Several US States Likely Withheld from Offshore Drilling Plan
Interior Secretary Ryan Zinke has hinted to at least six coastal states that he will keep their waters out of a looming plan to expand U.S. offshore drilling, telling some they lack enough oil to be included anyway, according to state officials and transcripts from public hearings.Zinke's comments are the clearest indication to date that the Trump administration’s initial proposal to open nearly all U.S. waters to drilling, announced in January, will be significantly pared back by the time it is finalized. The proposal is expected later this year.The administration had billed its initial plan as a good way to boost domestic energy production…
Offshore Drillers Eye Recovery by 2020
Battered oil and gas drilling companies are finally seeing piecemeal signs that the prices they charge for offshore rigs are bottoming out with Brent crude selling for more than $80 a barrel and some are forecasting a full turn in the market by 2020.At the depths of a global slide that took oil below $27 a barrel in early 2016, daily rates for leasing the most sophisticated floating drilling rigs had fallen to just $180,000 from $500,000 a day, as producer returns from North Sea, Latin America and Canadian drilling evaporated.Transocean Ltd…
Unmanned Platform Starts Production at Oseberg Vestflanken 2
The Oseberg Vestflanken 2 field in the North Sea came on stream on Sunday. Remote-operated from the Oseberg field center, the new Oseberg H platform is the first unmanned platform on the Norwegian Continental Shelf. Recoverable resources are 110 million barrels.“With Oseberg H we take a huge technological leap forward. The fully automatic, unmanned and remote-operated platform is digitalization in practice, and I am proud of Equinor and its partners having chosen this in-house developed solution,” says Anders Opedal, Equinor’s executive vice president for Technology…
US Drillers Add Oil Rigs for First Week in Four
The U.S. oil drilling rig count rose this week for the first time in four weeks even as crude prices tumbled to their lowest in almost three weeks.Drillers added eight oil rigs in the week to Oct. 12, bringing the total count to 869, General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday.The increase is the biggest weekly gain since mid August.The U.S. rig count, an early indicator of future output, is higher than a year ago when 743 rigs were active because energy companies have ramped up production to capture prices that are higher in 2018 than 2017.Since June…
Equinor Extends Contract for Maersk Intrepid Rig
Norway's Equinor has awarded Maersk Drilling AS a five-month contract for the Maersk Intrepid rig to provide operational support on the Martin Linge field in the North Sea. Two extension options will also be exercised, and four new options will be added.Maersk Intrepid initially had a contract for operational support for the Martin Linge licence until April 2019. Equinor has chosen to exercise two one-month options, and then start a new contract from June 1 to October 31, 2019.In addition, Maersk Intrepid will get four new two-month extension options.
Rowan Sells Two Jack-up Rigs to ARO Drilling
Texas-based offshore drilling contractor Rowan Companies announced that it has concluded the sale of two LeTourneau TARZAN Class jack-up rigs, the Scooter Yeargain and the Hank Boswell, to ARO Drilling.The net economic impact of this transaction was that Rowan received approximately $90 million in cash and $176 million in shareholder notes from ARO Drilling as consideration for the two rigs.In addition to Rowan's 50% equity stake in ARO Drilling, Rowan now has a total of $445 million of shareholder notes from ARO Drilling.By agreement of the parties…
Michael Shuts Nearly 40% of U.S. Gulf of Mexico Oil Output
Nearly 40 percent of daily crude oil production and more than one-third of natural gas output was lost from offshore U.S. Gulf of Mexico wells on Wednesday because of platform evacuations and shut-ins ahead of Hurricane Michael.Michael is a Category 4 storm expected to hit the Florida Panhandle later Wednesday with maximum sustained winds of 145 miles (233 kilometers) per hour.Oil producers - including Anadarko Petroleum Corp, BHP Billiton, BP and Chevron Corp - have since Monday evacuated personnel from 75 platforms as the storm made its way through the central Gulf.The country's largest privately owned crude terminal…
Chevron becomes first oil major to exit Norway
U.S. oil firm Chevron will become the first oil major to formally exit the Norwegian continental shelf (NCS) as it transfers its last stake in an exploration license, according to a government letter.Oil majors, including Exxon Mobil, BP and Shell, have scaled down their presence in Norway by selling or merging their assets in the mature region to focus on new growth opportunities elsewhere.Chevron is also seeking to sell assets in the British North Sea in order to focus on growing U.S. onshore shale production as well as the giant Tengiz field in Kazakhstan.According to a letter from the Norwegian oil and energy ministry to Chevron dated Sept. 28.
