Monday, March 8, 2021

Oil Surges After OPEC+ Extends Cuts

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Oil prices jumped about 3% on Friday, hitting their highest levels in over a year, following a stronger-than-expected U.S. jobs report and decision by OPEC and its allies not to increase supply in April.Brent futures rose $2.10, or 3.2%, to $68.84 a barrel by 11:25 a.m. EST (1625 GMT). Earlier in the session, the global benchmark hit its highest since January 2020.U.S. West Texas Intermediate (WTI) crude rose $1.87…

OPEC+ to Weigh Modest Output Boost, Sources Say

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OPEC+ oil producers will discuss a modest easing of oil supply curbs from April given a recovery in prices, OPEC+ sources said, although some suggest holding steady for now given the risk of new setbacks in the battle against the pandemic.The Organization of the Petroleum Exporting Countries and allies, known as OPEC+, cut output by a record 9.7 million bpd last year as demand collapsed due to the pandemic.

Oil Rises to 11-month High

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Oil hit an 11-month high just below $57 a barrel on Tuesday, bolstered by Saudi Arabia's plans to limit supply, offsetting worries that rising coronavirus cases globally would curtail fuel demand.Brent crude settled up 92 cents, or 1.7%, at $56.58 a barrel by after touching its highest level since last February at $56.75. U.S. West Texas Intermediate (WTI) gained 96 cents, or 1.8%,…

Video: The Floating Production Market Faces Headwinds, But Opportunities Exist

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There are around 200 offshore oil and gas projects currently being planned for development using a floating production system, however, at around $2B apiece – some up to $5B – final investment decisions will depend on the market situation and the outlook for oil and gas doesn’t seem too bright. Still, around 60 units are expected to be ordered by 2025, per World Energy Reports.In an interview for Offshore Engineer TV on the outlook for floating production systems…

Total Keeps Dividend But Cuts Investment Target

(File photo: Total)

Total trimmed its 2020 investment target on Friday after a sharp drop in third-quarter net profit, though the French oil and gas producer maintained its dividend.The company cut its investment target to $13 billion from $14 billion and said it was keeping a lid on operating costs too, even as it strives to grow in renewable energy and electricity markets.Energy companies were hit hard…

Lundin Energy Chief Schneiter: Output Trending Upward at Sverdrup

(Photo: Ole Jørgen Bratland / Equinor)

Norway's Johan Sverdrup oilfield, the largest in western Europe, is ramping up production in the fourth quarter after the government increased its production permit, Lundin Energy, a partner in the field, said on Friday.Equinor-operated Sverdrup increased its production capacity to 470,000 barrels of oil equivalent per day (boed) in March from an original 440,000 boed, but output was soon after capped by government-imposed limits.Norway in May joined OPEC and other producers

Offshore Oil Wells, Ports Shut as Hurricane Sally Advances on U.S. Gulf

Hurricane Sally (Photo: NOAA)

Energy companies, ports and refiners raced on Monday to shut down as Hurricane Sally grew stronger while lumbering toward the central U.S. Gulf Coast, the second significant hurricane to shutter oil and gas activity over the last month.The hurricane is disrupting oil imports and exports as the nation's sole offshore terminal, the Louisiana Offshore Oil Port (LOOP), stopped loading tanker ships on Sunday, while the port of New Orleans closed on Monday.The U.S.

Saudi Aramco's Profit Plunges, Sees Signs of Recovery

(Photo: Saudi Aramco)

State oil giant Saudi Aramco's profit plunged 73% in the second quarter of the year, as a slump in energy demand and prices due to the coronavirus crisis hit sales at the world's biggest oil exporter.But the company stuck with plans to pay $75 billion in dividends this year and CEO Amin Nasser said global oil demand was recovering.All major oil companies have taken a hit in the second quarter as lockdowns to contain the coronavirus limited travel…

Equinor's Incoming CEO Wants to Be Best in Offshore Oil, Gas

(Photo: Ole Jørgen Bratland, Equinor)

Anders Opedal, who on Monday was named Equinor's new chief executive, said he wanted the Norwegian oil company to be both best in offshore oil and gas and at the same time have higher climate targets and develop new low-carbon solutions."I want Equinor to be best in offshore oil and gas," Opedal told a news conference at the company's headquarters, adding that he also wanted the company to create a platform for growth for low-carbon solutions."I want to go further ...

