Wednesday, June 19, 2019

Western Canada News

Canada Makes First Propane Shipment

The first shipment of Canadian propane departed RIPET on Canada’s West Coast on May 23. The facility is expected to ship approximately 1.2 million tonnes of propane annually to customers in Asia. Photo: CNW Group/AltaGas Ltd.

North American energy infrastructure company energy infrastructure company AltaGas celebrated the grand opening of its Ridley Island Propane Export Terminal (RIPET), located in Prince Rupert, British Columbia – the first marine export facility for propane in Canada.The facility began introducing propane feedstock in mid-April…

Shell Pursues Exit from Indonesia LNG Project

Royal Dutch Shell is moving to sell its stake in Indonesia's $15 billion Abadi liquefied natural gas (LNG) project, industry and banking sources said, following on from an asset disposal program that has raised more than $30 billion.Shell, the world's largest buyer and seller of LNG, is raising cash…

GasLog: LNG Demand Grew 9% in 2018

Image: GasLog

Liquefied natural gas (LNG) is expected to have increased by 9%, from 288 million tonnes per annum (mtpa) in 2017 to 313 mtpa in 2018, said GasLog.The Monaco-based owner, operator and manager of LNG carriers said in a stock exchange announcement that China’s LNG imports increased by approximately 16 mtpa…

Moody's Says Global Oil and Gas Heads into 2019 on Steady Footing

Pic: OPEC

The global Oil and natural gas prices will be volatile, but also range-bound in 2019, Moody's Investors Service says in its annual report outlining key credit themes in oil and gas for the year ahead.While the recent announcement that OPEC and Russia will cut production helps alleviate concerns about oversupply…

Canadian Oil & Gas Drilling Slipping

© Mark Duffy / Adobe Stock

Canadian drilling activity will fall 5 percent in 2019, as deep price discounts discourage production, an industry group forecast on Thursday.Canadian oil producers are collecting prices that are much lower than the U.S. benchmark due to severe pipeline bottlenecks, and weak prices may lead producers…

Enbridge's Profit Beats Estimates

(Photo: Enbridge)

Enbridge Inc, Canada's largest pipeline operator, topped analysts' estimates for quarterly profit on Friday, as the company transported more oil on its Mainline system that runs from western Canada to the United States.The company said it moved 2.58 million barrels per day (bpd) of crude oil on its Mainline system during the quarter…

Exxon Mobil Profit Tops Estimates

© cherylvb / Adobe Stock

Exxon Mobil Corp on Friday reported a quarterly profit that topped analysts' estimate on higher prices received for its oil and natural gas but its production volumes fell on a year-over-year basis.The company's third-quarter net income rose 57 percent to $6.24 billion, or $1.46 a share, compared with $3.97 billion, or 93 cents per share a year ago.

Pan Orient Energy Announces Thailand Oil Discovery

Map: Pan Orient Energy

The oil and natural gas company Pan Orient Energy Corp announce that the L53-DD1 exploration well encountered an interpreted, combined 26 meters of net oil pay within three separate sandstone reservoirs between a true vertical depth of 960 to 1,125 meters.The Alberta based oil and gas exploration and production company with operations currently located onshore Thailand…

Precision Drilling Trumps Ensign Bid for Peer Trinidad

© ??????? ??????? / Adobe Stock

North American drilling contractor Precision Drilling Corp on Friday said it would buy Trinidad Drilling Ltd in a deal valued at C$1.03 billion ($796 million), trumping a hostile bid from rival Ensign Energy Services.The acquisition, which has an enterprise value of about C$4 billion, makes Precision…

Shell's LNG Canada Seen as Tip of Megaproject Iceberg

Photo courtesy of Shell

The launch of a massive liquefied natural gas (LNG) export project in Canada has finally fired the starting gun on a wave of plan approvals around the world, needed to avoid a supply crunch after 2020.Royal Dutch Shell said it would export LNG from Western Canada by 2025 after approving a $14 billion project…