Storm Shuts Nearly 40% of US GoM Oil Output
Nearly 40 percent of daily crude oil production was lost from offshore U.S. Gulf of Mexico wells on Tuesday due to platform evacuations and shut-ins ahead of Hurricane Michael.Since Monday, oil producers, including Anadarko Petroleum Corp, BHP Billiton, BP and Chevron Corp , have evacuated personnel from 75 platforms as the storm made its way through the central Gulf on the way to landfall on Wednesday on the Florida Panhandle.Companies turned off daily production of about 670,800 barrels of oil and 726 million cubic feet of natural gas by midday on Tuesday…
RDIF, Schlumberger Aim to Reach Eurasia Drilling Deal Soon
Russia's RDIF sovereign wealth fund and U.S. oilfield services provider Schlumberger plan to complete a deal soon to buy a stake in Russia's Eurasia Drilling Company, RDIF boss Kirill Dmitriev was cited as saying by TASS news agency.Dmitriev told reporters separately that state oil pipeline monopoly Transneft was considering a share buyback but did not provide details.(Reporting by Darya Korsunskaya; writing by Tom Balmforth; editing by Jason Neely)
GoM Offshore Platforms Evacuated Ahead of Hurricane
Energy companies on Monday halted nearly a fifth of Gulf of Mexico oil production and evacuated staff from 10 platforms as Hurricane Michael intensified and headed for a path up the eastern U.S. part of the Gulf.BHP Billiton, BP, Equinor and Exxon Mobil Corp were evacuating personnel from oil and gas platforms in the Gulf as forecasters predicted the storm would become a Category 3 hurricane.Companies turned off the daily production flow of 324,190 barrels of oil and nearly 284 million cubic feet of natural gas at midday, according to a survey of producers.
Norway to Spend More Looking for O&G Near Russian Border
Norway plans to step up spending on looking for oil and gas in the northern Barents Sea close to its border with Russia, the country's 2019 budget showed on Monday.The government has proposed to allocate an extra 50 million Norwegian crowns ($6.04 million) to conduct a so-called 3D survey over a large geographical structure that straddles the border with Russia."Knowledge is crucial both for good resource management and for safeguarding national economic interests," Norway's Oil and Energy Minister Kjell-Boerge Freiberg said in a statement.The country's oil and energy ministry did not identify the structure…
Baker Hughes Acquires 5% of ADNOC Drilling for $550 Mln
Baker Hughes, the world's second-largest oil services company, will take a 5 percent stake in Abu Dhabi National Oil Company's (ADNOC) drilling unit for $550 million under a tie-up announced on Monday.Baker Hughes (BHGE) becomes the first foreign company to take a stake in one of state-owned ADNOC's services companies under the agreement which values ADNOC Drilling at about $11 billion.It will allow Baker Hughes to cement its presence in the Middle East, the fastest growing region for oil and gas operations, and enable ADNOC…
Equinor's Martin Linge Field Costs Rise Again, Start-up Delayed
Norway has again revised up the estimated cost of developing the Martin Linge oil and gas field, which state-controlled Equinor bought from France's Total last year, with the start-up delayed until 2020, according to the fiscal budget.The North Sea field is now expected to cost 47 billion crowns ($5.7 billion) to develop, up from the 41 billion crowns estimated last year, and 59 percent more than originally seen in 2012.The field's start-up has also been pushed back to the first quarter of 2020 from the first half of 2019, the budget showed.Equinor…
Ensco to Buy Rowan in $2.38 Bln Deal
Offshore driller Ensco Plc said on Monday it plans to buy smaller rival Rowan Cos Plc in an all-stock deal valued at $2.38 billion, as it looks to expand its fleet and benefit from a partnership with Saudi Aramco.This is Ensco's second deal since OPEC-led efforts boosted oil prices in the second half of 2016. Ensco bought rival Atwood Oceanics in a similar deal last year.Rowan shareholders will receive 2.215 Ensco shares for each share held.
