Monday, May 20, 2019

Stateowned Oil News

Equinor Stops Drilling Arctic Well After Incident

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

Norway's Equinor has put on hold the drilling of a key exploration well in the Barents Sea after a well incident last week, the company said on Monday.The incident occurred when Seadrill's rig West Hercules was drilling the Gjoekaasen well offshore Norway .The so-called "high-risk, high-impact" well could hold between 26 million and 1.4 billion barrels of oil equivalents, one of Equinor's partners, Aker BP, said last week.Other partners include Sweden's…

Three Nominated to Petrobras Board

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Brazil's government on Monday nominated three new board members for state-owned oil company Petroleo Brasileiro SA (Petrobras), amid accusations that new CEO Roberto Castello Branco was pushing to oust board members.The nominees are Eduardo Bacellar Ferreira, John Forman and Joao Cox.(Reporting by Marcelo Rochabrun; editing by Jason Neely)

Dutch SBM Offshore Leniency Deal Approved by Brazilian Court

Photo courtesy of SBM Offshore

A leniency deal between Brazilian prosecutors and Dutch-based SBM Offshore has been approved by a judge, opening the way for the marine engineering group to bid for new contracts in its largest market.As a result of its role in a major corruption scandal involving state-owned oil company Petrobras, SBM had agreed to pay a total of 1.4 billion reais ($359.2 million) in fines and compensation.The company was accused of paying bribes to secure contracts with Petrobras and had been barred from taking on new business.

Malaysia Agrees to Extend Oil Output Cut

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Malaysia will extend its oil production cuts by another six months after the agreement between OPEC and other oil producers to reduce global supply ends this year.OPEC and non-OPEC producers agreed at a meeting in Vienna on Friday to a new level of production cuts from January to June 2019, setting it at 1.2 million barrels per day from the current rate of 1.8 million barrels per day."Malaysia has agreed to continue its voluntary commitment by reducing its total oil output by 15…

Major Traders Bribed Petrobras Staff -Prosecutors

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Brazil prosecutors alleged on Wednesday that trading giants Vitol, Trafigura and Glencore paid over $30 million in bribes to employees at state-owned oil company Petroleo Brasileiro SA in return for business.The alleged graft was the latest finding of the country's sweeping "Car Wash" investigation, which has uncovered the largest corruption scheme in Brazil in decades and has revealed damaging information about activities at Petrobras, as the oil company…

Eni 'Always Interested' in Abu Dhabi

Claudio Descalzi (Photo: Eni)

Eni CEO Claudio Descalzi on Friday declined to say whether the Italian oil group would bid for the refining unit of Abu Dhabi state-owned oil company ADNOC, but added ENI was "always interested in things regarding" the Gulf country.Descalzi was speaking on the sidelines of the Mediterranean Dialogues conference in Rome.(Reporting by Giselda Vagnoni; Editing by Mark Potter)

Bangladesh Resolves FSRU Issues

(Photo: Excelerate Energy)

Bangladesh will resume liquefied natural gas (LNG) imports this week after resolving issues with its sole floating storage and regasification (FSRU) unit, a senior official said on Monday.Two cargoes, meant to be delivered on Nov. 7 and Nov. 15, had been cancelled as the FSRU was closed due to problems with a hydraulic line that operates an emergency shutdown valve."The problem with the hydraulic line has been resolved now," said Mohammad Quamruzzaman…

ADNOC LNG Wins Extension of Gas Supply Contract to 2040

Image: ADNOC

The Abu Dhabi National Oil Company (ADNOC), has agreed, in principle, to extend to 2040 its gas supply agreement with ADNOC LNG, in coordination with ADNOC LNG’s joint venture partners, Mitsui, BP and Total.The the state-owned oil company of the United Arab Emirates said that the new gas supply agreement is scheduled to take effect from April 1, 2019, replacing an existing agreement, due to expire on March 31, 2019.The extension announcement follows…

Bahrain's Oil Company Targets $1 Bln Through Dual-tranche Bond

Shaikh Mohamed bin Khalifa bin Ahmed Al Khalifa, Chairman (Photo: Nogaholding)

Bahrain's state-owned oil company Nogaholding plans to raise $1 billion through a dual-tranche U.S.

Iraq Transfers Ownership of 9 Companies to New National Oil Company

Iraqi Oil Minister Jabar al-Luaibi issued a decree transferring the ownership of nine state-owned oil companies from the oil ministry to the newly-formed National Oil Company which he also heads, a ministry spokesman said on Thursday.Luaibi took the decision in his capacity as National Oil Company chief, not minister, according to a statement by spokesman Asim Jihad. The decision will be "followed by others within the same framework," Jihad said.Reporting by Ahmed Aboulenein

Baker Hughes to Bid for Petrobras Production-sharing Contract

General Electric Co's unit Baker Hughes is preparing an offer for a production-sharing deal with Brazil's Petrobras, a Baker Hughes executive said on Tuesday, as the state-run oil company seeks creative ways to boost output from mature fields.Reuters reported in June that Baker Hughes was considering a bid, while Halliburton Co and Schlumberger NV were already preparing them, seeking to clinch Petrobras' first-ever tender for a production sharing deal with an oil services company."It's a lot of work.

