Thursday, August 16, 2018

Circulation Tool Helps Operators Cut Rig Time

Photo: Churchill Drilling Tools

With more than 1600 runs and 730 activations, operators across the globe are cutting rig time by deploying the DAV MX CircSub, the flagship tool from specialist oilfield service company, Churchill Drilling Tools. Run in hundreds of wells every year and recognized for its reliability, resilience and versatility, the dart activated DAV MX is the ultimate downhole circulation tool.With demand continuing to grow for the award-winning tool, the company, ahead of exhibiting at ONS in Norway this month, has released details of one of 14 activations in the last year in the Norwegian Sea alone.Demonstrating the DAV MX’s resilience and versatility…

Stena Drilling Streamlines Safety Equipment with VIKING

VIKING offshore evacuation system (Photo courtesy of Stena Drilling)

U.K.-based offshore drilling company Stena Drilling has placed a significant part of its safety equipment and servicing management under a VIKING Offshore Safety Agreement.In early 2018, an extensive review done by VIKING Life-Saving Equipment for its long-time customer revealed the potential for major cost and administration savings in placing much of the company’s safety equipment sourcing and administration under a VIKING Offshore Safety Agreement (OSA), Stena Drilling welcomed the input and signed up. The agreement covers…

Mexico's Obrador Pledges More Than $11 Bln for Refineries

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Mexican President-elect Andres Manuel Lopez Obrador said on Monday his administration will invest more than $11 billion to boost refining capacity in order to curb growing fuel imports.Lopez Obrador, who will take office on Dec. 1, told reporters his government plans to invest $2.6 billion to modernize existing domestic refineries owned and operated by national oil company Pemex, and spend another $8.4 billion to build a new one within three years.The $8.4-billion figure is higher than a $6 billion estimate provided by a key energy advisor during the campaign.Lopez Obrador…

Cantium Contracts Rowan Jack-up

 Image: Rowan Companies plc

Rowan Companies plc announced that the Rowan EXL III, an EXL Class high specification jack-up rig, has been awarded a six-month contract from Cantium in the U.S. Gulf of Mexico.The contract is expected to commence in early November 2018. The EXL III is currently under contract with Cantium in the U.S. Gulf of Mexico through mid to late August 2018. Rowan is a global provider of contract drilling services with a fleet of 27 mobile offshore drilling units, composed of 23 self-elevating jack-up rigs and four ultra-deepwater drillships.The Company's fleet operates worldwide…

US drillers add most oil rigs since May

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U.S. energy companies this week added the most oil rigs since May as drillers follow though on plans to spend more on exploration and production in anticipation of higher crude prices in 2018 than recent years.Drillers added 10 oil rigs in the week to Aug. 10, bringing the total count to 869, the highest level since March 2015, General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday.That rig count increase occurred desite U.S. crude prices being on track to fall for a sixth week…

Oil Gains After Surprise Drop in Saudi Crude Output

© tum2282/ Photo: Adobe Stock

Oil rose on Monday after Saudi crude production unexpectedly fell in July and U.S. drilling appeared to slow, although the price is still almost 10 percent below its 2018 high of more than $80 a barrel.Markets also anticipated an announcement from Washington later on Monday on renewed U.S. sanctions against major oil exporter Iran. So-called "snapback" sanctions are due to be reinstated at 12:01 a.m. EDT on Tuesday, according to a U.S. Treasury official.Saudi Arabia pumped around 10.29 million barrels per day (bpd) of crude in July…

NEw Biodegradable Drilling Rod Grease is Eco-friendly

Photo: Cortec

Constant vibration in drilling operations causes friction and wear on drilling rods. To reduce this wear and increase efficiency, standard aluminum-thickened greases are used to provide extreme pressure protection. Unfortunately, these greases are traditionally petroleum-based and not biodegradable, raising concern about leakage and disposal issues in environmentally sensitive areas.Cortec has released an eco-friendly alternative called EcoLine Drilling Rod Grease, a premium quality biobased and biodegradable lubricant for drilling rod applications.

Noble's Loss Widens on $793 mln Charge

Offshore oil and gas drilling contractor Noble Corp Plc reported a bigger quarterly loss on Thursday, hurt by a $792.8 million impairment expense related to drilling rigs and other equipment.The company, which operates largely in the Gulf of Mexico, has been retiring deep-water rigs as oil producers move away from offshore drilling to cheaper land-based shale.Noble had 54 percent of its fleet in operation in the second quarter of 2018, down from 65 percent a year earlier.

