused oil and gas company, led by former BP CEO Tony Hayward, by utilizing Energean's assets in Egypt, Italy, and Croatia. "While I'm disappointed that Carlyle wasn't able to obtain the necessary approvals for Egypt and Italy, I want reaffirm this outcome doesn't change our strategic directions or our commitment to shareholder returns and growth…
Shell plans to deliver gas from Venezuela to Trinidad by 2026, according to sources
Shell Plc aims to start producing natural gas in Venezuela's Dragon field and export it to Trinidad and Tobago, an hour earlier than the initial 2027 start date. The project demonstrates the industry's hope that sanctions against Venezuela will remain in place despite recent tighter enforcement. The people stated that the partners intend to begin survey work in January and decide to drill three wells. They will also need to renew their U.S. licence later this year. U.S. sanctions are aimed at virtually the entire Venezuelan gas and oil industry which is controlled and owned by PDVSA, the state-owned company.
Russell: OPEC and IEA are focused on China's oil demand but it is the crude imports that matter.
What is more important to the crude oil market? Which is more important: the growth forecasts by major agencies of Chinese oil demand or the actual weakness of imports? The International Energy Agency (IEA), as well as the Organization of Petroleum Exporting Countries, (OPEC), both talk about the demand for oil when they forecast the future of the oil industry in China, the largest crude importer of the world. It is a practice that has been around for a while and is not challenged by the market. There is a disconnect in the fact that China's oil exports are actually declining.
Follow This, a BP activist investor, urges voting against Chair Lund on energy transition
BP activist investor Follow This intends to ask shareholders at the 17th April shareholder meeting to vote against Helge Lund being reappointed, claiming he had a duty to give investors a voice on the scrapping of energy transition targets. In a February strategy overhaul, CEO Murray Auchincloss announced that BP would cut spending on renewables while increasing investment in oil and natural gas. This was a revamp of the 2020 strategy, which had predicted a 40% reduction in its oil and natural gas output by 2030. The main criticism of Follow This is that the shareholders haven't been given a chance to vote directly on the new strategic direction.
Russell: OPEC and IEA are focused on China's oil demand but it is the crude imports that matter.
What is more important to the crude oil market? Which is more important: the growth forecasts by major agencies of Chinese oil demand or the actual weakness of imports? The International Energy Agency (IEA), as well as the Organization of Petroleum Exporting Countries, (OPEC), both talk about the demand for oil when they forecast the future of the oil industry in China, the largest crude importer of the world. It is a practice that has been around for a while and is not challenged by the market. There is a disconnect in the fact that China's oil exports are actually declining.
Mexico's Pemex has confirmed that it is in discussions with Slim regarding Ixachi investments.
Claudia Sheinbaum, president of the Mexican Energy Company Pemex, said that Pemex was in discussions with Carlos Slim's companies about an investment into Ixachi, Mexico's largest natural gas field. Last week, it was revealed that officials from Pemex's and Slim’s companies were considering an alleged mixed contract for Ixachi field in Veracruz and a joint operation agreement for deepwater Zama in the Gulf of Mexico. Sheinbaum said that GrupoCarso, which is one of Slim’s companies, was already involved with some aspects of Ixachi’s operation. It currently drills deep wells. Sources have said that mixed contracts would be used in Ixachi.
Mexican tycoon Slim targets two of Pemex’s key fields to gain clout within the energy sector
Sources familiar with the matter say that the Mexican state energy company Pemex has been in contact with Carlos Slim, and the billionaire could be asked to help fund two of the most promising crude oil fields and natural gas deposits in the country. These negotiations, which were not previously reported, show Slim's increasing influence in Mexico's energy sector. His business empire, which includes telecommunications and banking, retail, insurance, and hospitality, is expanding. Slim, who is one of the richest men in the world, has developed close ties with the leftist government…
Executives say that AI will lead to cheaper and faster oil production. CORRECTED.
Executives at the CERAWeek Conference in Houston explained that artificial intelligence has accelerated oil and gas drilling, and has prompted companies to reconsider areas they previously deemed too expensive or difficult to develop. AI was a major topic in several sessions of the largest energy conference. Oil producers are looking for ways to stay profitable amid a plummeting price of oil and concerns that U.S. president Donald Trump's tariffs may slow down global energy demand. Ann Davies, BP’s senior vice-president of wells, revealed that the UK oil giant BP uses AI to predict problems and steer drill bits before they occur.