Bangladesh Shelves LNG Projects as Others Ramp Up

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Bangladesh has put aside two smaller liquefied natural gas (LNG) projects with trading houses Gunvor and Vitol to focus on two larger LNG import terminals, one of which is already in use while the second will start up in March.Bangladesh has turned to LNG to offset falling domestic gas output to feed industrial demand and electricity generation in a nation of 160 million people where a third have no power supply.It aims to import 17 million tonnes a year of LNG by 2025, which in today's terms would make it a top five importer.

Former Banker Pleads Guilty to Role in Laundering Embezzled PDVSA Funds

A former executive with Swiss bank Julius Baer pleaded guilty on Wednesday for his role in a billion-dollar scheme to launder money embezzled from the Venezuelan state-owned oil company PDVSA, the U.S. Justice Department said.Matthias Krull, 44, a German national who is a former Julius Baer Panama vice chairman, pleaded guilty to one count of conspiracy to commit money laundering, the department said in a statement.Reporting by Eric Beech in Washington

Pemex Unit Fined $22 Mln by Competition Authority

Mexico's competition authority said on Tuesday that it has fined a unit of state-owned oil company Pemex for presenting an annual compliance report on antimonopoly measures in the recently opened fuel market a year after it was due.The Federal Commission for Economic Competition, or COFECE, fined Pemex's Industrial Transformation unit, responsible for a range of refining and logistical activities, 418.31 million pesos ($22.1 million) for the late report.COFECE said the report…

Petronas Appoints Ahmad Nizam Salleh as New Chairman

(Photo: Petronas)

Malaysia has appointed Ahmad Nizam Salleh as the new chairman of state-owned oil company Petroliam Nasional Bhd effective immediately, according to a statement from the prime minister's office on Wednesday.Ahmad Nizam has worked in the oil and gas industry for 37 years and has served in Petronas for most of his career, according to the statement.

Pemex Posts $8.2 billion Net Loss in Second Quarter

Mexican state-owned oil company Pemex reported on Friday a 163.16 billion peso ($8.2 billion) net loss for the second-quarter, according to a filing with the Mexican stock exchange.That compares to a profit of 32.76 billion pesos in the year-ago period.Reporting by Anthony Esposito

As Mexico Oil Sector Sputters, Crime and Violence Rattle Industry Towns

Until recently, Edgar Barrera enjoyed a life many Mexicans could only hope for. In a few short years, the 36-year-old bookkeeper rose from handyman to white-collar worker at what seemed to be one of the most stable companies in Latin America: state-owned oil firm Pemex. Thanks to Pemex, Barrera met his wife, vacationed on the Mayan Riviera and envisaged a rewarding career without leaving his hometown in Tabasco, a rural state at the southern hook of the Gulf of Mexico where more than half the population lives on less than roughly $92 a month.

Venezuela's Creditors Call for Unity

File Image: Adobestock / © Renaschild

A group of institutional investors holding roughly 13 percent of Venezuela's foreign debt said on Monday it will not back any restructuring plan that does not imply equal treatment for all creditors. The government of President Nicolas Maduro has halted almost all foreign debt payments, leaving Venezuela, which has a debt load of around $60 billion in direct and subsidiary foreign bonds, in default. Actions by the group, which had largely stayed out of the spotlight…

Oil Prices Ease on China Demand Dip and Rising U.S. Output

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Oil prices fell on Friday as weakening demand in China and surging U.S. output weighed on markets despite supply woes in Venezuela and Iran on top of OPEC's production cuts.Brent crude futures fell 45 cents to $16.87 a barrel by 1333 GMT. U.S. West Texas Intermediate (WTI) crude futures recovered some earlier losses to trade 8 cents down at $65.87. On the week, both contracts were set to trade flat.China's May crude oil imports eased away from a record high hit the previous month…

PDVSA Raises Prospect of Force Majeure on Oil Exports

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OPEC member Venezuela has raised the prospect of declaring force majeure on contracts with major crude buyers amid plummeting output from its oil fields and tanker bottlenecks at ports, according to three sources familiar with the matter.Falling production from Venezuela has contributed to a rally in global oil prices to a near four-year high, and other OPEC members may boost output at a meeting later this month to compensate for the shortfall and other…