Monday, August 3, 2020

Russia News

China Starts Construction of Southern Part of China-Russia East Gas Pipeline

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Construction has started on the southern portion of the China-Russia East natural gas pipeline, which carries supplies from the Power of Siberia system in Russia, China Oil & Gas Piping Network Corp (PipeChina) in a statement on Tuesday.This portion starts at Yongqing in China's northern province of Hebei and ends at Shanghai in eastern China.

Santos Flags $560 Mln Impairment Charge on Virus-led Oil Slump

(File photo: Santos)

Australia's Santos said on Tuesday it will book non-cash impairments of up to $560 million after tax, joining a number of global energy majors forced to write down assets after a coronavirus-induced slump in oil prices.The country's second-largest independent gas producer expects to record non-cash charges of between $490 million and $560 million after tax in its 2020 interim results…

Gazprom Neft Sells Its First Arctic Oil Cargo to China

© Owen Foley / MarineTraffic.com

Russia's Gazprom Neft has sold its first ever Arctic oil cargo to China to ChemChina, two sources familiar with the deal told Reuters on Thursday.This week, Gazprom Neft said it had sent 144,000 tonnes of light Novy Port oil grade to the Chinese port of Yantai on the Bohai Sea from Russia's north-western city of Murmansk, using the Northern Sea Route (NSR) through Russia's Arctic waters.The D

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, known as OPEC+, have been cutting output since May by 9.7 million barrels per day…

Gazprom Aims to Increase Gas Supplies to China

(File photo: Gazprom)

Russia's Gazprom is committed to supply as much as 130 billion cubic meters of gas (bcm) to China annually in the longer term, a company official told a conference call on Tuesday.Gazprom currently supplies gas to China via the Power of Siberia pipeline which is yet to reach its full capacity of 38 bcm per year. Gazprom…

Wave of N. American Oil and Gas Bankruptcies to Continue at $40 Oil

© Mike Mareen / Adobe Stock

A wave of oil and gas bankruptcies in North America is likely to continue this year as oil prices remain depressed and a new surge of COVID-19 cases threaten to stall any recovery in fuel demand, law firm Haynes and Boone said in a report released this week.Bankruptcies surged in the second quarter, including from major shale independents Chesapeake Energy and Whiting Petroleum…

OPEC Production in June Cut by 1.25 mbpd

Image by Maksym Yemelyanov - AdobeStock

OPEC has cut oil output in June by 1.25 million barrels per day (bpd) from May levels as it works to implement a supply restraint agreement with Russia and other allies, according to estimates from tanker-tracking company Petro-Logistics.OPEC and its allies, a group known as OPEC+, agreed to cut supply by a record 9.7…

Shale Pioneer Chesapeake Energy Files for Bankruptcy

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Chesapeake Energy Corp filed for Chapter 11 on Sunday, becoming the largest U.S. oil and gas producer to seek bankruptcy protection in recent years as it bowed to heavy debts and the impact of the coronavirus outbreak on energy markets.The filing marks an end of an era for the Oklahoma City-based shale pioneer, and comes after months of negotiations with creditors.

Refineries around Asia Join Chinese Peers in Increasing Production

Refinery - Image by TTstudio/AdobeStock

Refineries from India to South Korea are expected to increase output from June, joining their Chinese counterparts as the easing of lockdown measures boosts demand for oil products, industry executives said.The average operating rate for refineries in Asia is expected to rise to 75.5% and 82.2% in the third and fourth quarters…

OPEC, Russia Extend Record Oil Cuts

Image by Maksym Yemelyanov - AdobeStock

OPEC, Russia, and allies agreed on Saturday to extend record oil production cuts until the end of July, prolonging a deal that has helped crude prices double in the past two months by withdrawing almost 10% of global supplies from the market.The group, known as OPEC+, also demanded countries such as Nigeria and Iraq…