Ship Repair: Damen Wins Stena Don Refit Contract

Damen Verolme Rotterdam (DVR) won a contract by Stena Drilling for a refit of its drilling rig Stena Don. The vessel is scheduled to arrive at the yard in October 2018 and is expected to remain there for around three months. The most significant aspect of the works will be the installation of an eight-point mooring system prior to the rig being deployed off the UK’s Shetland Islands.In advance of the vessel's arrival, preparations are already underway at the yardto ensure that the installation of the mooring system can begin as soon as the Stena Don arrives at the yard. Various elements of the system need to be manufactured.

Oil Up; Traders Cite Crude Build at Cushing

File Image: CREDIT Adobestock / © Hansenn

Traders say Genscape reports crude draw at Cushing; prices rally on hopes latest weekly draw was an anomaly.Oil prices strengthened Thursday, turning higher after traders saw an industry report suggesting U.S. crude stockpiles would soon begin to decline again after a surprise rise in the latest week.Traders said prices rallied when industry information provider Genscape reported that crude inventories at Cushing, Oklahoma, delivery hub for U.S. crude, dropped 1.1 million barrels since Friday, July 27.On Wednesday, prices sank when the U.S. government reported that in the prior week, total U.S.

Oil Fall Again, Rising Supplies Weighs

File Image: Adobestock / © Shamtor

Trade tensions cap gains as U.S. inventories jump, confounding expectations.Oil prices fell for a third day on Thursday, following a surprise increase in U.S. crude inventories that added to existing concern about the rapid rise in global crude supply.Saudi Arabia, Russia, Kuwait and the United Arab Emirates have increased production, as agreed at a meeting in June, to help to compensate for an anticipated shortfall in Iranian crude supplies once U.S. sanctions come into force later this year.Brent crude futures were last down 33 cents at $72.06 a barrel by 1200 GMT, while U.S.

Rising Supply Dents Oil Gains

Oil prices fell for a third day on Thursday, following a surprise increase in U.S. crude inventories that added to existing concern about the rapid rise in global crude supply.Saudi Arabia, Russia, Kuwait and the United Arab Emirates have increased production, as agreed at a meeting in June, to help to compensate for an anticipated shortfall in Iranian crude supplies once U.S. sanctions come into force later this year.Brent crude futures were last down 33 cents at $72.06 a barrel by 1200 GMT, while U.S. crude futures fell 55 cents to $67.11."There's been a lot of bearish news over the last week.

Diamond Offshore Posts Smaller-than-expected Loss

© V. Tonic / MarineTraffic.com

Diamond Offshore Drilling Inc posted a smaller-than-expected loss on Monday, as a fall in revenue was offset by a 15 percent drop in costs.The Houston-based company's total operating expenses fell to $321.2 million from $378.5 million, a year earlier.As oil prices stay above $70 a barrel, oil and gas producers are again showing an interest in expensive offshore projects that can take up to a decade to develop.The rig contractor recorded a loss of $69.27 million, or 50 cents per share, in the second quarter ended June 30, compared to a profit of $15.95 million…

How BP Found Shale Profits With 'Crystal Ball' Oilfield Technology

(File photo: BP)

In the pine forests of eastern Texas, oilfield workers equipped with virtual-reality goggles are helping BP's shale business turn a profit for the first time.Thousands of automated wells feed data on their performance into the firm's supercomputers each evening. If they show a need for maintenance, an Uber-style system summons a subcontracted repair firm to keep the shale wells flowing at optimal output and minimal cost.Such technology has helped slash BP's shale oil and natural gas production costs by 34 percent over five years.

Novatek Spuds First Well at North-Obskiy

Photo: Novatek

PAO Novatek announced that its subsidiary OOO Arctic LNG 3 commenced drilling of the first well at the North-Obskiy license area located in the shallow waters of the Ob Bay.The initial well is drilled using a jack-up floating drilling rig “Amazon” leased from “Gazprom flot”. The drilling process is based on zero discharge principle, whereby all of the waste products are collected and transported 125 km to Sabetta onshore base."We commenced drilling our first well at the North-Obskiy license area characterized with significant geological potential and favorable location in terms of logistics…

COSL to Drill Tui Field Wells for Tamarind Resources

Image: COSL Drilling Europe

Offshore driller COSL Drilling Europe as entered into an agreement with Tamarind Resources for drilling operations with Hai Yang Shi You 982 (HYSY 982) in New Zealand.Tamarind Resources owner of the Tui Field (PMP 38158) announced that it has entered into a contract with COSL Drilling Europe for the semi-submersible rig, HYSY 982 (HYSY 982 is the sister rig of COSLProspector). The contract consists of three firm wells, and options to extend the contract terms for up to one optional side-track development well and up to one optional exploration well, all to be drilled within the Tui permit.