ConocoPhillips to Reverse Most Output Cuts by End of Q3

(File photo: ConocoPhillips)

ConocoPhillips said on Thursday it expects production curtailments in the current quarter to be roughly half as much as last quarter and will restore most of its output by the end of September, after the oil and gas producer slashed about a third of its output in April as oil prices plunged 41%.The company restored part of its curtailed volumes earlier in June, as crude prices recovered…

US Oil Rig Count Rises for First Week Since March

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U.S. energy firms cut the number of oil and natural gas rigs operating to a record low for a 12th week in a row, although they added one oil rig in the first weekly increase since March as a recovery in crude prices tempt some producers back to the well pad. The U.S. oil and gas rig count, an early indicator of future output, fell by two to an all-time low of 251 in the week to July 24…

Webinar: Floating Production Forecasts & Analysis

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A free webinar will deliver latest forecasts and market intelligence for the global floating production industry, offering insider access to business and investment opportunities in the deepwater sector.Floating Production Systems: 2020 Forecasts & Analysis, presented by ABS and World Energy Reports, will be held July 29, 2020, 11 a.m. (EDT). REGISTER HERE.The effects of the COVID-19…

Webinar: Floating Production Forecasts & Analysis

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A free webinar will deliver latest forecasts and market intelligence for the global floating production industry, offering insider access to business and investment opportunities in the deepwater sector.Floating Production Systems: 2020 Forecasts & Analysis, presented by ABS and World Energy Reports, will be held July 29, 2020, 11 a.m. (EDT). REGISTER HERE.The effects of the COVID-19…

Coronavirus Outbreaks Hit Petrobras' Quarterly Output

(File photo: Petrobras)

Coronavirus outbreaks at a number of platforms operated by Brazil's Petrobras hit production in the second quarter, the company said on Tuesday, though the firm indicated output may improve in certain regions.In a securities filing, Petroleo Brasileiro SA, as the state-controlled company is formally known, said it produced 2.802 million barrels of oil equivalent per day (boepd) in the second quarter.

Chevron CEO Sees Continued 'Choppy Economic and Price Activity'

Mike Wirth (Photo: Chevron)

The chief executive of U.S. oil giant Chevron Corp on Monday said the uncertainty of the COVID-19 pandemic has it planning for "choppy" oil prices and economic activity globally.Chevron said on Monday it would buy oil and gas producer Noble Energy Inc for about $5 billion in stock, the first big energy deal since the coronavirus crisis started."The crystal ball is cloudy right now," Mike Wirth said in an interview.

OPEC+ Meets to Decide on Oil Output Cuts Easing

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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, or 10% of global supply…

Indonesia's Pertamina Expects up to 180,000 bpd from Rokan Block when It Takes Over from Chevron

Rotan block - Credit: Chevron

Indonesian state oil company PT Pertamina expects to produce 170,000-180,000 barrels per day (bpd) at the Rokan block when it takes over in August next year, the chief executive of Pertamina Hulu Energi, Budiman Parhusip, said on Wednesday.The government decided in 2018 that the operation of Rokan, Indonesia's second-biggest crude oil producing block, would be transferred to Pertamina…

KPMG Flags Oil Trader ZenRock's Questionable Deals

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ZenRock Commodities Trading Pte Ltd is unlikely to continue its core oil trading businesses in the long term, its court-appointed supervisor KPMG Services said in a report that also raised concerns over transactions by the Singapore-based trader.ZenRock was placed under interim judicial management in May after one of its creditors HSBC Holdings PLC alleged that it engaged in a series…

Angola Resisting Pressure to Taper Oil Output

An FPSO in Angola - Credit: venu gopal - MarineTraffic

Angola is resisting pressure by OPEC's de-facto leader Saudi Arabia for a steeper oil output cut to comply fully with record supply curbs, OPEC and industry sources said.The Organization of the Petroleum Exporting Countries and allies, known as OPEC+, have been cutting oil output since May by a record 9.7 million barrels per day after the coronavirus crisis destroyed a third of global demand.After July…

DNV GL: Oil Demand, CO2 Emissions Probably Peaked in 2019

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Global oil demand and carbon dioxide emissions probably peaked in 2019 as the COVID-19 pandemic will have a lasting impact on both, energy consultancy DNV GL said on Wednesday.The Norway-based consultancy, which advises both petroleum and renewable energy companies on risk management and technology, said global energy use would be 8% lower in 2050 than previously expected due to the impact of the pandemic."Lasting behavioral changes to travel…

