Wood Mackenzie’s annual Global Upstream Cost Survey results show, across the industry, cost increases are back. Most respondents expect the next 12 months to be a period of growing costs. This isn’t particularly surprising given the depth and duration of the oil price crash. However, there are indications that the scale of imminent cost increases is out of kilter with assertions from operators that “lessons have been learnt” and that low prices from suppliers have been “locked in”. What our survey asked We asked the industry about changes in spending ...

Gazprom Neft subsidiary Gazpromneft-Badra has now produced 13.5 million tonnes — or 100 million barrels — of oil. Cumulative production at the Badra field in the five years since this asset went into commercial operation has reached 100 million barrels — the first shipment of liquid hydrocarbons having taken place in 2014. Oil production at the field stands at more than 1.8 million tonnes (13.5 million barrels) since the start of 2019. Twenty-two operating wells, each running to an average depth of 4,500 metres, have been drilled by Gazpromneft-Badra since ...

With reference to the stock exchange releases dated 8 and 14 March 2019. BW Offshore (BWO) is pleased to announce that The Brazilian National Agency of Petroleum, Natural Gas and Biofuels (ANP) has granted BW Offshore status as operator in Brazil and approved the transfer of Chevron and Petrobras’ participating interest in the Maromba field to BW Offshore. “We are proud to announce that our subsidiary BW Energy has been approved by ANP as operator and has received governmental go ahead to acquire the Maromba license. This again proves the ...

Vår Energi AS has awarded an EPCI (Engineering, Procurement, Construction and Installation) contract to Rosenberg Worley AS in Stavanger, Norway. The contract encompasses the lifetime extension of the Jotun floating production storage and offloading vessel (FPSO), enabling oil and gas production from the Balder field until 2045. A large proportion of the contract value is expected to be provided by local providers and will benefit the supplier industry in the region. “We are very happy to award this important contract to Rosenberg Worley AS, providing local job opportunities in a ...

U.S. energy firms this week increased the number of oil rigs operating for the first time in seven weeks despite plans by most producers to cut spending on new drilling this year. Companies added six oil rigs in the week to Aug. 16, the biggest increase since April, bringing the total count to 770, General Electric Co’s Baker Hughes energy services firm said in its closely followed report on Friday. RIG-OL-USA-BHI In the same week a year ago, there were 869 active rigs. The oil rig count, an early indicator ...

OPEC on Friday provided a downbeat oil-market outlook for the rest of 2019 as economic growth slows and highlighted challenges in 2020 as rivals pump more, building a case to keep up an OPEC-led pact to restrain supplies. In a monthly report, the Organization of the Petroleum Exporting Countries cut its forecast for oil demand growth in 2019 by 40,000 barrels per day (bpd) and indicated the market will be in slight surplus in 2020. The bearish outlook due to slowing economies amid the U.S.-China trade dispute and Brexit could ...

Shares of energy companies rose as oil futures recouped some of their recent losses, reflecting shifting sentiment on the outlook for growth and central-bank policy. The Organization of the Petroleum Exporting Countries downgraded its 2019 oil demand growth forecast for the second time in three months and cut its projections for global economic growth on Friday, pointing to uncertainties stemming from the trade dispute between the U.S. and China. The number of rigs drilling for oil in the U.S. rose by six in the past week to 770, according to ...

Pengerang Refining and Petrochemical (PrefChem), a joint venture between Petronas and Saudi Aramco, has begun to restart a crude distillation unit (CDU) at its oil refinery in Malaysia, Petronas said on Saturday. Malaysia’s state oil firm said the refinery had started feeding crude oil into the unit earlier this week, confirming an earlier Reuters report citing sources. “We confirm that the refinery has started feeding crude to its CDU earlier this week in efforts to restart the plant,” Petronas told Reuters over email. The Pengerang Refining development, part of Petronas’ ...

Oil India Limited (OIL), country’s second largest National ‘NAVRATNA’ E&P Company, in terms of total proved plus probable oil and natural gas reserves, held its 60th Annual General Body meeting at its Field Headquarters in Duliajan, Assam, today. In his address to the shareholders, Chairman and Managing Director, Shri Utpal Bora mentioned that on February 18, 2019, OIL completed 60 years of its establishment. During these illustrious 60 years, the Company’s crude oil production increased from 0.215 MMT to 3.323 MMT while natural gas production increased from 43.60 MMSCM to ...

Crude futures edged higher Friday as Germany’s leadership pledged to undertake economic stimulus measures and OPEC reported sharply lower crude output in July. NYMEX September WTI settled up 40 cents at $54.87/b and ICE October Brent was 41 cents higher at the close of trading at $58.64/b. German Chancellor Angela Merkel said Friday the country’s government would be willing to take on additional debt to stimulate the economy in event of further economic downturn or recession, according to media reports. The promise of action by the German government sent US ...

Crude Oil Price Movements The OPEC Reference Basket (ORB) averaged higher in July, up by $1.79, or 2.8%, m-o-m reaching $64.71/b, supported by a pick-up in Asian crude demand. Crude oil futures prices also rose from their low levels registered a month earlier as escalating geopolitical tensions offset bearish sentiment in global oil demand. In July, ICE Brent was $1.18, or 1.9%, m-o-m higher, averaging $64.21/b, while NYMEX WTI rose m-o-m by $2.84, or 5.2%, averaging $57.55/b. Year-to-date (y-t-d), ICE Brent was $5.85, or 8.2%, y-o-y lower at $65.87/b, while ...

“Seadrill Limited (“Seadrill” or the “Company) refers to the announcements made on May 1, 2019 in connection with the award of drilling contracts by Qatar Petroleum to Gulf Drilling International (“GDI”). Seadrill and GDI have entered into a 50:50 joint venture, GulfDrill, which will initially manage and operate five premium jackups in Qatar with Qatar Petroleum commencing throughout 2020. The five firm well based contracts will have staggered commencements throughout 2020 with initial terms concluding in 2023 & 2024 respectively. The total contract value is expected to be $656 million ...

China Petroleum & Chemical Corporation (SINOPEC Corp. or SINOPEC) officially launched its SINOPEC in Saudi Arabia: Sustainability Report on Serving the Construction of the Belt and Road (the “Report”) in Daman, Saudi Arabia. The Report showcases how SINOPEC is fulfilling its economical, safety, environmental and social responsibilities in Saudi Arabia. It is the first sustainability report issued by a Chinese company in Saudi Arabia. Having operated in Saudi Arabia for 19 years, Sinopec has from the beginning adhered to local laws and regulations and dedicated to fulfilling its social responsibilities. ...

U.S. inventories of crude oil unexpectedly increased last week as refinery activity slowed down, according to data released Wednesday by the Energy Information Administration. Benchmark U.S. oil prices, which were down sharply before the report was released, remained significantly lower afterward. The Nymex crude contract for September delivery was recently down 3.5% at $55.09 a barrel. Crude-oil stockpiles rose by 1.6 million barrels to 440.5 million barrels, and now are about 3% above the five-year average for this time of year, the EIA said. Analysts surveyed by The Wall Street ...

North East India’s largest refiner Numaligarh Refinery Ltd on Thursday said it has firmed up plans to diversify into exploration of crude oil within the next few months. The Mini Ratna PSU’s board has already given its nod for an initial investment of Rs 150 crore for the diversification and the company has sought approvals for commencing exploration in two blocks in Assam along with other partners. “This is the first time NRL is getting into exploration. We have already received our board’s approval for this and in view of ...