Executives say AI will lead to cheaper and faster oil production.
Executives at the CERAWeek Conference in Houston explained that artificial intelligence has accelerated oil and gas drilling, and is prompting companies take a second glance at areas they previously deemed too expensive or difficult to develop. AI was a major topic in several sessions of the largest energy conference. Oil producers are looking for ways to stay profitable amid a plummeting price of oil and concerns that U.S. president Donald Trump's tariffs may slow down global energy demand. Ann Davies, BP’s senior vice-president of wells, revealed that the UK oil giant BP uses AI to predict problems and steer drill bits before they occur.
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. However Downing Street has insisted that he won't take a "chainsaw" to state. The U.S.
EIA: US crude oil inventories are rising, but fuel is being drawn down due to ongoing maintenance.
The Energy Information Administration (EIA), which tracks seasonal refinery maintenance, reported on Wednesday that U.S. crude stockpiles increased and fuel inventories decreased last week. The EIA reported that crude inventories increased by 1.4million barrels, to 435.2million barrels for the week ending March 7. This was compared to analysts' expectations in an online poll of a 2million-barrel increase. The EIA reported that crude stocks at Cushing, Oklahoma's delivery hub, fell by 1.2 millions barrels in the past week. The report prompted a rise in oil futures. Oil futures rose after the report. This week, oil production was lower than expected.
BP CEO: It's time to increase U.S. production of gas
HOUSTON, 11 March - BP will increase U.S. Natural Gas production in its onshore shale operation following the recent rise of domestic gas prices. CEO Murray Auchincloss announced this on Tuesday. Auchincloss said at the CERAWeek Conference in Houston that "with rising gas prices, it is time for the Haynesville basin" in eastern Texas. As new LNG export terminals on the Gulf Coast ramped-up, the benchmark U.S. Natural Gas prices more than doubled in the last year to $4.4 per million British Thermal Units (mmBtu). BP's onshore U.S. shale operation produced 434,000 barrels equivalents per day last year.
Experts say that Trump's tariffs against steel and aluminum will increase costs for US energy companies
The proposed U.S. steel and aluminum tariffs will increase costs for U.S. Oilfield Services companies that rely on this metal for their operations. Oilfield service firms like ChampionX and Patterson UTI are the backbone for the North American oil and natural gas industry. They provide essential equipment and services to drill, produce and maintain. Steel is the lifeblood of these industries - drilling platforms, pipelines and refineries, compressors and storage tanks, offshore platforms, and offshore platforms. On Tuesday, Donald Trump doubled tariffs on Canadian aluminum and steel imports from 50% to 100%.
CERAWEEK - IEA chief sees investment needed in existing oil and gas fields
Fatih Birol said that the International Energy Agency in Paris, which is headed by Fatih Birol himself, has a responsibility to invest in oil and natural gas fields for the sake of global energy security. After years of pressure from fossil-fuel advocates, the pro-drilling campaign was relaunched. He said, "I would like to be clear... that there will be a requirement for investment. This is especially true to combat the decline of the existing fields." At the CERAWeek conference on energy in Houston. He said that there was a "need for upstream oil and gas investments".
CERAWEEK - Australia's Santos will increase investment in the US due to pro energy policy - CEO
Kevin Gallagher, CEO of Santos Australia, said that the company will increase its investments in the United States due to the energy-friendly policies of President Donald Trump and his administration. Trump wants to maximize the domestic oil and natural gas production, and has reverted many of Joe Biden's policies that were meant to encourage a shift to a low-carbon economy. Gallagher, in remarks made at the CERAWeek Conference in Houston, said: "We will increase our investment in the U.S. as it is a very attractive proposition. The U.S. Gallagher…
Baker Hughes, CERAWEEK: Oil producers are unlikely to spend more this year
Baker Hughes CEO Lorenzo Simonelli stated on Monday that U.S. producers of oil and gas are unlikely to increase their spending this year. Instead, the output will be boosted by improved efficiency rather than through new drilling. The U.S. administration of President Donald Trump has repeatedly urged the oil and gas industry to "Drill baby, drill" to maximize production and lower consumer energy costs. Even though oil prices are down, many producers continue to focus on capital discipline rather than uninhibited drilling. Simonelli, speaking at the CERAWeek Conference by S&P Global held in Houston…
US Supreme Court dismisses state climate lawsuits against oil companies
The U.S. Supreme Court on Monday rejected a bid from 19 Republican-led state led by Alabama, to stop five Democratic-led state from pursuing lawsuits against major oil companies for deceiving public about the role that fossil fuels played in climate change. The justices refused to hear a case filed directly at the Supreme Court by Republican attorneys general. This case targeted cases filed against Exxon Mobil and other companies such as Chevron, ConocoPhillips Shell, BP, Shell, ConocoPhillips. These lawsuits were brought by California, Connecticut Minnesota, New Jersey, and Rhode Island. The Supreme Court hears appeals from lower courts in almost all cases.