Shell to Write Down $22B in Wake of Coronavirus

Shell Logo / Image by Alexandr Blinov - AdobeStock

Royal Dutch Shell said on Tuesday it would write off assets worth up to $22 billion after the coronavirus crisis knocked oil and gas demand and weakened the energy price outlook.The impairments follow the Anglo-Dutch company's decision to shift from fossil fuel and reduce its greenhouse gas emissions to net zero by 2050, as laid out by CEO Ben van Beurden in April.Global travel restrictions to prevent the virus spreading affected more than 4 billion people at one point…

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 million bpd from May 1 to offset an oil price and demand slump triggered by the coronavirus crisis.

Norway's May Oil Output Down, But Still Above Forecast

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Norway's oil production fell in May from the previous month but still exceeded official forecasts by 0.9%, the Norwegian Petroleum Directorate said on Friday.The country's crude oil output fell by 2.1% month-on-month from April to 1.74 million barrels per day. The output year-on-year was up by 38.1%, thanks among other things to a ramp-up of Equinor's giant Johan Sverdrup oilfield.Daily natural gas output fell by 12.4% month-on-month…

Brent Crude Rises to Above $42 a Barrel

Image Credit: Галина Сандалова  - AdobeStock

Oil rose to above $42 a barrel on Friday, adding to gains in the previous session, after OPEC producers and allies promised to meet supply cuts and signs of demand, hit by the coronavirus crisis, recovering.Iraq and Kazakhstan, during a meeting of an OPEC+ panel on Thursday, pledged to comply better with oil cuts, sources said. This means the curbs by the Organization of Petroleum Exporting Countries and allies…

Saudi Oil Price Hike Throws Asian Lifeline to U.S. Shale

U.S. Shale ops -Credit:FerrizFrames/AdobeStock

Saudi Arabia's decision to jack up the price of its July exports to Asia may have opened the door for U.S. crude oil producers to boost sales to the region that consumes more oil than anywhere else in the world.State-controlled producer Saudi Aramco hoisted its official selling prices (OSPs) to all regions for July-loading cargoes, but the biggest hikes were for the key Asian region…

Norway to Keep Oil Production Cut Unchanged after OPEC+ Deal

Gullfaks B - Equinor - Photo Ole Jørgen Bratland

Norway, Western Europe's largest oil producer, has no plans to modify its existing plans for production cuts, following the OPEC+ group's agreement to extend a deal on record output cuts to the end of July, the oil ministry said on Monday.On Saturday, OPEC+ agreed to extend the deal to withdraw almost 10% of global supplies from the market by a third month to end-July, sending Brent…

OPEC, Russia Extend Record Oil Cuts

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, which exceeded production quotas in May and June, compensate with…

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 have not fully complied in May deepening their cuts in upcoming months to offset their overproduction…

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, the highest since March 6, after gaining 3.3% on Tuesday.U.S.

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. Iraq has shown weak compliance with its output reduction targets in May.+(Reporting by Ahmad Ghaddar and Dmitry Zhdannikov; Editing by Jon Boyle)

Norway Earmarks $369M for Green Industry Investments

Image for illustration; Credit: Equinor

The Norwegian government proposes spending 3.6 billion Norwegian crowns ($369 million) on investments to make its economy greener as it gradually emerges from coronavirus lockdowns, the government said on Friday."The crisis we are now in hasn't made the need for transformation smaller - it has increased it," Prime Minister Erna Solberg told a news conference.While a half-century of oil and gas production has made Norway one of the world's wealthiest nations…

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. West Texas Intermediate (WTI) crude was down 83 cents…

China, India Soak Up Oil from Floating Storage as Demand Picks Up

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The volume of crude stored on ships in Asia has come off the peaks seen earlier this month on a recovery in demand in China and India, trade sources and analysts said. A total of 3.4 million tonnes (24.8 million barrels) of crude oil was discharged from floating storage into Asian markets in the past seven days, with China the top destination at 1.8 million tonnes and India second at 842,679 tonnes, according to oil analytics firm Vortexa.