Canada Crude Differential Seen Staying High as Refiners Take Downtime

© Alex Lyubar / Adobe Stock

The discount on Canada's heavy crude, which reached a nearly five-year high this week, looks to remain elevated with pipelines strained and the refiners who buy it going offline for maintenance, industry officials say.Western Canada Select (WCS) oil traded on Tuesday for $34.15 per barrel less than West Texas Intermediate light oil…

Enbridge Completes 40 pct of Line 3 Work, Tops Profit Estimates

Photo courtesy of Enbridge

Enbridge Inc said on Friday it had completed 40 percent of replacement work on its massive Line 3 pipeline and reported a better-than-expected quarterly profit by reining in costs.Canada's largest pipeline operator won a key approval in June to replace the 1,031-mile (1,660-km) long pipeline, which began…

Wison Wins FEED Contract for Canadian FLNG Project

Last year, Wison Offshore & Marine delivered the Caribbean FLNG on an EPC basis after liquefaction performance testing for the facility in its yard in China. (Photo: Wison)

Wison Offshore & Marine announced it has been awarded a contract to carry out front-end engineering design (FEED) for a proposed floating liquefied natural gas (FLNG) project sited in British Columbia, Canada.Wison said it has entered into a Technical Service Agreement (TSA) with the project’s developer Western LNG LLC…

Valero, Marathon Beat Profit Estimates as Refining Margins Rise

Photo courtesy of Valero

Two of the biggest independent oil refiners in the United States beat Wall Street profit estimates on Thursday as greater processing of cheap, light crude from West Texas helped boost margins.Shares of Findlay, Ohio-based Marathon Petroleum gained as much as 7 percent to $79.43, while those of San Antonio…

Precision Drilling Posts Bigger-than-expected Quarterly Loss

© ??????? ??????? / Adobe Stock

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…

MN Regulators Signal Support of Enbridge Pipeline

File Image (CREDIT: AdobeStock / © Berkut 34)

Three of five members of the Minnesota Public Utilities Commission said on Thursday they support issuing a certificate of need for Enbridge Inc to rebuild its Line 3 oil pipeline, angering environmentalists but offering hope to Western Canadian oil producers. The two other commissioners did not explicitly…

Canada Dreams of Oil Exports to Asia, but California Beckons

File Image (CREDIT: AdobeStock / © Diter)

The nationalization of a crude oil export pipeline in western Canada has buoyed long-standing hopes for crude exports to markets beyond the United States - but the most likely destination for much of that oil is California. Faced with declining production from Latin America and rising prices for higher-grade crudes from the Middle East…

Petronas Buys Stake in Canadian LNG Export Project

(File photo courtesy of Shell)

Malaysia's state-owned oil and gas company Petroliam Nasional Bhd said on Thursday it is buying a 25 percent stake in a Canadian liquefied natural gas (LNG) export project, nearly a year after cancelling its own planned terminal.The company, known as Petronas, scrapped plans to build a $36 billion ($28…

Husky Energy Profit Surges, Cuts Output Forecast

The Husky Prince George Refinery (CREDIT Husky)

Canadian oil and gas producer Husky Energy Inc reported a jump in quarterly profit on Thursday, but lowered its 2018 output forecast, saying it would temporarily cut heavy oil production due to weakening prices of the commodity. The company now expects production of 310,000 to 320,000 barrels of oil equivalent per day (boepd) in 2018…

Cenovus Energy Posts Q1 Loss as Shipping Deadlock Drags

File Image (CREDIT: AdobeStock / © Roger Asbury)

Cenovus Energy Inc posted a first-quarter loss on Wednesday, hurt in part by maxed-out pipelines that hampered efforts to move crude to the United States and weighed on prices of Canadian heavy oil. The differential between Western Canada Select (WCS) and U.S. crude hit $25 in the first quarter ended March 31, much higher than the usual discount.