British Business – March 10,
These are the most popular stories in the British business pages. These stories have not been verified and we cannot vouch for the accuracy of these reports. Britain advises Ukraine on how to handle peace talks with the United States, while President Zelensky is on his way to Saudi Arabia. He had said that Russia was responsible for hundreds of attacks against his people over the last week. BP CEO Murray Auchincloss said that a decision to increase fossil fuel output and abandon green energy goals is "resonating", as he races against time to convince investors that he can change the fortunes of the oil giant.
US drillers reduce oil and gas rigs in the US for the first time in six-weeks - Baker Hughes
Baker Hughes, a leading energy services company, said that the U.S. oil and gas companies have cut back on the number of oil rigs for the first six weeks. The number of oil and gas rigs, a good indicator of future production, dropped by one in the week ending March 7 to 592. Baker Hughes reported that the total number of rigs is 30 or 5% lower than it was at this time last week. Baker Hughes reported that oil rigs remained unchanged at 486 rigs this week while gas rigs dropped by one to 101. Oil and gas rig counts are expected to decline by 5% and 20% respectively in 2024, as the lower U.S.
UK replaces windfall oil tax with consultation on clean energy future
Britain announced that it will end the windfall taxes on North Sea oil producers by 2030, and replace them with a new mechanism for responding to price increases. It is pushing ahead with its plan to turn the North Sea into an energy hub. On Wednesday, the government held two consultations. One was on how to transform the North Sea into a clean-energy area, while another focused on how taxes would be applied when energy prices were high. This will give producers more certainty about future tax rates. Oil and gas producers claim that the windfall tax, which was introduced three years ago, when prices were surging, has wiped out profits.
BP and Mauritania claim leak found at gas project offshore West Africa
The British company BP and the Mauritania Environment Ministry announced on Wednesday that a gas leak had been detected in a well at the Greater Tortue Ahmeyim Gas Project operated by BP off the coasts of Senegal and Mauritania. BP stated that the impact of the leak on the environment was expected to be minimal and the incident will not disrupt production. The first gas was produced by the project, developed by BP in partnership with Kosmos Energy of the United States. In a press release, the Mauritania Environment Ministry said that it "conducted in-depth investigations in order to effectively manage the current situation and avoid any environmental impact"…
Reliance India says the oil ministry demanded $2.81 billion in gas dispute case
Reliance Industries, an Indian company, said Tuesday that the Petroleum and Natural Gas Ministry of India has demanded $2.81 billion in a dispute over gas drilling from the company and BP Exploration and Niko. A division bench of the Delhi High Court ruled on February 14 against Reliance in a dispute over the extraction of gas from a deepwater block in India's KG-D6 block, located in the Krishna Godavari Basin in the eastern coast. Reliance, in a filing on the exchange, said that it has received legal advice that the division bench judgement and this provisional request are not sustainable and is now taking steps to contest the judgment.
Sinopec certifies reserves of 1.3 billion barrels at East China Shale Oil Plays
Sinopec Corp announced on Monday that the Chinese government had certified new geological resources of about 180 million tons or 1.3 billion barrels at two of their shale-oil plays. Sinopec announced that the new reserves had been tapped in the Xinxing Field in the Jiyang trough in the Bohai Bay Basin and in the Qintong Field in the Subei Basin. The shale formations of Xinxing are buried between 2,900 and 4,000 metres beneath the surface, while those in Qintong are buried 3,430 to 4,560 meters deep. Sinopec said that both fields have demonstrated high-volume production from single wells with a long-term stable output.