Precision Drilling Trumps Ensign Bid for Peer Trinidad
North American drilling contractor Precision Drilling Corp on Friday said it would buy Trinidad Drilling Ltd in a deal valued at C$1.03 billion ($796 million), trumping a hostile bid from rival Ensign Energy Services.The acquisition, which has an enterprise value of about C$4 billion, makes Precision the third-largest driller in the United States with more than 200 active rigs and 322 rigs in total, said the companies, both based in the Canadian province of Alberta."We'll have strong coverage in other U.S. shale plays and in the Permian…
Noble Energy Cashes Out of Tamar Petroleum After Egypt Gas Deal
Texas-based Noble Energy sold its 43.5 percent stake in Israel's Tamar Petroleum after announcing last week that it would help finance a gas export deal with Egypt, the Israeli business daily The Marker reported on Wednesday.Noble's sale of 40 million Tamar shares, at 15.50 shekels ($4.26) each, took place on the Tel Aviv Stock Exchange, The Marker said in the unsourced report.A Noble representative in Israel declined to comment.Tamar shares were up 2.1 percent at 16.39 shekels in midday trade.On Sept. 27, Noble, Israel's Delek…
Mexico Must Boost Oil Exploration to Halt Output Fall -Pemex
Mexico will need to double to about $4 billion its annual oil exploration investment to reverse a 14-year decline in output, a move that will require more funding by Pemex and private producers, a top official with the state-run firm said Friday.The nation's oil industry needs Petroleos Mexicanos to invest more than $2.5 billion per year and another $1 billion to $1.5 billion from private companies to fully replace its reserves, Jose Antonio Escalera, the firm's chief of exploration, said at an energy conference in Acapulco.Pemex this year expects to invest about $1.65 billion, roughly the same as 2017.
Exxon Brazil to Focus on Drilling and Production
Exxon Mobil Corp will focus on drilling and production in Brazil now that it has made extensive acquisitions of oil blocks in the country, the company's chief executive officer in Brazil, Carla Lacerda, said on Thursday.Exxon also sees new opportunities in Brazil's biofuels, bioenergy and gas sectors, Lacerda said during a panel discussion at the Rio Oil & Gas convention in Rio de Janeiro."We are principally in the exploration phase so my big task now is to drill some wells so that we can start up production some day," Lacerda said.Exxon has plowed big money into Brazil to replenish its dwindling reserves…
Exxon Brazil to Focus on Drilling and Production - CEO
Exxon Mobil Corp will focus on drilling and production in Brazil now that it has acquired lots of oil blocks in the country, the company's chief executive officer in Brazil, Carla Lacerda, said on Thursday.Exxon also sees new opportunities in Brazil's biofuels, bioenergy and gas sectors, Lacerda said during a panel debate at the Rio Oil & Gas convention in Rio de Janeiro.Reporting by Anthony Boadle
Israeli, Egyptian Partners Buy into Pipeline to Allow Gas Deal
Israeli and Egyptian partners have agreed to purchase 39 percent of the shares in the EMG pipeline for $518 million, a deal that will enable natural gas exports from Israel to Egypt to begin as early as the start of 2019, the companies said on Thursday.Under the deal, Israel's Delek Drilling and Texas-based Noble Energy who together have been developing Israeli gas fields, will each pay $185 million, while the Egyptian East Gas Co will pay $148 million for the stake in EMG, whose pipeline runs between the two countries.The deal also includes EMG agreeing to end arbitration with Egypt and dropping claims against Cairo regarding the cancellation of a gas
Shell Sees Peak Output for Brazil's Lula Field in 2020, 2021
Brazil's most productive field, the Lula, located in the offshore Santos basin, should hit peak production in 2020 or 2021, after reaching 1 million barrels of oil equivalent per day next year, an executive at Royal Dutch Shell said on Wednesday.The increase in production next year will be helped by the launch of platforms P-67 and P-69, which should go online in 2019, according to Cristiano Pinto da Costa, Shell's general manager for the Santos basin's Lula, Sapinhoa, Iracema and Lapa fields.The Lula field averaged 879,000 barrels of oil per day as of July.