Gazprom's Arctic Offshore Platform Ships Its 200th Oil Cargo

Image Credit: Gazprom Neft

Gazprom Neft, the oil branch of Russian gas giant Gazprom, has shipped the 200th consignment of ARCO crude from its Prirazlomnaya offshore platform in the Russian arctic.This milestone shipment was carried out by the Mikhail Ulyanov tanker — several return trips to the Prirazlomnaya platform being necessary to despatch a consignment comprising 70,000 tonnes of oil. "The vessel typically approaches one of various direct-loading facilities — or moves away from the platform…

Kazakhstan: No Shutdown Planned for COVID-19-hit Tengiz Field

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Kazakhstan has no plans to shut down oil production at its biggest oilfield, Tengiz, despite the novel coronavirus outbreak among its workers, the Central Asian nation's energy minister said on Wednesday.Kazakhstan's chief sanitary doctor said last week the field's operator, Chevron-led Tengizchevroil, might have to suspend operations if a plan to curb the spread of the virus at the…

IEA: Global Energy Investment to Plunge 20%

IEA' Executive Director Fatih Birol - Credit: IEA

Global energy investment is expected to plunge by around 20% or $400 billion in 2020, its biggest fall on record, because of the new coronavirus outbreak, the International Energy Agency (IEA) said on Wednesday.The Paris-based IEA said this could have serious repercussions for energy security and the transition to clean energy as the global economy recovers from the pandemic.Governments…

Fugro IOVTEC Wins Survey Work at Hai Long Wind Farm Sites

Fugro Voyager - Credit: Fugro

Fugro IOVTEC, a JV between Dutch Fugro and Taiwan's IOVTEC, has secured an offshore geotechnical site investigation project in Taiwan for the Hai Long 2 and Hai Long 3 offshore wind farms. The Hai Long offshore wind farms are being co-developed by Northland Power Inc, Yushan Energy, and Mitsui & Co. Under the newly awarded contract, Fugro IOVTEC will acquire Geo-data at 32 wind turbine…

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 priced for the purposes of royalty payments at $61.87 per barrel in January…

Poland's PGNiG Expects Over 100,000 Tons of Oil from Skogul in 2020

Processing of oil and gas from Skogul takes place on Alvheim FPSO. Illustration: Aker BP.

Polish oil company PGNiG said Monday it expects to produce about 115 tons of oil from the Skogul field offshore Norway in 2020.First oil from Skogul, located in the North Sea, offshore Norway was achieved in March, 2020. was achieved during the quarter. The field is operated by the Norwegian oil company Aker BP, with a 65% stake, while the Polish firm owns the remaining interest.Jerzy Kwieciński…

Oil Steadies as Demand Uncertainty Tempers Supply Cuts

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Oil prices, which have been driven higher for the past four weeks, were steady on Monday, with holidays in Singapore, London and New York dampening trade, as rising concerns over demand recovery offset supply cuts.Brent had eased by 5 cents, or 0.14% to $35.08 a barrel by 1014 GMT, while U.S. oil gained 14 cents, or 0.42% to $33.39 a barrel. Both are down around 45% so far this year."Uncertainty around the current travel patterns in the U.S.

Gas Output to Resume at Israel's Leviathan After Brief Halt

File photo: Noble Energy

Production at Israel's offshore Leviathan natural gas field will resume in the coming hours after an emergency shutdown on Saturday, the project's operator Noble Energy said [on Saturday].The platform's flare system had been activated to burn off excess gas, generating a flame visible from shore, in what Israel's Energy Ministry called an "emergency closure."Noble initially referred…

Trafigura Takes a Bet with North Sea Oil

Ekofisk field in the North Sea - Credit: ConocoPhillips - Image for illustration

Commodities trader Trafigura has seized the moment and taken a rare dominant position in the North Sea crude market over the past two weeks as oil demand jumped, trading sources said.A combination of OPEC-led global production cuts, cheap freight rates, and oil stuck in floating storage sent crude markets into overdrive starting at the end of April as fuel demand looked set to pick…

China to Boost Energy Reserve Capacity, Support Unconventional Gas Exploration

Illustratin; Image by xmentoys - AdobeStock

China said on Friday it will bolster the capacity of the country's energy reserves and offer lower gas and electricity charges to key industries, as it looks to ensure energy supply and offset the impact of the coronavirus pandemic.In energy announcements on the first day of the parliament, known as the National People's Congress (NPC), authorities also pledged to boost the country's…

Qatar Petroleum to Cut Spending by 30%

Qatar Petroleum CEO Saad al-Kaabi - (File photo: Qatar Petroleum)

Qatar Petroleum will slash its spending by around 30% this year in the face of the sharp drop in oil and gas prices due to the coronavirus epidemic, its Chief Executive said on Thursday.Speaking during a webcast organized by the U.S-Qatar Business Council, Saad al-Kaabi however said that plans to sharply expand Qatar Petroleum's liquefied natural gas (LNG) capacity by the middle of the decade remain on track."We are going through budget revisions...

