Thursday, March 22, 2018

Talisman Energy Inc News

Sinopec Serves $5.5 bln Arbitration Notice to Repsol

China's Sinopec and its subsidiary Addax Petroleum UK Limited have served an arbitration notice to Talisman Energy Inc and Talisman Colombia, both owned by Spanish oil major Repsol, demanding pay back of its 2012 investment in Addax and Talisman joint venture TSEUK, Repsol said in a statement on Friday. The total value of the demand is around $5.5 billion, Repsol said. Reporting By Sonya Dowsett

Talisman Sinopec Energy UK to Cut 300 Jobs

Photo Talisman Sinopec Energy UK

North Sea oil and gas field operator Talisman Sinopec Energy UK said it would cut 300 jobs due to falling production levels and rising operating costs hurt by low oil prices. The company said the number represented a split between 100 employees and 200 contractor positions. The company also introduced immediate reductions in contractor rates. Talisman Sinopec Energy UK is a joint venture between Canada's Talisman Energy Inc and Addax Petroleum UK Limited, a wholly-owned subsidiary of China Petrochemical Corporation (Sinopec Group).

Repsol: Return Shareholders Money if No Acquisitions

Spain's Repsol will return cash to shareholders if it fails to identify a company or assets that meets its acquisition goals, Chief Financial Officer Miguel Martinez said on a conference call on Thursday. Repsol has been searching for acquisitions to boost its exploration and production business and on Wednesday said a deal with Talisman Energy Inc had been among the options it was considering.

Talisman Shareholders Approve Repsol's $8.3b Offer

Talisman Energy Inc common shareholders on Wednesday voted to approve an $8.3 billion offer for the Canadian oil and gas producer from Repsol SA, clearing the way for the Spanish company to acquire Talisman's worldwide operations. Talisman shareholders voted 99.9 percent in favor of Repsol's Dec. 16 offer to pay $8 per share for the company, a 56 percent premium to the day-prior closing price for the company on the Toronto Stock Exchange. Repsol will also assume Talisman's $4.7 billion long-term debt.

Talisman Says Approached by Repsol about Deal

Talisman Energy Inc said on Wednesday it has been approached by Repsol , a day after a report that the Spanish oil producer was considering a bid for Canada's No. 5 oil company. Talisman, which operates in North America, southeast Asia and the North Sea, has long been considered a takeover target as its stock slumped on weak natural gas prices and a poor performance from its North Sea operations. Talisman has been restructuring its businesses in an effort to boost its stock price and assuage disgruntled investors such as Carl Icahn.

Conoco to Cut 7% of Canadian Workforce

Photo: ConocoPhillips

Oil company ConocoPhillips plans to cut about 7 percent of its workforce in Canada, or about 200 employees, as tumbling oil prices have made its operations in the country less profitable. The company, which operates conventional and oil sands operations in Canada, told Reuters on Wednesday the cuts came as oil prices continue to weaken after falling more than 60 percent since June. "The challenging economic environment has required us to make some difficult decisions," Andrea Urbanek, a spokeswoman for the company, said in an email.

Talisman Energy to Cut up to 15% of Head Office Jobs

Talisman Energy Inc, the Canadian oil and gas company being acquired Spain's Repsol SA, plans to cut as much as 15 percent of staff at its Calgary head office as a result of collapsing crude oil prices, a company spokesman said. Around 150 to 200 employees and contractors will be laid off, Talisman spokesman Brent Anderson said, and employees will be notified beginning this week. Other Canadian producers that have already announced job cuts include CNOOC-owned Nexen Energy, Suncor Energy Inc and Royal Dutch Shell.

Talisman to Sell Stakes in Two Australian Offshore Fields

Talisman Energy Inc said on Wednesday it plans to sell its stakes in two oilfields in the Timor Sea off the coast of Australia as Canada's No.5 independent oil producer continues to restructure its global petroleum properties. The company is looking to sell its 40 percent stake in the Corallina and its one-third stake in the Laminaria fields, whose production averaged under 6,000 barrels per day last year, a small fraction of the 373,000 barrels of oil equivalent per day that Talisman averaged over 2013.

Talisman Energy to Sell Kurdistan Assets

Talisman Energy Inc , Canada's No. 5 independent oil and gas producer, said on Wednesday it still plans to sell all or a portion of its exploration properties in Iraq's Kurdistan region despite the conflict in the area and expects to begin a sale process in the next several weeks. Brent Anderson, a spokesman for the Calgary-based company, said an advisor has been selected for the sale process. The company could sell all or part of its oilfields in the region depending on the amount of interest in the sale.

TSX Boosted by Repsol Purchase of Talisman

Canada's main stock index jumped on Tuesday, with Talisman Energy Inc surging 46 percent after Spanish oil major Repsol agreed to buy the independent producer for $13 billion. The Toronto Stock Exchange's S&P/TSX composite index was up 172.61 points, or 1.26 percent, at 13,877.75 in mid-morning trading. "People are recognising that there is a difference between stock prices and business value," said Barry Schwartz, a portfolio manager at Baskin Financial Services.