Trump's tariffs threaten Canada's oil and natural gas drillers
Canada's oilfield services and drilling sector has already begun to show signs of slowing down due to the threatened tariffs by U.S. president Donald Trump. This has sparked fears that a rebound in this industry could be halted if these levies are implemented. The Canadian drilling industry lost thousands of jobs between 2014 and 2020 as a result of low oil prices, and the COVID-19 pandemic. Industry representatives say that activity has increased since 2020. However, Trump's threat of imposing a 10% tariff for the 4 million barrels a day (bpd), or Canadian crude imported to the U.S., could change this.
Baker Hughes reports that US drillers have added oil and gas rigs to their fleet for the fifth consecutive week.
Baker Hughes, a leading energy services company, said that U.S. firms added oil and gas rigs this week for a fifth consecutive week for the first since May 2022. In the week ending February 28, the oil and gas rig counts, an early indicator for future production, increased by one, to 593, its highest level since June. Baker Hughes reported that despite this week's increase in rigs the total count is still 36 rigs or 6% lower than this time last year. Baker Hughes reported that oil rigs dropped by two this week to 486, while gas-rigs increased by three to 102. Total oil and gas drilling rigs increased by 11 in February, the highest monthly increase since November 20,22.
Petrobras will commission four additional ships by 2026, bringing the total to 48.
Magda Chambriard, the Chief Executive of Petrobras, said that four new support vessels would be ordered by the company by 2026. This will bring its total number of ships to 48. Petrobras is bolstering its fleet in anticipation of a higher oil production offshore over the next few decades, as it brings new production units online at Buzios. The field expects to produce 2 million barrels of oil per day by 2030. The oil giant's commissioning of the new vessels follows the President Luiz inacio Lula da S Silva's plan to revitalize the shipbuilding industry by using the firm to create jobs and fuel demand. Initially, the company expected to order 44 vessels before 2026.
Expand Energy is on track to increase US natgas production to meet the growing demand
Expand Energy, previously known as Chesapeake Energy, and the largest natural gas producer in America, announced on Thursday that it is on track to increase output by over 5% from the levels expected in 2020, as long as the market conditions allow for such an action. The CEO of Expand, Nick Dell'Osso, told analysts on the company's earnings call for the fourth-quarter that the company was ready to increase output from 6.4 billion cubic foot equivalents per day (bcfed), in the fourth quarter 2024 to 7.1 bcfed by 2025 or 7.5 bcfed by 2026 depending on the market conditions.
Pemex's fourth-quarter loss is $9.1 billion
According to a filing on Thursday with Mexico's principal stock exchange, the state-owned oil company Pemex posted a 190.5-billion-peso (about $9.1 billion) net loss for the fourth quarter, after posting profit during the same period last year. Revenues for the government-run oil firm during the period of October to December totaled 436.6 bn pesos. This is an increase of almost 3% when compared with the fourth quarter of 2023. Pemex reported earnings of 14.6 billion pesos for the fourth quarter before interest, tax, depreciation, and amortization. This metric is used to measure operating performance.
ADNOC signs LNG supply contract with Japan's Osaka Gas
Abu Dhabi National Oil Company announced on Thursday that it had signed an agreement for 15 years to supply Japan’s Osaka Gas liquefied gas from the Ruwais Project. The agreement to supply LNG up to 0.8 mtpa is the fourth contract signed for the Ruwais LNG Project, where energy giants Shell, BP TotalEnergies, and Japan's Mitsui all have a 10% share. ADNOC stated in a press release that the LNG will primarily come from the Ruwais LNG Project, which is due to be completed in 2028. ADNOC, a state-owned company, has ambitious plans to develop the LNG and natural gas industries, which it sees as key pillars of future growth, alongside renewable energy and petrochemicals.
US oil licenses and authorizations for Venezuela
Since the United States first imposed sanctions against Venezuela's energy industry in 2019, it has granted licenses to certain oil companies, allowing them to export Venezuela's oil into specific destinations. Washington imposed sanctions after international observers reported irregularities at elections which have kept Nicolas Maduro on the throne repeatedly. Donald Trump, the U.S. president, announced on Wednesday that he would revoke a license for a U.S. oil producer Chevron Corp. He accused Maduro of not making progress in electoral reforms or migrant return. According to data from vessel monitoring, in January crude exports via active U.S.