Woodside to Boost Vincent Crude Quality to Ride VLSFO Demand

The Ngujima-Yin FPSO is used for production from Greater Enfield Project - Image by Bruce Jacques - MarineTraffic

Woodside Petroleum will improve the quality of Vincent crude by increasing its flash point from July so that it can be blended into very low sulphur fuel oil (VLSFO) and capture higher premiums, two sources told Reuters.Among crude grades, heavy sweet oil, with higher density and less sulfur, is most suitable for blending into VLSFO that meets the new marine fuel sulfur regulations dubbed IMO 2020.

Azerbaijan's Jan-April Oil Output Flat

A night view of BP's Shah Deniz Platform located in the Caspian sea, off the coast of Azerbaijan / Credit: BP

Azerbaijan's oil and gas condensate output was flat in January-April at 12.4 million tonnes compared with 12.44 million tonnes in the same period last year, the Energy Ministry said on Thursday.Natural gas output rose to 13.4 billion cubic meters (bcm) in the first four months of 2020 from 11.6 bcm.Azerbaijan exported 10.26 million tonnes of oil in January-April, 9.8 million tonnes of which was oil produced by an international consortium led by BP while 409…

Oil Price at Highest Since March

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Oil rose on Thursday to its highest since March, supported by lower U.S. crude inventories, OPEC-led supply cuts and recovering demand as governments ease restrictions on people's movements imposed due to the coronavirus crisis.Crude prices have slumped in 2020, with global benchmark Brent hitting a 21-year low below $16 in April as demand collapsed. With fuel use rising and mounting signs that the supply glut is being tackled…

Wintershall Dea Earnings Drop

Image Credit: Wintershall Dea

German oil and gas company Wintershall Dea reported a sharp drop in earnings in the first quarter of 2020, prompting it to cut costs and reduce oil and gas exploration.Production amounted to 626,000 barrel of oil equivalent per day (mboe/d) in Jan-March, unchanged from the same 2019 period, the company said in a statement on Wednesday.Due to a weaker price environment for commodities…

Repsol Given Green Light to Use Maersk Inspirer at Yme

Maersk Inspirer - Credit: Maersk Drilling

Spanish oil company Repsol has been given a green light to use the Maersk Inspirer jack-up rig at the Yme field, in the North Sea, offshore Norway.The consent, granted by the Petroleum Safety Authority Norway, to connection, completion, and start-up preparations in conjunction with previously installed fixed facilities on the Yme field.The Yme is a field in the southeastern part of the Norwegian sector of the North Sea, 130 kilometers northeast of the Ula field.

Petronas Farms Out Part of Suriname Offshore Block to Exxon

Image Credit: Zerophoto - ADobeStock

Malaysian oil and gas company Petronas has completed the farm-down of a 50% stake in an offshore Suriname block to a subsidiary of ExxonMobil.The offshore block, known as Block 52, is located north of the coast of Paramaribo, Suriname’s capital city, and is situated in the prospective Suriname-Guyana basin where several major hydrocarbon discoveries were made recently. Block 52 covers an area of 4…

Neptune Energy Terminates Deal to Buy Edison's North Sea Business

Gjøa platform; Credit: Neptune Energy

Oil and gas company Neptune Energy has terminated the agreement to acquire Edison E&P’s UK and Norwegian subsidiaries from Energean Oil and Gas. Neptune will pay a $5 million termination fee to Energean.The two companies had last year agreed for Neptune to buy Edison E&P North Sea assets for up to $280 million, after Energean had previously agreed to buy the oil and gas division of…

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

Oil Price - Illustration - m.mphoto - AdobeStock

Oil prices jumped on Monday, with benchmark Brent hitting a one-month high and U.S. crude topping $30, supported by optimism about the reopening of economies and output cuts by major producers. Brent crude was up $2.32, or 7.1%, at $34.82 a barrel by 1344 GMT, its highest level since mid-April. U.S. West Texas Intermediate (WTI) crude was up $3.35 or almost 11.4% at $32.78 per barrel, its highest since mid-March.