EXCEED Developments Reflect Bullish Growth Strategy
Aberdeen-headquartered well management and performance improvement specialist EXCEED Energy has underlined its continued global expansion with a number of significant contract wins, prompting a key appointment and a move into new premises.Recent contract wins totaling over £18 million will see EXCEED deliver full well management services offshore The Gambia for a southern hemisphere-based exploration company and a drilling campaign offshore Ghana for a Norwegian operator.Head of Well Management, Al Brockie commented, "Both…
Total Sees Cash Flow, Output Boost from Deepwater Projects
Oil and gas major Total said on Tuesday it expected deepwater oil and gas operations to make a strong contribution to its output and cash flow thanks to major developments in the West Africa's Gulf of Guinea region, Brazil and U.S. Gulf area.Production from deepwater projects is expected to reach 500,000 barrels of oil equivalent per day (Kboe/d) by 2020, contributing to its 6 to 7 percent output growth target per year from 2017 to 2020."Deepwater is today for us a growing and very profitable part of the portfolio," Total's President for Exploration and Production Arnaud Breuillac…
Marine Survey Work Starts for Greenlink Interconnector
The subsea field work for the Greenlink interconnector, one of Europe’s most important infrastructure projects, gets under way with the launch of the first of MMT’s survey vessels, MV Franklin.The offshore and nearshore surveying along the proposed route of the electricity link between the UK and Ireland is expected to take approximately 40 days, depending on weather conditions. MMT were awarded the contract for the Greenlink Marine Survey (GMS) by Greenlink Interconnector Ltd in August.Further survey work along the 170km marine route will be undertaken by vessels MV Seabeam, MV Edda Fonn and RED7 Jack-up rig Seariser 2.
Smarter Energy Policy Will Broaden Offshore Recovery
For the past few years, depressed commodity prices, stricter regulatory requirements and competition from onshore development at home and from other countries offering attractive offshore lease and royalty terms have had severe impacts on new exploration in the U.S. Gulf of Mexico. Thankfully, the tide appears to finally be turning.In August, Gulf of Mexico Lease Sale 251 drew increased competition for offerings and $178 million in high bids, $53 million more than previous sale held in March. The results of the August sale reaffirm the paradoxical state of an offshore energy industry in slow recovery mode…
Oil Prices Surge After OPEC Rebuffs Trump
Oil prices jumped more than 2 percent to a four-year high on Monday after Saudi Arabia and Russia ruled out any immediate increase in production despite calls by U.S. President Donald Trump for action to raise global supply.The Organization of the Petroleum Exporting Countries and non-OPEC states, including top producer Russia, gathered in Algiers on Sunday for a meeting that ended with no formal recommendation for any additional supply boost to counter falling supply from Iran."The market's still being driven by concerns about Iranian and Venezuelan supply," said Gene McGillian, director of market research at Tradition Energy in Stamford.
Wild Well Announces Onsite Training
Well control and engineering services firm Wild Well Control, Inc., a Superior Energy Services company, announced that it will offer well control training to drilling rig crews onsite with its rigsite well control Crew Training Unit.Wild Well is an provider certified well control training in the classroom, and the Crew Training Unit extends its leadership to the rigsite with an innovative way to educate drilling rig crews. The training will prepare crews to recognize well control issues and understand how to safely shut-in oil and gas wells.
Tullow Oil abandons First Namibian Well
Africa-focused Tullow Oil will abandon its first well in Namibia, but data gathered in the project indicated it might strike lucky in another attempt, it said on Monday."The Cormorant-1 exploration well in the PEL-37 licence, offshore Namibia, encountered non-commercial hydrocarbons and the well is being plugged and abandoned," Tullow said in a statement."Gas readings while drilling continue to support the concept that there is a working oil system in the area... We will analyse the data gathered before deciding on any future activity…
Noble Corporation Buys Gusto MSC CJ46 Design Jackup Rig
Noble Corporation has announced the purchase of a new Gusto MSC CJ46 design jackup rig from the PaxOcean Group (PaxOcean) in connection with a concurrently awarded drilling contract.Noble paid $33.75 million of the $93.75 million purchase price in cash, with the remainder of the purchase price, or $60 million seller-financed at a 4.25% interest rate paid in cash and 1.25% paid in kind over the term of the financing.The Company used existing cash balances for the initial payment and the secured seller-financed amount is to be repaid in four years.