EIA: US crude stocks fall as refining increases, fuel inventories increase
The Energy Information Administration (EIA), which released its report on Wednesday, said that U.S. crude stockpiles dropped unexpectedly as refining activity increased, while gasoline and distilate inventories showed a surprise build. The EIA reported that crude inventories dropped by 2.3 millions barrels, to 430.2 million in the week ending February 21. This was in contrast with the analysts' polled expectations of a rise of 2.6 million barrels. Cushing, Oklahoma's delivery hub for U.S. Crude Futures, saw its stocks rise by 1.3m barrels. They now total 24.6m barrels. This is the highest level since November. The U.S.
BP changes course by increasing fossil fuel investments while cutting back on renewable energy
BP announced on Wednesday that it would increase its annual oil and natural gas investment by $10 billion. This will return the focus to fossil-fuels as part of Murray Auchincloss’ efforts to improve financial performance and boost returns. The oil giant has slashed its planned annual investment into transition businesses by over $5 billion compared to the previous forecast. It now expects to invest between $1.5 and $2 billion annually. "We will increase upstream production and investment to enable us to continue producing high-margin energy for many years.
British Business – February 26
These are the most popular stories in the British business pages. These stories have not been verified and we cannot vouch their accuracy. BP, the oil major in Iraq, and the Iraqi government have agreed to allow the energy group work on the redevelopment and exploitation of four large gas and oil fields in Kirkuk. Unilever's board of directors has decided to part ways with Hein Schumacher, Chief Executive Officer. They have chosen a new leader they feel will operate at a quicker pace. British Ministers plan to offer concessions in their plans for AI companies that will make it easier to use work protected by copyright.
Iraq and BP agree on four Kirkuk oil fields
Iraq and oil giant BP signed a contract to redevelop Kirkuk's four oil and gas fields. BP announced the deal on Tuesday. This is a major breakthrough for Iraq where production has been hampered by war, corruption, and sectarian tensions. The signing takes place a day before BP updates investors on its strategic plan. It is widely expected that BP will reduce investments in renewable energies and return to investing more in oil and natural gas. A senior Iraqi oil official said in early February that BP expects to spend as much as $25 billion on the project over its lifetime.
Italy's Saipem and Norway's Subsea 7, to create a leader in energy services
Saipem, an Italian company, has agreed to merge its Norwegian competitor Subsea 7 into a global leader in offshore energy services. The deal is a 100% share transaction. The two companies announced that the combined group will be called Saipem7. It will have a backlog of orders of over 45 billion euros, revenue of around 20 billion and core earnings exceeding 2 billion. Saipem shares rose more than 5% before falling more than 4.2%. Subsea 7's stock was up 3.2% at 1324 GMT. Analysts raised concerns during a conference call with top management of the two companies about the antitrust risks and the long timeline for the completion of the merger.
Italy's Saipem and Norway's Subsea 7, to create a leader in energy services
Saipem, an Italian company, has agreed to merge its Norwegian competitor Subsea 7 into a global leader in offshore energy services. The deal is a 100% share transaction. The two companies announced that the combined group will be called Saipem7. It will have a backlog of orders of over 45 billion euros, revenue of around 20 billion and core earnings exceeding 2 billion. Saipem shares rose more than 5% before falling more than 4.5%. Subsea 7's stock was up 3.2% at 1324 GMT. Analysts raised concerns during a conference call with top management of the two companies about the antitrust risks and the long timeline for the completion of the merger.
BP abandons renewables targets and returns focus to fossil fuels
BP's CEO will abandon a goal to double renewable energy generation by 2030 and return the focus to fossil energies as part of a new strategy announced on Wednesday in response to investor concerns about earnings. BP shares have been underperforming their rivals over the past few years, and it has already abandoned its goal to reduce oil and gas production by 2030. Two sources familiar with the situation said that on Wednesday, at BP's capital markets day, Murray Auchincloss would tell investors that the company has abandoned its goal to increase renewable generation capacity by 20 times between 2019 and 2030, to 50 gigawatts.