Delek Looking to Sell Karish & Tanin Royalty Rights

Karish and Tanin fields are operated by Energean / The image shows the fields' development plan - Credit: Energean

Israeli energy conglomerate Delek Group said on Sunday it was in talks to sell royalty rights to two small natural gas fields and was amending its proposed share offering.Delek said it planned to sign a 300 million shekel ($85 million) deal to sell the rights to its share of royalties from the Karish and Tanin gas fields offshore Israel in the coming days.The group has been hard hit…

ODE Selected as Duty Holder at Babbage Platform

The Babbage Installation - Image Credit: ODE

Offshore service provider ODE, part of DORIS Group, has won a duty holder contract from NEO Energy (NEO) for the Babbage field in the Southern North Sea."This is a significant ODE milestone as the first installation and pipeline operator (duty holder) appointment in the UK Continental Shelf (UKCS)," ODE said Monday. The company has said it has previously acted as an operations and maintenance…

Lundin Cuts 2020 Oil Output Goal, Raises Long-term Target

Lundin Energy has cut its 2020 oil and gas output target after Norway's decision to reduce production along with OPEC+ producers, the Swedish company said on Monday.The company has a 20% stake in the Equinor-operated Johan Sverdrup field, which reached phase-one plateau output of 470,000 barrels of oil equivalent per day (boepd) in April. It also operates the Edvard Grieg oilfield.Lundin is now targeting daily volumes of 157…

Petrobras Sees No Need to Cut Oil Production

(Photo: Petrobras)

Brazil's state-run Petrobras sees no need for cuts in oil production, executives say, as the market for its crude remains robust in China, while domestic demand for fuel picks up amid social distancing fatigue in Latin America's largest economy.On a Friday earnings call with analysts, executives credited the company's strong relationship with independent refineries in China's Shandong Province…

IEA: Early Signs of Recovery Visible, But Oil Demand Still Set For Record Fall

Oil demand is still set for a record fall in 2020, the International Energy Agency (IEA) said on Thursday, but it trimmed its forecast for the drop citing easing lockdown measures.Demand is expected to fall by 8.6 million barrels per day (bpd), the IEA said in its monthly report, raising its estimate by 690,000 bpd compared to last month.Around 2.8 billion people will be living under confinement measures aimed at containing the novel coronavirus at the end of May…

OMV Sees Hope for Oil Price Recovery in Second Half 2020

For illustration only; An OMV offshore platform in Malaysia -  © OMV Aktiengesellschaft

Austrian energy group OMV sees hope for a recovery in oil prices in the second half of 2020 helped by increased fuel demand and output cuts by producers such as Saudi Arabia, its chief executive said.The spread of the coronavirus has knocked global demand and weighed on crude prices and oil companies' profits.But the willingness of producers such as Saudi Arabia and Norway to drastically cut output shows oil prices have a chance to return to a reasonable level…

BP's Azerbaijan Output Drops

The Deepwater Gunashli platform, offshore Azerbaijan - Image credit: BP/Flickr

BP said on Tuesday that oil output at its projects in Azerbaijan declined to 524,000 barrels per day (bpd) in the first quarter of 2020 from 571,000 bpd a year earlier.Associated gas output at the Azeri-Chirag-Guneshli (ACG) oilfields was 7.9 million cubic meters in the quarter, up from 5.2 million cubic meters a year ago, the BP-led consortium said in a statement.The oilfields account for most of Azerbaijan's oil production.The consortium said it spent about $150 million in

Japan's Inpex Reduces 2020 Profit Guidance by 93%

For illustration; Ichthys Venturer FPSO at Inpex's Ichthys field off Australia - Credit: Inpex

Inpex Corp, Japan's top oil and gas company, on Tuesday cut its annual net profit forecast by 93% after first-quarter earnings slumped due to an oil price collapse and as the coronavirus pandemic choked off international energy demand.The group also warned it is re-evaluating all of its assets and may book impairment losses on some depending on the oil price outlook and a review of project plans.It will make an announcement on that once it has determined any financial impact…

