Friday, February 22, 2019

Oil Output News

Aker Energy Eyes IPO

Photo: Hufton+Crow/Dark Arkitekter

Norwegian oil company Aker said on Thursday that its exploration start-up in Ghana will submit development plans to Ghanaian authorities in March and the parent will then decide whether to sell stakes via an initial public offering or other means.The subsidiary, Aker Energy, plans to develop the deepwater Pecan field off Ghana."Depending on the approval process in Ghana, we believe the first oil is achievable in late 2020 or early 2021," Aker's Chief Executive Oeyvind Eriksen told Reuters during an earnings presentation.A recent appraisal had confirmed contingent resources of 450 million-550 million barrels of oil equivalent (mmboe) at the field…

Oil Rises After Saudi Pledge, Declining U.S. Inventories

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Oil prices rose on Wednesday after top exporter Saudi Arabia said it would cut crude exports and deliver an even deeper cut to its production, and after an industry group reported a surprise decline in U.S. oil inventories.Brent crude, the global benchmark, was up $1.07, or 1.7 percent, at $63.49 a barrel at 9:55 a.m. EST (14:55 GMT), while U.S. West Texas Intermediate futures were up 91 cents, or 1.7 percent, at $54.01."The feel-good factor is back in play but oil bulls are by no means out of the woods yet," PVM Oil Associates…

OPEC Cuts 2019 Oil Demand Forecast

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OPEC cut its forecast for 2019 world oil demand on Tuesday due to slowing economies and expectations of faster supply growth from rivals, underlining its challenge to prevent a surplus even as it starts new production cuts.In a monthly report, the Organization of the Petroleum Exporting Countries lowered its forecast for 2019 economic growth and said demand for its crude would fall to 30.59 million barrels per day, 240,000 bpd less than predicted last month.OPEC, Russia and other non-OPEC producers, an alliance known as OPEC+, agreed in December to reduce supply by 1.2 million bpd from Jan. 1 to prevent excess supply building up.

Deepwater Oil Output to Reach 10 mb/d in 2019

Graph: Rystad Energy

Global deepwater oil production was expected to grow 700,000 barrels  per day (b/d) this year to hit a record high of more than 10 million b/d.Norwegian research group Rystad Energy said that it "expects global deepwater production to reach record high level and surpass 10 million bb/d.""With new fields starting up in Brazil and Gulf of Mexico, we expect the total deepwater liquid production to reach 10.3 million bbl/d in 2019. This is an increase of 700 kbbl/d compared to 2018," it said.In addition to Brazil and the US, Angola…

US Drillers Add Rigs

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U.S. energy firms this week increased the number of oil rigs operating for the first time this year but the rig count in January fell the most in a month since April 2016, as the boom in the Permian, the nation's biggest shale oil formation, cools.Companies added 10 oil rigs in the week to Jan. 25, bringing the total count to 862, General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday.For the month, drillers cut 23 rigs in January, the most removed in a month since April 2016. Over the past two months, they pulled two rigs in December and added 12 in November.The U.S.

Lukoil Opposes Prolonged Global Oil Output Cuts

(Photo: Lukoil)

The global oil output cut should not be prolonged, the head of Russia's second biggest oil producer, Lukoil, said on Wednesday, Interfax news agency reported.Lukoil would have to cut its output by 30,000 barrels per day by April under the OPEC and non-OPEC oil deal, but it could still maintain full-year oil output in 2019 at the same level as in 2018, Vagit Alekperov told reporters on the sidelines of the World Economic Forum in Davos, according to Interfax.Alekperov also said that the current oil price of around $60 per barrel was satisfactory for Russia's budget and for Russian oil companies.

Norway's December Oil Output Misses Forecast

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Norway's oil production fell by 2.1 percent year-on-year in December and lagged the Petroleum Directorate's forecast for the month by 2.5 percent amid technical problems at some offshore fields, the industry regulator said on Monday.December natural gas output fell by 2.5 percent year-on-year, lagging forecasts by 3.6 percent, it added.Norway recently predicted its 2019 oil output would fall to a 30-year low, although it is expected to rebound next year following the start-up later this year of the giant Johan Sverdrup oilfield.(Reporting by Terje Solsvik, editing by Gwladys Fouche)

Norway Awards Record Number of Exploration Blocks

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Norway awarded a record 83 blocks to explore for petroleum resources in mature areas of the Norwegian continental shelf, in a sign of continuing interest from oil companies in the country's oil sector, the energy ministry said on Tuesday.A lack of large discoveries on the shelf has prompted concerns that Norway's top industry, which employs about 170,000 people directly and indirectly, could fall into decline.The government hopes that offering more licenses could trigger more activity."This is the largest licensing award on the Norwegian continental shelf.

Norway Cuts 2019 Oil Output Forecast

Image: Ministry of Petroleum and Energy

The Norwegian Petroleum Directorate (NPD)’s forecasts show that Norway's oil output in 2019 will be smaller than previously forecast and its lowest level in three decades, although it should rebound in the following years."After a minor decline in 2019, oil and gas production will increase from 2020 and up to 2023. Overall production will then approach the record year of 2004," a statement from NPD said.“The activity level on the Norwegian Shelf is high. Production forecasts for the next few years are promising and lay a foundation for substantial revenues, both for the companies and the Norwegian society.