Transocean Norge to Drill for Equinor
Equinor has awarded Transocean a contract for drilling six wells on the Norwegian continental shelf (NCS) by use of the Transocean Norge mobile rig. Drilling start-up is scheduled for the summer of 2019.The rig has also been awarded a contract option for drilling four additional wells and is intended for subsequent continuing options. Transocean has previously signed a framework agreement with Equinor. Transocean Spitsbergen was the company’s first rig to be included as per the framework agreement terms, and Transocean Norge will be the second.The contract value for the six wells is estimated at approximately $89 million.
Pemex Reaches Deal to See if Talos Find Reaches Its Block
Mexican state oil firm Pemex has reached a preliminary agreement with a consortium led by Talos Energy to evaluate whether the group's find in the Gulf of Mexico extends into a neighboring Pemex block, the companies said in a statement on Thursday.The deal, which covers territory in the shallow waters of the Gulf of Mexico, is the first of its kind for Pemex and will be in force for two years.The Talos consortium, which includes Britain's Premier Oil and Mexico's Sierra Oil & Gas, won development rights for two blocks during the first oil auction launched by President Enrique Pena Nieto.
Semco Maritime Extends Maersk Innovator Cantilever
Maersk Drilling’s ultra-harsh environment jack-up Maersk Innovator is now heading for operation at the Buzzard field in the Central North Sea following a six-week yard stay at Invergordon, during which main contractor Semco Maritime has extended the cantilever alongside various other maintenance and updating projects.Semco Maritime’s main work scope was to extend the cantilever 5 meters in order to allow the rig a larger drilling envelope. The highly complex job involved fabricating and installing beams with flanges up to 100 mm and very high tensile 690 Z grade material requiring special weld procedures…
West Hercules to Drill More Exploration Wells
Seadrill Norway Operations Limited has been awarded a contract for drilling two exploration wells for Equinor in the Barents Sea by use of the West Hercules rig. Drilling is scheduled to start in the spring of 2019.The contract includes options for drilling nine additional wells. The rig is primarily assigned for exploration drilling. The contract is based on a master framework agreement established between Seadrill and Equinor.The rig owner is responsible for integrated drilling services, such as casing running, remote-operated vessel (ROV)…
Morrison, iSIMS Introduce iJacket
Chet Morrison Contractors, an energy service company for the oil, gas and renewables industries, has formed a strategic partnership with iSIMS to launch a new optimized method in jacket and foundation design.The patented iJacket is more structurally optimized than the conventional true X-braced jacket design, supporting the same deck load, conductor/riser count, drilling deck, wind turbine or other payload as its conventional counterpart, the developers said. The design is engineered to provide significant cost savings and reduce material and labor requirements over traditional foundations and jackets by up to 30 percent.Greg Detiveaux…
China Harbour Engineering to Build Berri Field in Saudi Arabia
Saudi Arabian oil giant Saudi Aramco has awarded a contract to China Harbour Engineering Arabia for the construction of two drilling islands under the company’s Berri Increment Program (BIP).The objective of the BIP is to produce an additional 250,000 barrels per day of Arabian Light crude oil from the Berri Oil Field to reach 500,000 barrels per day to maintain Saudi Aramco’s maximum sustained capacity by early 2023.A signing ceremony to mark the contract award was held in Dhahran. Signing on behalf of Saudi Aramco was its Vice President of Project Management…
Henderson Acquires HP Piping Solutions
Drilling rigs and capital drilling equipment sales and service provider Henderson said it has acquired high specification/high pressure fabrication company HP Piping Solutions in a move to further improve its service capabilities within the growing North American oil and gas market.HP Piping Solutions offers high-pressure mud piping, mud gas separators, relief loops, well control manifolds and other drilling-related products. The company also supplies spool pipe and pressure vessel fabrication for the refining and petrochemical industries.
Baltic Eagle Surveys Underway
Fugro has commenced a marine site characterisation programme at Iberdrola’s Baltic Eagle Offshore Wind Farm, in German waters of the Baltic Sea.Under a contract worth over EUR10 million, Fugro will undertake a UXO survey to clear the investigation sites, followed by a geotechnical seabed investigation and borehole drilling. The workscope also includes a programme of standard and advanced laboratory testing.The fieldwork takes place between August 2018 and February 2019 from Fugro vessels including the geophysical vessel Fugro Pioneer and geotechnical drilling vessel, Fugro Scout.