Precision Drilling Posts Bigger-than-expected Quarterly Loss

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Precision Drilling Corp reported a bigger-than-expected quarterly loss on Thursday as increased spending at the Canadian oilfield services company overshadowed higher day rates of its U.S. rigs.Expenditure on expansion more than tripled to C$15.8 million, while maintenance spending was four times higher than a year ago at C$13.1 million."During the quarter, we activated eight rigs in the U.S. and currently have 78 rigs running with visibility for four to six additional activations in the coming weeks," Chief Executive Kevin Neveu said in a statement.Revenue from rig utilization per day rose 10 percent to $21…

Hess Corp Losses Shrink on Higher Oil Prices

Logo: Hess Corp

Oil and gas producer Hess Corp posted a smaller-than-expected quarterly loss on Wednesday as it raked in more money per barrel even as production fell, thanks to higher oil prices.The company's average realized price of crude oil jumped 36 percent to $62.65 per barrel, while production fell 16 percent to 247,000 barrels of oil equivalent per day boe/d, excluding its operations in Libya.U.S. crude prices topped $75 a barrel at June end, rising more than 18 percent in the second quarter.Hess said it earned $31 million from its…

Emerson’s Launches Roxar RMS 11

Photo: Emerson

Emerson has launched Roxar RMS 11, the latest version of its reservoir characterization software, which includes a powerful set of tools for developing smarter and more interactive reservoir modeling, facies modeling and unified tools for channelized reservoirs and region definition.The suite also comes with a new plug-in technology designed to ensure that RMS 11 is ideally placed for future web and cloud-enabled workflows and remains one of the most open and flexible reservoir characterization solutions in the industry today.“Roxar RMS 11 is all about the users…

Oil Prices Set for Weekly Drop as Trade Worries Weigh

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Oil prices came under pressure on Friday from U.S.-China trade tensions and were on course for a third straight week of falls.Brent crude was up 57 cents at $73.15 a barrel by 1344 GMT. The expiring U.S. West Texas Intermediate (WTI) crude for August delivery was up 28 cents at $69.74 a barrel, while the more traded September contract fell 13 cents to $68.11.U.S. President Donald Trump said in a CNBC interview he was ready to put tariffs on $500 billion of imported goods from China.Lower oil demand in the United States and…

Baker Hughes Reports Slight Profit Miss

General Electric Co's oilfield services arm Baker Hughes on Friday reported a slight profit miss on weaker sales in its oilfield equipment and turbomachinery businesses, sending the company's shares down 2.4 percent.Revenue from its oilfield equipment business, which includes deepwater drilling, fell 9.4 percent to $617 million, missing analysts' estimate of $648.2 million.The Houston-based company, however, said the macro outlook for oil markets continues to be favorable."North American production is increasing as operators grow rig and well counts…

Norway Oil Workers, Employers Reach Deal to End Strike

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Norwegian drilling rigs workers will end their industrial action after the union representing 1,600 striking employees reached a deal with the group acting for their employers, the parties said on Thursday.The strike began on July 10 after the Safe union and the Norwegian Shipowners' Association could not come to an agreement over wages and pension conditions. The industrial action led to the shutdown of one Shell-operated field."The strike is over ... All workers will go back to work today," the lead negotiator for the Safe union told Reuters.The action had limited impact on output from Norway…

HENDERSON Opens New Service Center

(Photo: HENDERSON)

Drilling rigs and capital drilling equipment sales and service provider HENDERSON has expanded its service capabilities with a newly opened 60,000 square-foot service center on a 4.8 acre site in Odessa, Texas.The new center serves as a spare parts warehouse and provides rig and equipment services including rebuilding and recertifying rigs, top drives, mud pumps and other drilling rig equipment. It includes a 5,000 square-foot office space, sandblasting area, paint booth, weld shop, 15 overhead cranes and hydrostatic testing."Our aim at HENDERSON is to provide the industry with quick, reliable, turnkey service on rigs and capital equipment.