Norway Gov't Cuts Its Oil Price Assumption for 2020

Image Credit: Corona Borealis - AdobeStock

The Norwegian government has cut its oil price assumption for 2020 to 331 Norwegian crowns ($32.17) per barrel from 476 crowns last October, a revised budget showed on Tuesday.Norway is Western Europe's largest oil and gas producer, with petroleum accounting to about 40% of its exports and about a fifth of the state's revenues.Oil prices fell as global oil demand has slumped by about 30% as the coronavirus pandemic has curtailed movement across the world…

Saudi Arabia to Reduce Oil Production Further

Illustration only - Credit:look_67 / AdobeStock

Saudi Arabia will voluntarily deepen oil output cuts from June as low oil prices are causing huge pain to the kingdom's budget and global demand remains weak due to lockdowns to contain the coronavirus pandemic.The announcement by the kingdom to add 1 million barrels per day (bpd) - equal to 1% of global supply - to the previously announced cuts follows last week's phone conversation between U.S.

Equinor CEO Doesn't Believe in Quick Oil Market Rebound

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

More global oil production curtailments will be needed to reduce the gap between supply and demand and normalize the oil market, the chief executive of Norway's Equinor said on Thursday.Eldar Saetre, who led the company through the previous market downturn in 2014-2016, said he did not believe in a quick market rebound, with some analysts predicting prices recovering to $50 and above already next year."I don't believe in that ...

IOG Taps Subsea 7 for North Sea Project SURF

Image Credit: IOG

Offshore installation company Subsea 7 has won a contract by Independent Oil and Gas (IOG) to provide Subsea, Umbilicals, Risers, and Flowlines (SURF) for Phase 1 of IOG's Core Project in the UK Southern North Sea.Subsea 7 will be responsible for the project management, engineering, procurement, construction, and installation of 35km of flow lines between the IOG's Southwark, Blythe…

Equinor Suspends 2020 Production Guidance

An Equinor platform - Credit: Equinor

Equinor has suspended its 2020 oil and gas output guidance amid government-imposed curtailments and a glut of supply, and could take further action to scale back activity this year, the Norwegian energy firm said on Thursday.With operations from the North Sea to Africa, the Americas and Asia, Equinor had expected 7% output growth this year before Norway, Brazil and others joined OPEC+…

Aker BP Cuts Dividend by Two-thirds on Oil Price Slump

Image Credut: Aker BP

Aker BP will cut its quarterly dividend payments by two-thirds due to the COVID-19 pandemic and the plunge in crude prices, the Norwegian oil firm said on Wednesday after reporting a better-than-expected first-quarter core profit.Earnings before interest, tax, depreciation and amortization (EBITDA) came in at $666 million, compared with $539 million a year ago, outperforming a $617…

Total Keeps Dividend Steady in 'Exceptional Circumstances'

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French energy major Total promised to pay a steady cash dividend and said it can break even with low oil prices after the impact of the coronavirus outbreak and a collapse in fuel demand led to a 35% first-quarter profit fall.It also raised its climate ambitions, saying it aims to reach net-zero emissions from its operations and its energy products sold to customers by 2050 at the latest…

Oil Prices Extend Gains on Demand Hopes as Lockdowns ease

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Oil prices jumped again on Tuesday on hopes for a recovery in vehicle traffic and fuel demand as some European and Asian countries along with several U.S. states began to ease coronavirus lockdown measures.West Texas Intermediate (WTI) crude futures were 7.75%, or $1.58, higher at $21.97 per barrel by 0820 GMT. The U.S. benchmark has closed higher for the last four sessions.Brent crude futures were up 5.5%…

Chevron Cuts Spending, Says Asset Sales Lift Profits

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Chevron Corp on Friday slashed its capital spending plans by another $2 billion as the coronavirus pandemic guts demand for oil and gas, while delivering a year-over-year 38% increase in profits.Global fuel demand has crashed by a third while many people shelter at home for an indefinite period. Major oil companies have largely reported losses as an oil glut and a shortage of storage…

Exxon Posts First Loss in 30 Years on $3 Bln Writedown, Oil Plunge

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Exxon Mobil Corp on Friday posted its first quarterly loss in three decades on plunging oil demand and collapsing prices, reporting a $610 million quarterly deficit after a nearly $3 billion inventory writedown.Global fuel demand has tumbled by a third on coronavirus-related lockdowns and business shutdowns. Oil giants largely have reported losses on weaker margins and writedowns from…