Saudi Arabia, Russia Reach Deal on Oil Output Cut Extension

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OPEC leader Saudi Arabia and non-OPEC Russia have agreed a preliminary deal to extend existing record oil production cuts by one month while raising pressure on countries with poor compliance to deepen their output cuts, OPEC+ sources told Reuters."Any agreement on extending the cuts is conditional on countries who…

Oil Gains, with Brent above $40

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Oil rose on Wednesday, with Brent above $40 for the first time since March, as optimism mounted that major producers will extend output cuts and a recovery from the coronavirus pandemic will spur fuel demand.Brent crude futures for August were up 78 cents, or 2%, at $40.35 a barrel, by 0636 GMT. The contract climbed to as high as $40.53…

Iraq to Further Cut Oil Output

Illustration ony - Image by Douglas Knight/AdobeStock

Iraq will further cut its oil output and remains committed to the OPEC+ deal, finance minister and acting oil minister Ali Abdul Ameer Allawi said on Twitter.OPEC and its allies such as Russia are due to decide later this month whether to extend record oil cuts they approved in April.

Oil Prices Rise Ahead of OPEC+ Meeting on Further Output Cuts

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Oil prices rose on Tuesday, with traders waiting to see whether major producers agree to extend their huge output cuts to shore up prices at a virtual meeting expected later this week.Brent crude futures rose 0.91%, or 35 cents, to $38.67 a barrel as of 0427 GMT.West Texas Intermediate (WTI) crude futures rose 0.56%…

Oil Drops but Still Set for Biggest Monthly Gain in Years

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Oil prices were dragged sharply lower on Friday by weak U.S. fuel demand, fears of a second wave of coronavirus cases in South Korea, and a worsening in U.S.- China relations, but were still on track for a hefty monthly gain.July Brent crude fell 72 cents, or 2%, to $34.57 a barrel by 1203 GMT and the more active August contract also lost 72 cents, or 2%, to $35.31. U.S.

New Hospital Planned for Russian Village Building Novatek's LNG Plant

Illustration; A tanker next to the gravity based structure being built for Novatek - Credit: Novatek

Russia's Arctic region of Murmansk plans to build a new temporary hospital in a village where a vital liquefied natural gas supply plant is being built after an outbreak of the new coronavirus.Murmansk governor Andrey Chibis said the authorities had contained the outbreak in Belokamenka, where Russian gas producer Novatek is building the plant…

'This could be the one that gets me,' Says Oilfield Service Veteran

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Tim Harris was preparing to relocate for an assignment with energy services firm Halliburton Co for the fifth time in 15 years when his career came to a halt.A third-generation employee, Harris rose through the ranks at the top shale-oil services provider to oversee oilfield crews. He sailed through several busts, with the exception of a 9-month break in 2016.But April's historic price crash…

Oil Prices Up as Faith in Supply Cuts Grows

© Pavel Ignatov / Adobe Stock

Oil prices rose on Tuesday, supported by growing confidence that producers are following through on commitments to cut supplies and as fuel demand picks up as coronavirus lockdowns ease.Brent crude futures were up 1.4%, or 48 cents, at $36.01 a barrel by 1210 GMT.U.S. West Texas Intermediate (WTI) crude futures gained 2.3%, or 75 cents, to $34.

Guyana Received $4.9M in Oil Royalties in 1Q

Liza Destiny FPSO is currently producing oil at the Stabroek Block off Guyana - Image Credit: SBM Offshore

Guyana received $4.9 million in royalty payments for oil production at the offshore Stabroek block in the first quarter, the finance ministry said on Monday, a period that included the South American country's first crude exports.The crude produced by an Exxon Mobil Corp-led consortium at the Stabroek's Liza field was…

India's April Crude Processing in Biggest Drop Since 2003

Illustration; Credit: TTstudio / Adobestock

India's crude oil processing in April slumped by 28.8% from a year earlier, its biggest drop since at least 2003, as a nationwide lockdown weighed on fuel demand and forced refiners to cut production.Refiners processed about 14.75 million tonnes or 3.60 million barrels per day (bpd) of oil last month, government data…