Keppel Q2 Profit up 44 Percent

Singapore's Keppel Corp posted a 44 percent rise in its second-quarter profit, citing stronger earnings from its property and infrastructure divisions that offset losses in its other segments, including offshore and marine.Keppel, whose businesses range from rig-building to property development, posted a net profit of S$246 million ($179 million)for the quarter ended June, versus S$171 million a year-ago.Total revenue at the company, in which Singapore state investor Temasek is the biggest shareholder, was S$1.52 billion, slightly lower than the S$1.55 billion posted a year ago.Profit at the company's property division rose 132 percent to S$225 million

Oil Prices Fall on Record U.S. Output, Stock Build

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Oil prices fell on Thursday, pressured by a rising dollar and after official data showed an unexpected rise in U.S. crude stockpiles, U.S. output hit a record high and major oil exporters increased production.Benchmark Brent crude oil fell $1.07 to a low of $71.83 a barrel before recovering to trade around $72.35 by 1304 GMT. On Wednesday, Brent hit a three-month low of $71.19. U.S. light crude was 25 cents lower at $67.51.The U.S. dollar hit its highest level against a basket of other currencies since July 2017 on Thursday, up half a percent on the day."Oil prices are reversing course ...

Mermaid Maritime Wins Middle East Contract

DSV Mermaid Endurer. Photo: Mermaid Maritime Public Company Limited.

Thailand-based subsea and offshore drilling services company Mermaid Maritime Public Company announced that its Middle East business unit has been awarded a subsea services contract in a GCC country with an initial contract value of USD 16 million.The contract award, with work scheduled to be performed in the Arabian Gulf during the course of August 2018 until March 2019, will involve the use of the DP2 Dive Support Vessel ‘Mermaid Endurer’ equipped with the Air and SAT Dive systems carrying out the overhauling and dry docking of the calm buoys and installation and disconnection of certain SPMs for an international Oil & Gas company…

Transocean Signs 11 Well Contract with Chevron Australia

Photo: Transocean

The international provider of offshore contract drilling services for oil and gas wells Transocean announced that the ultra-deepwater semisubmersible GSF Development Driller I was awarded an 11-well contract (approximately 955 days) commencing offshore Australia in the first half of 2019 with Chevron Australia.The estimated firm contract backlog, excluding integrated services, is approximately USD 158 million. Additionally, the contract includes four one-well options.Two days ago, Transocean announced that the midwater semisubmersible Transocean 712 was awarded a 13-well contract (approximately 580 days) commencing in March 2019 in the U.K.

Oil Prices Dip as Markets Eye Potential Supply Increases

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Oil prices fell on Monday as concerns about supply disruptions eased and Libyan ports resumed export activities, while traders eyed potential supply increases by Russia and other oil producers.Brent crude futures were down 26 cents, or 0.4 percent, at $75.07 a barrel at 0057 GMT.U.S. West Texas Intermediate (WTI) crude was down 27 cents, or 0.4 percent, at $70.74 a barrel.Supply outages in Libya and strike action in Norway and Iraq pushed oil prices higher late last week, although prices still ended down for a second straight week."Crude oil prices fell as fears of supply disruptions eased.

Norway Strike Delays Equinor Drilling; Short-term Output Safe

(Photo: Kjetil Eide / Equinor)

Norway's Equinor does not expect its output to be affected "in the short-term" after a union escalated an industrial action among drilling workers on Monday, the firm said."More drilling and well operations are affected. We will get delays ... In the short-term we do not see any production or milestone consequences," said Equinor spokesman Eskil Eriksen.He declined to comment on what the company considered "short-term" and what the long-term consequences would be.(Reporting by Lefteris Karagiannopoulos, editing by Gwladys Fouche)

Brazil Charges Former Vantage Drilling Chief with Corruption

Brazilian federal prosecutors on Thursday charged the former chief executive of U.S. oil services company Vantage Drilling with corruption and money laundering, accusing him of offering $31 million in bribes to public officials.Federal prosecutors said in a statement that the charges against former CEO Paul Bragg related to irregularities in a 2009 contract worth $1.8 billion to charter a drill ship to state-run oil firm Petroleo Brasiliero SA.Reuters was unable to locate Bragg or his representatives. Bragg was CEO of the Houston-based company from 2006 to 2016.