Shell Cuts Dividend for First Time Since World War Two

Royal Dutch Shell cut its dividend for the first time since World War Two on Thursday as the energy company retrenched in the face of an unprecedented drop in oil demand due to the coronavirus pandemic.Shell also suspended the next tranche of its share buyback program and said it was reducing oil and gas output by nearly a quarter after its net profit almost halved in the first three months of 2020.Shell's shares in London dropped 6.7% in early trading on Thursday…

BP's Profit Tumbles

Illustration only: A BP Platform in the Caspian Sea - Image Credit: BP

BP's first-quarter profits tumbled by two-thirds as the coronavirus crisis hammered oil demand and the energy major's debt rose sharply as it warned of exceptional uncertainty ahead.London-based BP said it expected significantly lower refining margins in the second quarter when global restrictions on movement to halt the spread of the virus reached their peak, throttling consumption of gasoline…

Angola Says Producer Cuts Insufficient, More Action Needed

(File photo: Total)

Angola sees an oil production curb by OPEC, its allies and other top producers as insufficient to balance global markets, state news agency ANGOP quoted resources and petroleum minister Diamantino Azevedo as saying on Friday."It is up to everyone to understand that, despite the measures taken by OPEC, oil producers in various countries should be aware that they may be called to take more drastic measures," Azevedo said."Because of the lack of storage capacity, continued produ

New Enhanced Digital Smart Positioner

Photo: Rotork

Rotork has introduced the new digital smart positioner which is appropriate for both control and on/off valve applications where enhanced diagnostics are required. It is ideal for highly critical applications in chemical/petrochemical processes.The YT-3700 and YT-3750 pneumatic smart positioners employ continuous monitoring and graphic display of valve position, set point target over…

30+ Companies Compete for Guyana Crude Trading Deal

FPSO used for oil production in Guyana (Photo: SBM Offshore)

More than 30 companies, including commodities traders like Gunvor and Vitol as well as units of oil majors like Exxon Mobil and Royal Dutch Shell, submitted expressions of interest for a contract to market the Guyanese government's share of the country's crude, the government said on Tuesday.The National Procurement and Tender Board administration unveiled the bids after their Tuesday morning deadline.

Norway Deciding Whether to Cut Oil Output

(Photo: Equinor)

Norway's oil minister reiterated on Tuesday that Western Europe's largest oil producer was soon to conclude whether to cut its output following historical curbs agreed by the OPEC+ group.Brent crude front-month contract fell to $18.10 a barrel on Tuesday, its lowest since December 2001, after U.S. May futures dropped to minus $40 a barrel on Monday due to worries about the novel coronavirus pandemic's impact on fuel demand."We have not yet concluded.

U.S. Oil Futures Plumb Historic Sub-Zero Lows, Brent Plunges

Oil price drop - Illustration by Corona Borealis/AdobeStock

U.S. oil futures continued to trade in negative territory on Tuesday, after closing down nearly $40 on Monday in their first-ever sub-zero dive, as concerns grew the United States will run out of storage for a glut caused by the coronavirus lockdown.Global benchmark Brent crude also fell sharply in response to the collapse of demand following reduced economic activity.U.S. West Texas Intermediate (WTI) crude for May delivery traded at minus $7 a barrel by 0955 GMT…

Oil Traders Vie for Guyana Marketing Deal Despite Price Tumble

Liza Destiny FPSO produced first oil from the Liza Phase 1 development offshore Guyana in December 2019 / Image Credit: Hess

Guyana has attracted interest from several oil trading companies for a contract to serve as the marketing agent for the government's share of the country's crude, despite a plunge in global prices, four people familiar with the matter said.Oil major Royal Dutch Shell and commodities traders Gunvor and Mercuria were among the companies that have submitted expressions of interest ahead of the Tuesday morning deadline…

Oil Price Crash, What Next?

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A historic rout in oil markets sent U.S. crude prices plummeting to as much as minus $40 a barrel as traders rushed to get rid of unwanted stocks with storage capacity already overflowing amid a coronavirus-induced demand collapse.U.S. West Texas Intermediate (WTI) crude for May delivery recouped some losses on Tuesday to be just in positive territory, leaving market participants to…

OPEC Slashes Oil Demand Forecast Further

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OPEC on Thursday again slashed its forecast for global oil demand this year due to the coronavirus outbreak and said the reduction may not be the last.The Organization of the Petroleum Exporting Countries now expects global demand to contract by 6.9 million barrels per day, or 6.9%, in 2020, it said in a monthly report.