Offshore Wind: Fugro Starts Site Survey in the Baltic
Fugro has commenced a marine site characterization program at Iberdrola’s Baltic Eagle Offshore Wind Farm, in German waters of the Baltic Sea.Under a contract worth over €10 million ($11 million), Fugro will undertake a UXO survey to clear the investigation sites, followed by a geotechnical seabed investigation and borehole drilling. The workscope also includes a program of standard and advanced laboratory testing.The fieldwork takes place between August 2018 and February 2019 from Fugro vessels including the geophysical vessel Fugro Pioneer and geotechnical drilling vessel, Fugro Scout.
Total Bought 25% in Orinduik Block Offshore Guyana
Total says has exercised option to buy a 25 pct interest in Orinduik exploration block offshore Guyana.* Orinduik operated by Tullow Oil off Guyana contains an estimated 3 billion barrels of oil and gas, its partner Eco Atlantic said on Tuesday, as the two firms prepare to drill in the Latin American oil basin.* Tullow plans to begin drilling in the block in the third quarter of 2019, with Eco indicating it will begin "early" in the quarter.* Guyana became one of the world's most closely watched oil basins after Exxon Mobil discovered more than 4 billion barrels of oil equivalent in its Stabroek licence in recent years.Reporting By Ron Bousso
Huisman Building Drilling System for CMHI
This week, China Merchants Heavy Industries (CMHI) awarded Huisman a contract for the engineering and fabrication of a drilling system which will be integrated and installed on the moored drilling semi-submersible constructed at CMHI Haimen.This drilling system will be used for oil and gas drilling activities in shallow to medium water depths all around Asia, particularly the South China Sea.The contract is a result of a constructive cooperation between CMHI and Huisman during the semi’s concept design. The drilling system comprises an 1800kips static rated load Dual Multi Purpose Drilling Tower (DMPT)…
Weatherford CEO's Rebound Plan Relies on Getting Smaller
Four years ago, oilfield company Weatherford International Plc pledged to sell non-core businesses and make paying down debt its top priority after years of borrowing and over spending.It almost worked. Asset sales provided some $1.8 billion to pare debt, and Weatherford's stock nearly doubled that year. But when oil prices plummeted in mid-2014 and customer spending on new wells followed, Weatherford failed to cut costs fast enough and payments on its debt jumped, killing its stock price rally.Mark McCollum, the company's third chief executive officer in two years…
Total E&P South Africa Contract for Solstad Farstad
Norwegian offshore vessel owner Solstad Farstad has been awarded contact for two of its vessels by French oil major Total Total E&P South Africa."Total has awarded Solstad a contract for one Large Anchor Handling Vessel (AHTS) Normand Ranger (2010, VS 491 Design) and one Platform Supply Vessel (PSV) Far Starling (2014, PSV 08 CD Design)," said a press release from the company.The contracts are to support Total E&P South Africa’s drilling campaign in Block 11B/12B for 1 well firm + 1 well option, which is expected to commence Q4 2018. The duration of the contracts are likely to be approx.
Borr Drilling Aims to Start Paying Dividends by 2020
Drilling rig contractor Borr Drilling aims to start paying dividends by 2020, the company's founder and chairman, Tor Olav Troeim, said on Wednesday.Troeim, a former business partner of Norwegian billionaire John Fredriksen, founded Borr Drilling at the end of 2016 and the company has quickly grown into one of the largest owners of jack-up rigs which drill in the shallow waters.Schlumberger, the world's top oil service firm, is Borr Drilling's largest shareholder with a stake of 14.2 percent."We have an ambition to return a significant part of cash back to shareholders quickly ...