Repsol Finalizing Bid for Talisman

Spanish oil major Repsol SA is finalizing a bid to acquire Canada's Talisman Energy Inc and has sent executives to Calgary to step up talks, a source with knowledge of the matter said on Friday. The potential takeover offer, first reported by the Financial Times, could be in a range of between $6 and $8 per Talisman share, the newspaper said, a premium of up to 118 percent to their closing price of C$4.26 on Thursday. Shares in the Calgary-based company, Canada's fifth-largest independent petroleum producer, were up 31.5 percent at C$5.60 at 1500 GMT.

Talisman Energy Posts Surprise Loss

Talisman Energy Inc, Canada's fifth-largest independent petroleum producer, reported a surprise loss, hurt by lower gas prices in North America and higher royalty payments on production. The company, which was approached by Spain's Repsol SA last week for talks over a potential deal, said higher operating costs in the United Kingdom and Norway also weighed on netbacks. Netbacks is revenue a company gets from the sale of hydrocarbons, minus costs of getting the fuel to the market.

Husky Energy Swings to Loss, Cuts 2015 CapEx

Husky Energy Inc, Canada's No.3 integrated oil company, swung to a quarterly loss and cut its capital budget for the second time in three months as oil trades at five-year lows. The company, controlled by Hong Kong billionaire Li Ka-shing, said it expects to spend C$3 billion to C$3.1 billion ($2.47 billion) in 2015. The company cut its budget by a third to C$3.4 billion in December. Husky joins Cenovus Energy Inc, MEG Energy Corp and other Canadian oil producers, who have lowered capital investments due to a 50 percent drop in global prices since June.

Sapura Commences Production at B15 Gas Field

Photo courtesy Sapura E&P

Sapura Exploration and Production (Sarawak) Inc., a wholly-owned subsidiary of Sapura Energy Berhad (SEB), informed that it has commenced production at the B15 field. The B15 gas field development is a maiden gas development project for Sapura E&P and the first gas milestone was achieved within two years of the sanction of its Field Development Plan (FDP). The B15 field was discovered in December 2010 and is located within the SK310 Production Sharing Contract (PSC) area, offshore Sarawak, East Malaysia.

Repsol to Discuss Bid of Talisman

The board of Spanish oil major Repsol will on Monday discuss a potential bid for 100 percent of Talisman Energy, Repsol said in a statement to Spain's stock market regulator. Talisman had said earlier on Monday it was engaged in discussions with Repsol regarding a potential corporate transaction, without giving any further details. It also said it had been approached by a number of other parties regarding various transactions. Bloomberg said Canada Pension Plan was weighing a bid. Reporting by Julien Toyer

Repsol Buying Talisman Energy for $13 billion

Repsol agrees to buy Canada's 5th largest oil producer; offers 56 pct premium to Talisman market value. Spain's Repsol has agreed to buy Talisman Energy, Canada's fifth-largest independent oil producer, for $13 billion, showing how the drop in oil prices is pushing energy companies to take the plunge on big M&A deals. A near halving in the oil price since June has lowered price tags on producers like Talisman, spurring renewed interest from Repsol which has long been searching for oil and gas assets in North America and elsewhere.

Statoil to Become U.S. Shale Operator by 2013

Statoil ASA (STO, STL.OS), which built its oil and gas expertise in Norway's offshore waters, is stretching its land legs in the U.S., where it seeks to partake of the shale bounty. Like many international oil and gas companies, Norway's Statoil has poured billions into joint ventures with some of the North American independents that in the last decade figured out how to profitably unlock the oil and gas trapped in shale, bankrolling their drilling while hoping to learn some of their techniques.

Cenovus Energy: Transportation Bottlenecks Impact Production

File Image (CREDIT: AdobeStock / (c) Pisotckii)

Canada's Cenovus Energy Inc said on Thursday it was running oil sands production below capacity and stockpiling excess oil due to trouble with exporting through maxed-out pipelines to the United States. The company forecast first-quarter production to double from a year earlier, but blamed transportation bottlenecks for reduced prices of its crude, compared to U.S. alternatives. Canadian heavy oil discount has widened against the West Texas Intermediate (WTI) benchmark recently as growing inventories have led to a supply buildup.

Noble Energy Buying Rosetta Resources

Oil and natural gas producer Noble Energy Inc said it would acquire Rosetta Resources Inc for about $2 billion in stock, highlighting a consolidation being driven by a steep fall in global oil prices. The deal will give Noble entry into the Eagle Ford Shale field and the oil and gas region of Permian Basin in Texas. Rosetta shareholders will receive 0.542 Noble Energy shares for each share held, or $26.62 per share, based on Noble's closing price of $49.12 on Friday. The offer represents a 38 percent premium to Rosetta's Friday close of $19.33.

North American Energy IPOs Set to Rebound in 2018

File Image: Credit DSM

Higher oil prices and a positive earnings outlook for energy companies are expected to fuel a rebound in North American oil and gas initial public offerings in 2018, with bankers betting investors will remain optimistic about the sector even if the broader stock market remains volatile. IPOs in the United States and Canada could reach their highest in four years, and oilfield services companies are seen leading the recovery, given their pressing capital needs.