Norway 2019 Oil Output Forecast Cut to 30-year Low

(Photo: Jan Arne Wold / Woldcam)

Norway's oil output in 2019 will be smaller than previously forecast and its lowest level in three decades, although it should rebound in the following years, the country's oil industry regulator said on Thursday.Investment in Western Europe's largest oil producer and Europe's second-largest gas producer, behind Russia, is surging after a decline due to the slump in oil prices in 2014 to 2016.Despite that, oil output in 2018 of 86.2 million cubic meters (mcm), or 542 million barrels, missed a 90.2 mcm forecast made a year ago…

Indonesia's Oil Output Rises

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The Indonesian unit of Chevron Corp produced 209,400 barrels of oil per day (bpd) from the Rokan block in 2018, down from 223,000 bpd a year earlier, Dwi Soetjipto, chairman of upstream oil and gas regulator SKK Migas said.Exxon Mobil produced 209,300 bpd of crude oil from the Cepu block in 2018, compared to 203,000 bpd in 2017, Soetjipto said.BP Berau, a unit of BP Plc, which operates the Tanggu LNG plant produced 1,076 million standard cubic feet per day (mmscfd) of natural gas, versus 965 mmscfd in 2017.Pertamina Hulu Mahakam's gas lifting last year was 832 mmscfd, down from 1,286 mmscfd in 2017.ConocoPhillips' Corridor Block production rose to 840

Russia's 2018 Oil Output Tops Record

(Photo: Lukoil)

Russian oil production rose to a post-Soviet record high of 11.16 million barrels per day (bpd) last year on an annual average basis, data from its energy ministry showed on Wednesday.The total surpassed the previous annual record average of 10.98 million bpd set in 2017.Russian oil output reached 555.838 million tonnes last year, against 547 million tonnes in 2017. Reuters uses a barrels-to-tonnes ratio of 7.33 to 1.All the Russian majors increased their oil production last month in yearly terms.Rosneft, the world's largest listed oil producer by output…

US October Crude Oil Production Tops Record

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U.S. crude oil output hit an all-time high of more than 11.5 million barrels per day in October, according to government data released on Monday.U.S. crude production rose 79,000 bpd in October to 11.537 million bpd, the U.S. Energy Information Administration said in a monthly report. The EIA revised its September oil production figure down by 17,000 bpd to 11.458 million bpd.U.S. oil production broke its 1970 record of 10.04 million bpd in November 2017, and has set monthly record highs for five straight months since June.Production rose to 4.7 million bpd in Texas, 1.37 million bpd in North Dakota and 772,000 bpd in New Mexico.

Oil Rallies but Oversupply, Economic Growth Weigh

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Oil prices rose on Monday after a key Middle East oil minister suggested the market was rebalancing, but investor sentiment remained under pressure from oversupply and concern over the prospects for global economic growth and fuel demand.Brent crude oil was up 30 cents a barrel at $60.58 by 1430 GMT. U.S. light crude was 10 cents higher at $51.30."Oil prices are regaining some ground on the back of bullish rhetoric from OPEC officials," said Stephen Brennock, analyst at London brokerage PVM Oil.Both benchmarks fell more than…

Mexico Targets 50% Jump in Oil Output

Pemex CEO Octavio Romero (Photo: Pemex)

Mexico aims to lift oil and gas production by almost 50 percent in the next six years and in January will award infrastructure and drilling contracts to develop 20 fields, state oil firm Petroleos Mexicanos said on Saturday.Octavio Romero, chief executive officer of the company generally known as Pemex, said the new government would increase exploration investment by around 10 percent annually to reverse dwindling output as he presented a new plan for the industry.President Andres Manuel Lopez Obrador, who took office on Dec.

BP Nears FID at Platina Field Offshore Angola

(Photo: BP)

Angola’s Sonangol and British supermajor BP on Monday signed an agreement to progress to final investment decision (FID) for the development of the Platina field in the BP-operated deepwater Block 18, offshore Angola.Platina would be BP’s first new operated development in Angola since the PSVM project in Block 31 began production in 2013. It would be the second phase of development in Block 18, following the BP-operated Greater Plutonio project, which began production in 2007.The partners also agreed Monday to extend the production licence for the Greater Plutonio project to 2032…

Oil Dives on Fears of Glut, Global Economic Slowdown

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Oil prices tumbled on Tuesday after reports of swelling inventories and forecasts that record U.S. and Russian output will hit a market that may see weaker demand if global growth deteriorates as many expect.U.S. crude oil fell $2.78, or 5.5 percent to trade at $47.10 a barrel by 11:44 a.m. EST (1644 GMT). The session low was $46.97, its weakest since September 2017.Global benchmark Brent lost $2.54, or 4.2 percent to trade at $57.07 a barrel. During the session, Brent hit a 14-month low of $56.86.World stock markets inched higher as investors looked ahead to whether the U.S. Federal Reserve will be able to raise interest rates much further.

Iraq in Deal with Schlumberger to Drill in Majnoon

Iraq has agreed a deal with U.S.

Norway November Oil, Gas Output Missed Forecast

(Photo: Øyvind Hagen / Equinor)

Norway's November oil and gas output was lower than originally expected due to a collision between a navy frigate and an oil tanker that triggered shutdowns of major export facilities and several offshore fields, the country's oil regulator said.Oil output rose slightly in November from October but was 3.9 percent below the Norwegian Petroleum Directorate's (NPD) forecast for the month, the agency said on Wednesday, while adding that gas output was 6.5 percent lower than expected."The main reasons that production in November…

OPEC to Release Country Quotas for Oil Output Cut

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Oil producer group OPEC plans to release a table detailing output cut quotas for its members and allies such as Russia in an effort to shore up the price of crude, OPEC's secretary-general said in a letter seen by Reuters on Thursday.Mohammad Barkindo said to reach the proposed cut of 1.2 million barrels per day, the effective reduction for member countries was 3.02 percent.That is higher than the initially discussed 2.5 percent as OPEC seeks to accommodate Iran, Libya and Venezuela, which are exempt from any requirement to cut.