No Contact Yet Between Parties in Norway Oil Strike

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A Norwegian union representing striking oil workers and employers' representatives were not talking to each other as of Thursday, days before a possible escalation of the industrial action.Hundreds of workers on Norwegian offshore oil and gas rigs went on strike on Tuesday after rejecting a proposed wage deal, leading to the shutdown of one Shell-operated field and helping send Brent crude prices higher."We haven't been contacted by the shipowners yet. They have to make the contact, they know our demands. Could be a strategic move from them to reach out before we shut more rigs on Sunday…

Hundreds of Oil Workers Strike in Norway

Photo: Harald Pettersen / © Equinor

Hundreds of workers on Norwegian offshore oil and gas rigs went on strike on Tuesday after rejecting a proposed wage deal, leading to the shutdown of one Shell-operated field and helping send Brent crude prices higher.One union said hundreds more workers would join the strike on Sunday if an agreement over union demands for a wage increase and pension rights was not reached.Royal Dutch Shell said that due to the strike it was temporarily closing production at its Knarr field, which has a daily output of 23,900 barrels of mostly oil…

Hundreds of Norway Oil Workers Go On Strike

Photo courtesy of Equinor

Hundreds of workers on Norwegian offshore oil and gas rigs went on strike on Tuesday after rejecting a proposed wage deal, leading to the shutdown of one Shell-operated field and helping send Brent crude prices higher.One union said hundreds more workers would join the strike on Sunday if an agreement over union demands for a wage increase and pension rights was not reached.Royal Dutch Shell said that due to the strike it was temporarily closing production at its Knarr field, which has a daily output of 23,900 barrels of mostly oil…

Oil Prices Climb on Global Demand and U.S. Sanctions on Iran

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Oil prices rose on Monday as increased global demand and U.S. efforts to shut out Iranian output through the use of sanctions outweighed drilling data suggesting that U.S. shale production would climb.Benchmark Brent crude oil was up 60 cents at $77.71 a barrel by 1330 GMT. U.S. light crude rose 10 cents to $73.90."Oil prices are starting the week on the front foot in anticipation of reduced supplies from Iran after U.S. sanctions," said Stephen Brennock, analyst at London brokerage PVM Oil Associates.The United States says it wants to reduce oil exports from Iran…

Oil Mixed as Investors Short-cover and Saudi Boosts Output

File Image (CREDIT: AdobeStock / © Redindie)

On July 6th, 2018, oil was mixed with short-covering, pushing up U.S. crude futures while Brent slipped on global trade tensions and increased Saudi production. West Texas Intermediate (WTI) crude futures gained 61 cents to $73.55 by 11:30 a.m. Global benchmark Brent was down 39 cents at $77 a barrel. For the week, WTI was on track for a loss of about 0.4 percent while Brent was down about 3 percent. "We have a little bit of a rally that's materialized" for WTI, said Bob Yawger, director of energy futures at Mizuho in New York. The rally appears to be a "short covering situation - we were down almost 2 percent yesterday," said Yawger. U.S.

Seadrill Suggests Consolidation for Drilling Market Recovery

Seadrill CEO, Anton Dibowitz (Photo:Seadrill)

On Tuesday, Seadrill CEO, Anton Dibowitz said consolidation of smaller offshore oil rig companies would help boost drilling market recovery in the drilling market. The statement comes a day the offshore rig firm emerged from Chapter 11 bankruptcy proceedings. Seadrill started trading new shares on the New York Stock Exchange and plans to list new shares on the Oslo Stock Exchange by end of July. Shares of Seadrill, controlled by Norwegian-born John Fredriksen, opened at $25 a share, but slid to $18 a share by 11:08am (ET).

U.S. Motorists React to Rising Pump Prices: Kemp

File Image (CREDIT: AdobeStock / © disq)

U.S. traffic volumes are levelling off in a sign the previous stimulus from cheap gasoline prices is fading as pump prices rise. The volume of traffic on U.S. roads was down by almost 0.6 percent in April compared with the same month a year earlier, after seasonal adjustments, according to statistics released on Monday. Traffic volumes declined year-on-year for the first time since the first quarter of 2014, according to the Federal Highway Administration (“Traffic volume trends”, FHWA, July 2018). Volumes in any one month can be distorted by the timing of public holidays, the distribution of working days and weekends, and unusual weather patterns.

Tullow to Pay Seadrill $254 mln Over Ghana Dispute

Photo courtesy of Seadrill

A London judge ordered Tullow Oil to pay rig owner Seadrill around $254 million saying Tullow was wrong to end a rig contract in Ghana on grounds of force majeure over a maritime dispute, Tullow said on Tuesday.Tullow cancelled the contract for Seadrill's West Leo rig in December 2016 after Ghana set a drilling moratorium on its TEN offshore oil and gas field which is located in waters then claimed by both Ghana and Ivory Coast.An international tribunal last year ruled in favour of Ghana, allowing Tullow, the lead operator of the project, to resume drilling.