ExxonMobil’s Esso, Mitsui and Woodside to Invest $200M in Gas Project Off Australia
ExxonMobil’s Australian subsidiary Esso Australia Resources and its partners have announced a nearly $200 million investment in the Kipper 1B project which will bring online additional gas supply from the Gippsland Basin.The project, which was approved by Esso Australia, and its co-venturers, MEPAU A (Mitsui), and Woodside Energy, will utilize the Valaris' jack-up rig VALARIS 107 to drill and install one subsea well into the Kipper field, and involve significant upgrades to the West Tuna platform.Drilling into the Kipper field is set to begin later this year…
The German antitrust watchdog wants to regulate the oil market more.
The German antitrust authority called for stronger regulation on the price quotes used on the oil market after an investigation showed that pricing was based on limited information which could be manipulated. Prices are often linked to wholesale contracts, and they can have an indirect impact on retail prices. These price quotations are provided by agencies that report prices, such as S&P Global Commodity Insights and Argus Media. The investigation by the cartel office found that in certain cases, a few market participants were able to dominate the reporting process. This raised concerns about possible price manipulation.
German antitrust watchdog flags price issues in the oil market
The German antitrust authority said on Wednesday that an examination of Germany's oil markets showed pricing issues. It called for stronger legal regulations on price quotes. The Federal Cartel Office will launch an investigation in 2022 into the German refinery and wholesale market for fuels following Russia's invasion. The two-stage investigation examined refinery pricing, fuel imports and supply chains as well as market behaviours. Its goal was to improve competition and price transparency within the sector. The investigation revealed significant risks to the competition posed by price quotes, which are crucial in pricing the entire oil value chain.
Guyana and Dominican Republic make progress on oil drilling, refining
Dominican President Luis Abinader announced on Tuesday that Guyana and Dominican Republic have made progress in negotiating agreements for offshore oil exploration, a fertilizer factory and possibly a refinery to be built in South America. In 2023, the countries signed a Memorandum of Understanding to work on projects in energy. The Caribbean country has expressed interest in exploring Guyana’s Berbice off-shore block. This could require a re-delimitation of an area that was originally explored by a Toronto listed unit of CGX Energy, and eventually returned to the Government.
Venture Global rises after brokerages begin coverage with bullish rating
Venture Global shares reached a weekly peak on February 18th, after several brokerages began coverage of the company with bullish ratings despite its dull market debut in January. Venture Global shares rose 5.8% to $16.87. On January 24, the liquefied gas (LNG), provider started trading at New York Stock Exchange for $24.05 per stock, valuing the company as the largest gas exporter. Its market capitalization is $58.2 Billion. Investors and analysts are concerned about the company's long-term profits and legal disputes with UK energy giants BP and Shell. After the quiet period expired, J.P.Morgan and Citigroup began covering the stock.
Venture Global LNG says it will begin commercial operations at its Calcasieu Pass Louisiana facility in April.
Venture Global LNG announced on Monday that it will start commercial operations in Louisiana at its Calcasieu Pass facility on April 15th, three years after shipping its first LNG cargo and following a dispute of two years with its customers. The company has informed long-term clients, including Shell and BP, of the beginning of commercial operations. Venture Global's failure years after it began selling superchilled gases on the spot market to begin commercial operations led to contract arbitration lawsuits brought by some world's leading oil and gas producers including BP Shell Edison Orlen Repsol. The companies did not respond to requests for comment.
US drillers added oil and gas drilling rigs in the third week of a row, according to Baker Hughes
Baker Hughes, a leading energy services company, said that U.S. firms added oil and gas rigs this week for the third consecutive week for the first since December 2023. The number of oil and gas rigs, a good indicator of future production, increased by two in the week ending February 14 to 588. Baker Hughes reported that despite this week's increase in rigs the total count is still 33 rigs or 5% lower than this time last. Baker Hughes reported that oil rigs increased by one this week to 481 while gas rigs grew by one to 101. Oil and gas rig counts are expected to decline by 5% and 20% respectively in 2024, as the lower U.S.
Aker BP's top shareholder claims that the company has opportunities for acquisition.
Aker BP is a Norwegian oil exploration and production firm that was formed through a series mergers and purchases in the past decade. Its top shareholder stated on Friday that there are opportunities to consolidate further on Norway's Continental Shelf. Aker BP is aiming to increase its production to over 500,000 barrels of oil-equivalent per day by 2028. This will be a significant improvement from the few thousand barrels produced daily in 2013. Oeyvind Ericsen, CEO of Aker ASA, which owns 21.16 percent of Aker BP shares, stated that Norway's second-largest oil company, behind Equinor, could continue to acquire assets from rivals.