U.S. Oil Boom Starts to Cool, Tightening Global Market: Kemp
U.S. oil production is running into capacity constraints, which are starting to have a material impact on the global availability of crude, causing the market to tighten and putting upward pressure on prices.The biggest problem is the lack of sufficient pipeline capacity to move oil from shale wells in western Texas and eastern New Mexico to refineries in the Midwest and export terminals on the Gulf Coast.But production in the Permian Basin has also been constrained by shortages of labour, equipment and materials, which have pushed drilling…
Oil Up as U.S. Drilling Stalls, Iranian Sanctions Bite
Oil prices rose on Monday as U.S. drilling stalled and investors anticipated lower supply once new U.S. sanctions against Iran's crude exports kick in from November.Brent crude oil jumped $1.09 a barrel, or 1.4 percent, to a high of $77.92, but then eased to $77.60 by 1330 GMT. U.S. light crude was 55 cents higher at $68.30."A higher oil price scenario is built on lower exports from Iran due to U.S. sanctions, capped U.S. shale output growth, instability in production in countries like Libya and Venezuela and no material negative impact from a U.S./China trade war on oil demand in the next 6-9 months…
Fugro Secures E&P Support Contracts
Fugro has won three contracts with BHP Petroleum (Deepwater) Inc., which see the company delivering a range of specialist services to support exploration and production operations in Trinidad and Tobago and the Gulf of Mexico.Within Trinidad’s Block 3(a) Fugro is providing geophysical and geotechnical services from dedicated vessels to support the development of the Ruby field. From its deepwater survey vessel, Fugro Searcher, Fugro will conduct 3DHR seismic surveys, seabed clearance and shallow hazards surveys, a flowline corridor survey and a shallow geotechnical survey.
Aker BP, Maersk Drilling Sign Rig Contract off Norway
Maersk Drilling and Aker BP have signed a one-year contract to deploy the Maersk Integrator jack-up rig off Norway from June 2019, Aker BP said in a statement on Thursday.The contract, based on an alliance created between the two firms and Halliburton in 2017, is based on market-rate terms and holds the possibility of a sizeable upside for all parties, based on actual delivery and performance, it said.Maersk Integrator will finish its current campaign on the Gina Krog field off Norway in June 2019, and then go directly to the Ula field in the North Sea for a new one-year assignment with Aker BP.(Reporting by Ole Petter Skonnord, editing by Gwladys Fouc
Transocean Eyes Improved Day Rates, Contract in Late 2019
Offshore driller Transocean expects rates to lease drilling rigs to improve and contracting activity to pick up in late 2019, an outlook that drove its decision for the recently announced $2.7 billion purchase of rival Ocean Rig, Chief Executive Officer Jeremy Thigpen said on Wednesday.The company expects the market for offshore drilling vessels to move back into balance in the coming years, as some 60 units are going to be un-contracted and retire, he said.Reporting by Liz Hampton
Tullow Oil Plans to Drill First Guyana Well in 3Q of 2019
Tullow Oil plans to drill its first well in the much-watched Guyana offshore basin in the third quarter of next year in its Orinduik licence bordering discoveries by Exxon, a spokesman said on Wednesday.Exxon and U.S. partner Hess Corp said that more than 4 billion barrels of oil equivalent could be recovered from the Stabroek block off Guyana, which is part of one of the world's biggest oil discoveries in the past decade.Reporting by Shadia Nasralla
Transocean to Buy Ocean Rig in $2.7 Bln Deal
Offshore oil driller Transocean Ltd said on Tuesday it would buy peer Ocean Rig UDW Inc in a $2.7 billion cash-and-stock deal, its second major acquisition this year as the company bets on a recovery in the offshore sector.The acquisition signals new optimism for offshore drillers, which were hit hard by the steep plunge in oil prices from 2014. Offshore projects, which are more costly than onshore work and take years to develop, became less attractive after oil prices fell to below $30 a barrel in 2016.Global crude prices have since recovered to above $70, renewing producer interest in offshore basins around the world, including Brazil and the U.S.