Vantage Drilling wins $622 mln Settlement against Petrobras

Brazil's state-controlled oil company Petrobras has been fined $622 million by an international tribunal for breaching a 2009 contract with a unit of Vantage Drilling, the U.S.-based rig contactor said on Monday. The tribunal found that Petrobras and its units, Petrobras America Inc (PAI) and Petrobras Venezuela Investments and Services (PVIS) breached a drilllship contract with Vantage Deepwater Co. In 2016 (https://reut.rs/2KKTLwo), Petrobras executive Jorge Zelada was sentenced to 12 years and two months in jail for corruption and money laundering after he was convicted for unduly awarding Vantage a contract in 2009.

Seadrill Exits Chapter 11

File Image: Credit Seadrill

Offshore drilling rig contractor Seadrill said on Monday it had successfully completed its reorganisation, emerging from a U.S. Chapter 11 bankruptcy process launched last September. The company, once the world's largest offshore driller by the market capitalisation, was forced to seek protection from creditors when it was unable to repay its debts amassed during boom years to buy new rigs. When oil prices fell in 2014, oil companies cancelled or postponed exploration plans to save cash which reduced demand for offshore drilling rigs.

Galp to Start Drilling Exploration Well Offshore Portugal

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Portuguese oil company Galp Energia is set to start drilling the country's first deep water offshore exploration well later this year but with only modest hopes of success, its exploration and production director said on Monday.The project, being developed by a consortium of Galp and Italy's ENI off the Alentejo region's Vicentine coast, known for its beaches and large natural park, has led to protests by environmental activists and local municipalities.Thore Kristiansen told Reuters on the fringes of a petroleum engineering event in Lisbon the seismic data shots made the project look "interesting enough so that we at least have to try"…

Eni Denies New Gas Discovery in Egypt

Italian oil and gas group Eni has denied media reports that it has made a major new discovery in Egypt.   "There are prospects and new (geological) structures in Egypt but we still haven't discovered anything...," Chief Executive Claudio Descalzi told reporters on Monday.   He was commenting on the recent reports, including one in the Arab News which quoted a former Egyptian petroleum minister as saying Eni was about to announce another massive gas find.   Eni said last week it would begin drilling an exploratory well at its Noor field in Egypt's North Sinai in two months.   Reporting by Andrea Mandala

East China Sea Dispute: Japan Protests China Drilling Vessel

Image: © da_on/Adobe Stock

Japan has protested to China for allowing a gas drilling vessel to operate in disputed waters in the East China Sea, the government said on Friday.

TransCanada Urges U.S. to Help Gas Pipeline Approvals

File Image (CREDIT: AdobeStock / © Maksym Yemelyanov )

The United States should help the natural gas industry overcome environmental challenges to new pipeline projects by adjusting regulations or adopting new laws favoring infrastructure, an executive at TransCanada Corp said at a conference this week. Suppliers in the United States, the world's biggest natural gas producer, have had a harder time getting shipments to market as more environmental lawsuits by U.S. states, green groups and property owners have tied up pipeline construction. "It's definitely not getting easier to build a new pipeline," Stanley Chapman, executive vice president and president of U.S.

The Culture Clash Behind GE's Exit from Baker Hughes

File Image (CREDIT: AdobeStock / © xmentoys)

When General Electric Co bought oilfield services giant Baker Hughes last July, it created a global industry colossus with $22 billion in annual revenue. GE promised to digitalize oilfields worldwide, marrying its expertise in big data, analytical software and subsea equipment with Baker Hughes' experience in drilling services, chemicals and tools. Less than a year later, GE is bailing out of the deal, the firm announced Tuesday, planning to sell its 63 percent stake in the combined firm over time as part of a larger move to simplify its business and reduce debt.