ADNOC Drilling plans to refinance $1.25 billion worth of debt
ADNOC Drilling, a division of the state oil company in the United Arab Emirates, wants to refinance its debt due later this year, totaling $1.25 billion. Its chief financial officer announced that on Friday. Youssef Salm, the company's CFO, said that it will refinance term loans worth $500 million as well as a revolving loan facility of $750 million due in October 2025. He said that the capital expenditures for 2025 could be more than $1 billion, including mergers, acquisitions and other activities through its subsidiaries. It said Thursday that it expects to report a net income of between $1.35 and $1.45 Billion this year.
Financial Times reports that Elliott has a $5 billion stake in BP.
The Financial Times reported that Elliott Management, an activist investor, has revealed a nearly 5% stake in BP. This makes it the third largest shareholder of the oil company, citing sources close to the issue. The FT reported that Elliott was trying to get the British oil company, British Petroleum to reduce spending on renewables as well as make large divestments. BP shares dropped 1.3% to 462.5p after the FT article. A BP spokesperson refused to comment. Elliott Management didn't immediately respond to our request for a comment. Murray Auchincloss, the CEO of BP, is on a quest to revive BP’s performance and increase profits.
India demands that Russian oil suppliers comply with sanctions
India, the world's No.2 importer of crude oil from Russia, wants to buy Russian oil only if it is supplied by companies and ships that have not been sanctioned by the United States. India, the No. 2 importer from Russia of crude oil, will only buy Russian oil if the oil is supplied by ships and companies that are not sanctioned by America, according to the oil secretary. The escalating sanctions imposed by the west, including the United States, on Moscow have disrupted global oil markets and forced those who bought discounted Russian crude at a discount to find other ways to keep their purchases.
Sources: Validus Energy will buy natural gas producer, 89 Energy III, for $850 Million.
Sources familiar with the deal said that Validus Energy, a privately owned U.S. gas and oil producer, has agreed to purchase 89 Energy III, a rival company, for $850 million including debt. According to sources, the deal will add more than 25,000 barrels equivalent to oil per day to Validus’s growing footprint in Oklahoma's Anadarko Shale Basin, making it one of the biggest private players in U.S. Mid-Continent region oil. According to its website, 89 Energy III produces 70% gas. Kayne Anderson announced the formation of this company in May 2021, after a merger between three Mid-Continent oil and gas producers.
Aker BP and Total are seeking to increase their stakes in the giant Equinor oilfield
Aker BP announced on Wednesday that TotalEnergies, Aker BP and Equinor are seeking a review of their shares in Equinor’s Johan Sverdrup field in order to increase their holdings. Sverdrup, which is built across several offshore oil-and-gas licences, is owned by Equinor 42.63%, Aker BP 31.57%, Norwegian oil company Petoro 17,36%, and France's TotalEnergies 8.44%. Owners of a field that began producing oil in 2019 have the right of requesting a review of their stakes, based on data from production and reservoirs. Aker BP CEO Karl Johnny Hersvik…
Aker BP and Total are seeking to increase their stake in the giant Equinor oilfield
Aker BP announced on Wednesday that TotalEnergies, Aker BP and Equinor are seeking an independent assessment of their stakes within Equinor’s Johan Sverdrup field in order to increase their holdings. Sverdrup, which is built across a number of offshore oil and gas licenses, is owned by Equinor 42.63%, Aker BP 31.57%, Norwegian oil company Petoro 17.36%, and France's TotalEnergies 8.44%. Owners of the oil field that began production in 2019 have the right of requesting a review of their stakes on the basis of data from the reservoir and production. Aker BP CEO Karl Johnny Hersvik said to reporters that TotalEnergies had used the option of a redetermination procedure.
Financial Times – February 12,
These are the most popular stories from the Financial Times. These stories have not been verified and we cannot vouch their accuracy. BP told 39,000 employees their cash bonus would be only 45% of the target amount after a poor year in financial and operational performance. Gavin Isaacs, the chief executive officer of Ladbrokes' owner Entain has resigned after only five months. Novartis agreed to purchase Anthos Therapeutics for up to $3.1billion after Blackstone Life Sciences had funded the development of Anthos' treatment to prevent strokes and serious blood clots. EU officials said they would take "firm and proportionate" countermeasures against U.S.
