Friday, October 30, 2020

Oil Market News

Oil Market Stalls as Absence of Signals Compounds Summer Slowdown

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Hedge funds' oil trading largely dried up last week as the normal summer holiday slowdown was compounded by an absence of price or fundamental signals about the future direction of the market.Hedge funds and other money managers purchased the equivalent…

OPEC+ Meets to Decide on Oil Output Cuts Easing

Image by Maksym Yemelyanov - AdobeStock

OPEC and allies such as Russia meet on Wednesday to decide oil output policy from August amid broad market expectations the group will ease supply curbs as the global economy slowly recovers from the coronavirus pandemic.The Organization of the Petroleum Exporting Countries and allies…

China's Sinopec Starts Hiring for New Risk Management Unit

Sinopec Logo: Image by Alexey Novikov - AdobeStock

China Petrochemical Corp, or Sinopec Group, has started hiring for six top management positions for a new commodities risk management unit, according to a statement posted on the state energy company's official wechat account on Sunday.Formally…

Norway to Keep Oil Production Cut Unchanged after OPEC+ Deal

Gullfaks B - Equinor - Photo Ole Jørgen Bratland

Norway, Western Europe's largest oil producer, has no plans to modify its existing plans for production cuts, following the OPEC+ group's agreement to extend a deal on record output cuts to the end of July, the oil ministry said on Monday.On Saturday…

Petronas Braces for Severe 2020 Hit. 1Q Profit Down 68%

(File Photo: Petronas)

Malaysian state oil firm Petronas posted a 68% slump in first-quarter profit on Friday and said it would cut capital expenditure and operating expenses as it braces for a big hit to its full-year performance due to the coronavirus pandemic.Petronas pointed to "unprecedented" market conditions resulting f

Brent Hits One-month High, U.S. Oil Tops $32 as Lockdowns Ease

Oil Price - Illustration - m.mphoto - AdobeStock

Oil prices jumped on Monday, with benchmark Brent hitting a one-month high and U.S. crude topping $30, supported by optimism about the reopening of economies and output cuts by major producers. Brent crude was up $2.32, or 7.1%, at $34.82 a barrel by 1344 GMT, its highest level since mid-April. U.S.

IEA: New Cuts by Saudi Arabia and Others Unlikely to Balance Oil Market

Fatih Birol - IEA Executive Director - Credit: IEA

International Energy Agency (IEA) Executive Director Fatih Birol said on Thursday that recently announced oil output cuts by major Gulf Arab producers would likely not be enough to balance global markets as coronavirus lockdowns hollow out demand."I am happy to see Saudi Arabia…

BIMCO: 2020 and the Collapse of Bunker Fuel Markets

Source: BIMCO

The sulfur regulation from the International Maritime Organization (IMO) that came into force on 1 January 2020 took the center stage in the shipping industry at outset of the new decade. Four months on, the spotlights have turned to the coronavirus…

Aker Braces for Oil Price to Stay Low for Long

Oeyvind Eriksen - Credit; Aker Energy

Aker ASA, a major investor in Norway's oil and oil service industries, is preparing its businesses for an extended period of low crude prices, its chief executive said on Friday"I don't expect the oil market to come into balance during the next couple of years...

Equinor CEO Doesn't Believe in Quick Oil Market Rebound

Equinor Chief executive Eldar Sætre. (Photo: Ole Jørgen Bratland)

More global oil production curtailments will be needed to reduce the gap between supply and demand and normalize the oil market, the chief executive of Norway's Equinor said on Thursday.Eldar Saetre, who led the company through the previous market downturn in 2014-2016…

Equinor Suspends 2020 Production Guidance

An Equinor platform - Credit: Equinor

Equinor has suspended its 2020 oil and gas output guidance amid government-imposed curtailments and a glut of supply, and could take further action to scale back activity this year, the Norwegian energy firm said on Thursday.With operations from the North Sea to Africa…

TechnipFMC Cutting Jobs in Norway

Image Credit: TechnipFMC (Cropped)

Franco-American oil services company TechnipFMC plans to cut up to 700 jobs across its sites in Norway due to the turbulent oil market situation, a spokesman for the company said on Tuesday.TechnipFMC, whose customers include major oil companies…

Total Keeps Dividend Steady in 'Exceptional Circumstances'

Total Logo - Image by dvoevnore/AdobeStock

French energy major Total promised to pay a steady cash dividend and said it can break even with low oil prices after the impact of the coronavirus outbreak and a collapse in fuel demand led to a 35% first-quarter profit fall.It also raised its climate ambitions…

Oil Prices Extend Gains on Demand Hopes as Lockdowns ease

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Oil prices jumped again on Tuesday on hopes for a recovery in vehicle traffic and fuel demand as some European and Asian countries along with several U.S. states began to ease coronavirus lockdown measures.West Texas Intermediate (WTI) crude futures were 7.75%…

Enterprise Offers Crude Shipments From Gulf Coast to Cushing

© Jim / Adobe Stock

Enterprise Products Partners LP said it would offer spot shipments of crude on an existing pipeline from the U.S. Gulf coast to Cushing, Oklahoma, the delivery point for benchmark U.S. crude futures, as demand to store oil inland surges.The move…

Mexico's Pemex to Receive $313 mln in Hedge Payouts

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Mexican state oil company Petroleos Mexicanos (Pemex) expects this year to receive some $313 million from oil and financial firms involved in its annual oil hedging program, Chief Executive Octavio Romero said on Wednesday.Pemex's hedge, which this year covers about a quarter of its gross exports volume…

Is an Oil Market Recovery Underway? Energy Trader Mercuria Sees Positive Signs

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Global oil markets are showing early signs of re-balancing after production cuts by OPEC and the United States, with the market's pricing structure indicating that storing oil on idle tankers may soon no longer be profitable, Mercuria Energy Group…

Woodside Watching Supermajors' Woes for Opportunities

Peter Coleman (File photo: Woodside)

Woodside Petroleum is keeping a close eye out for assets that might come up for grabs from the oil supermajors amid the oil market rout, seeing itself in a position to bid, Chief Executive Peter Coleman said on Friday.The head of Australia's top independent gas producer said…

OPEC Slashes Oil Demand Forecast Further

Image Credit: Maksym Yemelyanov - AdobeStock

OPEC on Thursday again slashed its forecast for global oil demand this year due to the coronavirus outbreak and said the reduction may not be the last.The Organization of the Petroleum Exporting Countries now expects global demand to contract by 6.9 million barrels per day…

Oil Price Crash, What Next?

Illustration; Oil price - Image by OSORIOartist/AdobeStock

A historic rout in oil markets sent U.S. crude prices plummeting to as much as minus $40 a barrel as traders rushed to get rid of unwanted stocks with storage capacity already overflowing amid a coronavirus-induced demand collapse.U.S. West Texas…