CORTEC Introduces CRV26 Pressure Relief Valve

CRV26 PRV (Photo: CORTEC)

CORTEC, a manufacturer of high quality API chokes, valves and manifolds, has introduced its new CRV26 Pressure Relief Valve (PRV).The CRV26 PRV is a product of the CORTEC Fluid Control division of CORTEC, which provides a complete line of high-end valves designed and manufactured according to specific project specifications. CRV26 PRV is engineered to protect drilling systems against the dangers of over pressurization and is the first of its kind to be rated to 10,000 PSI systems.Stephen Corte, vice president, CORTEC, said…

Global Maritime Appoints Frank as US Country Manager

Eric Frank (Global Maritime)

Global Maritime appointed Eric Frank to oversee its’ United States operations based out of Houston. Frank, who will also be responsible for Global Maritime’s Dynamic Positioning (DP) services throughout the US, brings 27 years’ offshore and onshore experience to Global Maritime and has been tasked with supporting the company’s continued growth across the region. This includes a number of recent contracts relating to bridge and port infrastructure assessments, mooring designs and rig moves, new build DP testing and trials, and marine warranty services.

Shelf Drilling: Higher Rig Rates, More Consolidation Coming in 2019

File Image: A typical shallow water jackup rig (CREDIT: Cathelco)

Shelf Drilling, the world's largest owner of shallow water rigs, expects to see higher rig rates in 2019 and more consolidation of the fragmented market, Chief Executive David Mullen told Reuters.   Following an initial public offering, the Dubai-based company's shares began trading in Oslo on Monday, four years after abandoning plans to list in London in the wake of an oil price downturn.   Its shares traded at 64.80 Norwegian crowns ($7.98) per share by 1023 GMT, below its initial offer of 65.35 crowns. Reporting by Nerijus Adomaitis

Top Shallow Water Driller Raises $225 Mln in Oslo IPO

Shelf Drilling, a Dubai-based contractor for shallow water rigs, raised about $225 million by issuing new shares priced at 65.35 Norwegian crowns ($8.09) per share, the company said on Friday, the latest drilling firm to list in Oslo to raise capital.Its initial public offering comes four years after the company scrapped plans to list in London just as the oil market's downturn started.Demand for shallow water or jack-up rigs has been steadily growing through 2017 after hitting a bottom at the end of 2016. Brent crude is trading at almost $74 a barrel, up from $27 a barrel in Jan.

Schlumberger Wins in US Supreme Court on Patent Damages

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The U.S. Supreme Court ruled on Friday that companies can recover profits lost because of the unauthorized use of their patented technology abroad in a victory for Schlumberger NV, the world's largest oilfield services provider.The 7-2 decision overturned a lower court's ruling that had enforced limits on applying U.S. patent law overseas and reduced by $93.4 million the damages sum that rival ION Geophysical Corp had to pay for infringing Schlumberger technology that helps find oil and gas beneath the ocean floor. Both companies are based in Houston.The decision expands the ability of patent owners to recover foreign-based damages…

TWMA Acquires US Service Company

Photo: TWMA

TWMA, provider of specialized drilling waste management services, has announced its acquisition of US-based Dynamic Oilfield Services in an eight-figure deal. The move comes as TWMA continues to implement an ambitious growth strategy, with internationalization and service diversity at its heart. The US land drilling market is currently recognized as the fastest growing drilling market in the world, Dynamic Oilfield Services deploys its solids control and surface equipment divisions in some of the most prolific onshore basins in the US.

Oil Exploration Is Ramping Up Off Norway

Photo: Ole Jørgen Bratland / © Equinor

Oil firms are expected to drill 40-50 exploration wells off Norway this year compared to 36 wells drilled the previous year, the Norwegian Petroleum Directorate said on Thursday.The Norwegian continental shelf still held an estimated 4 billion cubic meters (25.2 billion barrels) of oil equivalents in undiscovered petroleum resources, with two-thirds located in the Arctic Barents Sea, it added.Half of estimated undiscovered resources in the Barents Sea, however, are located north of the areas opened for petroleum activities, and it's unclear when oil firms can get access to them.(Reporting by Nerijus Adomaitis, editing by Gwladys Fouche)

Hess Warns Focus on Returns Now Will Hurt US Shale Long-term

John Hess (Photo: Hess Corporation)

Investor pressure on oil producers to focus more attention on shareholder returns and less on output will drive down vital industry investment in the long term, a leading U.S. shale executive said on Thursday.Shareholders have been pushing for more dividends and buybacks from U.S. shale companies, whose heavy investment in production has helped the United States overtake Saudi Arabia to become the world's second biggest oil producer after Russia."Investor sentiment in the last year has really, markedly changed. I'd say it's gone from…