Transocean to Buy Ocean Rig in $2.7 bln Deal
Drilling rig contractor Transocean Ltd said on Tuesday it would acquire peer Ocean Rig UDW Inc in a cash-and-stock deal valued at about $2.7 billion, including debt.The deal will help Switzerland-based Transocean enhance its fleet of ultra-deepwater and harsh environment floating rigs."The combination of constructive and stable oil prices over the last several quarters, streamlined offshore project costs, and undeniable reserve replacement challenges has driven a material increase in offshore contracting activity," said Transocean Chief Executive Officer Jeremy Thigpen.Transocean will pay 1.6128 newly issued shares and $12.75 in cash for each share of
Maersk Rig Contracted to Aker BP
Maersk Drilling and Aker BP have agreed to a new two-year contract to reactivate and quickly deploy jack-up rig Maersk Reacher in the Norwegian part of the North Sea.Maersk Reacher will be deployed as an accommodation rig, with the option of repurposing the rig for plugging & abandonment for the final phase of the contract. The rig is expected to commence operations in its new role by October, 2018.The flexible contract is agreed upon in continuation of the alliance between Maersk Drilling and Aker BP where the parties have committed to align incentives and co-create optimal solutions.“Like Aker BP…
Aker Energy to Start Ghana Drilling in Oct
Norwegian oil firm Aker Energy will delay submitting a plan for development of its block off Ghana until early next year in order to first complete appraisal drilling, expected to start in October, its chief executive said on Thursday.The unlisted firm, controlled by Norwegian billionaire Kjell Inge Roekke, bought a 50-percent stake in Ghana's Deepwater Tano Cape Three Points block from Hess for $100 million in February.Aker had initially intended to summit a development plan in the second half of 2018, but has since changed its mind."The forecast now is to start drilling in October...
New Managing Director of Semco Maritime Norway
Lars Jønholt Halvorsen has been appointed Managing Director of Semco Maritime Norway as per August 1st. Based in Bergen, Halvorsen now heads all Semco Maritime activities in Norway, including the rig facilities at Hanøytangen, Bergen, as well as Semco Maritime’s offices in Kristiansand and Stavanger.Lars Jønholt Halvorsen joins Semco Maritime from a position as Deputy General Manager and Senior Project Manager at Enhanched Drilling, and before that he held a position as Vice President at Odfjell Drilling.Senior Vice President Lars Skov…
Denmark Swings to Net Oil Importer as North Sea Production Dips
A 25-year period for Denmark as a net oil exporter is set to end this year following output declines in the North Sea, the country's energy agency said on Thursday after slashing its long-term oil production forecast.The Danish Energy Agency expects this year's oil production to reach 128,000 barrels per day (bpd), down from 138,000 bpd last year and 10 percent lower than an estimate given a year ago.The lower production forecast was due to downward adjustments of North Sea resources, as well as delays and greater uncertainty regarding the development of several fields and discoveries.Denmark has been a net oil exporter since 1993…
Noble Chooses Kongsberg for Drillship Monitoring Package
Noble Corporation has contracted Kongsberg Maritime to deliver an advanced new real-time monitoring and advisory solution for the Noble Tom Madden drillship.The contract reflects a growing requirement for deep technology integration on drilling platforms and ships, where sharing vital data on board and ashore results in a state-of-the-art real-time monitoring and advisory solution that will provide significant benefits for operational safety while reducing non-productive time (NPT).The Gusto P10000 design Noble Tom Madden deepwater drillship will join Noble Corporation’s Noble Bob Douglas…
U.S. Shale Producer Magnolia Looks to Triple Market Footprint
U.S. oil producer Magnolia Oil & Gas Corp aims to at least triple in market valuation in coming years as it develops shale acreage across eastern and southern Texas, Chief Executive Steve Chazen said on Wednesday.Magnolia's shares have rallied about 33 percent this year alongside a rise in crude prices and as the company has focused on shareholder returns amidst rising pressure from Wall Street on the sector.The company, formed earlier this year by private equity firm TPG Capital and Chazen, the former Occidental Petroleum CEO…
Colorado Vote on Drilling Rules Coming in November
A Colorado ballot initiative that would mandate increased distance between new oil wells and populated areas will face the state's voters in November, state officials said on Wednesday.The proposal, opposed as anti-fracking by oil and gas producers, would require new projects to be at least 2,500 feet (762 m) from buildings, parks, streams and certain wildlife areas. The state currently requires as little as 500 feet (152 m) of separation.Reporting by Liz Hampton
Petrobras to Appeal Dutch Ruling Favorable to Vantage Drilling
Brazil's state-run oil company Petroleo Brasileiro SA said on Wednesday it will appeal an unfavorable Dutch court ruling related to the suspension of a drilling contract with U.S.-based Vantage Drilling Co.Petrobras said it was informed that a Dutch court had granted a request by the U.S.