Norway Oil Workers Threaten to Strike

© MAREK SLUSARCZYK / Adobe Stock

Some 2,250 workers on Norwegian offshore oil drilling rigs and in drilling and catering services on oil producing platforms could go on strike this summer after rejecting a proposed wage deal, the Safe labor union said on Thursday.Industri Energi, the largest labor union representing drilling workers, last month agreed to a deal, while the smaller Safe said it would ask its members to vote on the offer made by the Norwegian Shipowners' Association.A strike could hit oil companies' exploration efforts later this summer, although a mandatory round of mediation must be held before any conflict is allowed under Norwegian law.(Reporting by Terje Solsvik, ed

ExxonMobil, Hess Announce Oil Discovery Offshore Guyana

Stena Carron (Photo: Stena Drilling)

ExxonMobil and the Hess Corporation announced an eighth oil discovery offshore Guyana at the Longtail-1 well, creating the potential for additional resource development in the southeast area of the Stabroek Block. The companies said approximately 78 meters of high-quality, oil-bearing sandstone reservoir was encountered. The well was drilled to 5,504 meters depth in 1,940 meters of water by the Stena Carron drillship on May 25, 2018. The Longtail-1 well is located approximately 5 miles west of the Turbot-1 well and follows previous discoveries on the Stabroek Block at Liza…

Wellsite Taps Roger as VP of Administration

Jessica Roger (Photo: Wellsite)

Drilling and completion rental equipment provider Wellsite Fishing and Rental Services, LLC has promoted Jessica Roger to vice president of administration. She will be located at the corporate office in Broussard, La.Roger, who previously served as secretary and treasurer for Wellsite, will be responsible for overseeing internal administration, directing administrative functions in accordance with industry standards, regulatory agencies and company policies and leading, guiding and mentoring staff in their tasks.

Equinor Awards Light Well Intervention Contract to Akofs

Geir Sjøberg (right), CEO Akofs Offshore, and Rannfrid Skjervold, vice president procurement subsurface Equinor.
(Photo: Kjetil Eide / Equinor ASA)

Akofs Offshore has been awarded a contract for light well intervention services using the Akofs Seafarer vessel for all Equinor-operated licences in the period 2020 to 2025.Equinor is the operator of about 560 subsea wells on stream on the Norwegian continental shelf. The wells require maintenance, repairs and new production actions. In 2017 Equinor performed 55 light well intervention operations, the average break-even for new production being less than USD 4 per barrel.Granted for a period of five years the contract for wireline operations on Equinor’s subsea wells includes an option for one 3-year extension.

CNOOC Developing New Deep Sea Gas Block in South China Sea

China's offshore oil and gas producer CNOOC has started developing a new gas field in the South China Sea, the official Xinhua News Agency reported on Tuesday.The Lingshui 17-2 gas field is the first deep sea gas block fully operated by a Chinese company, Xinhua said citing CNOOC officials.The deep sea project, which was discovered in 2014, is 150 km (94 miles) south of China's southern Hainan island, with an average operational depth of 1,500 metres, according to a Reuters report from that year.CNOOC is ready to start building a subsea level platform used for drilling, Xinhua said.(Reporting by Meng Meng and Aizhu Chen; Editing by Tom Hogue)

Equinor Awards $3.7 Billion Service Deals

The Grane platform in the North Sea. (Photo: Harald Pettersen / Equinor ASA)

Norwegian oil and gas firm Equinor has awarded drilling and well service contracts worth 30 billion Norwegian crowns ($3.68 billion) to Schlumberger, Halliburton and Baker Hughes, it said on Monday.The contracts cover integrated well services, such as directional drilling, drill bits, fluids and cementing, for an initial four years, and can be extended for up to 10 years."The purpose of integrated drilling and well services is to clarify roles and responsibilities," Equinor, formerly known as Statoil, said in a statement."This results in less interfaces and more clearly defined responsibilities, facilitating more seamless planning and implementation of

Norway Awards Oil Permits to 11 Firms in Arctic Licensing Round

The West Hercules drilling rig in the Barents Sea. (Photo: Ole Jørgen Bratland / Equinor)

Norway has awarded 12 oil and gas exploration licences to Equinor and 10 other companies focused mostly on the Arctic, where Oslo believes it has the greatest potential for significant new discoveries.Nine of the licences are located in the Barents Sea and three in the Norwegian Sea off central Norway, the Ministry of Oil and Energy said on Monday."This licensing round confirms that the oil companies see opportunities for further profitable petroleum activity in the north," Oil and Energy Minister Terje Soeviknes said in a statement.Equinor…