Repsol has received approval from Canadian regulators to begin exporting liquefied natural gas (LNG) from its Canaport import facility. The National Energy Board of Canada granted a 25-year permit to import as much as 312 billion cubic feet of natural gas per year by pipeline from the US and western Canada. It will then be converted to six million metric tons of LNG at a new on-site facility.
UK-registered exploration firm President Energy has reported "excellent" results from the seismic data from its assets in the Hernandarias block in Paraguay.
UK Oil & Gas Investments said a competent persons report (CPR) by Xodus Group of the company’s onshore Markwells Wood oil field has calculated more than 1million barrels of recoverable oil. The company has a 100% interest in the oil field which is located in the UK licence PEDL126 in the west of the Weald Basin. The Markwells Wood oil field is 60km to the southeast of the company’s Horse Hill oil discovery.
Amec Foster Wheeler has been awarded an engineering contract by Felguera IHI for the expansion of the Zeebrugge Liquefied Natural Gas (LNG) Terminal in Belgium. The contract will be delivered over the next 15 months with the company’s scope including detailed engineering of the boil-off gas recovery system and associated facilities. The LNG Terminal is owned and operated by Fluxys LNG from Belgium.
A KPMG audit of UK oil and gas industry contracts has revealed widespread overbilling at the same time as firms are trying to slash costs. The professional services firm said 70% of the 10,000 deals it looked at were not properly complied with, leading to regular overcharging. KPMG put the cost of unnecessary spending at between 1% and 5% of “high-risk” investments, meaning a significant level of unnecessary spending on a supply chain worth up to £35billion a year.
Hurricane Energy is cracking on with plans to extract oil from 4,000 feet beneath the seabed after its North Sea Lancaster asset was officially designated as an oilfield. The Surrey-based company was founded in 2005 by chief executive Robert Trice to discover and develop oil from naturally fractured “basement” reservoirs in rock that was formed more than 2billion years ago. It has just achieved official oilfield status for Lancaster, located west of Shetland, from the Oil and Gas Authority (OGA).
A meeting to discuss Woodside Petroleum Ltd.’s $8 billion takeover bid for Oil Search Ltd. was called off amid speculation that the offer for the Papua New Guinea- focused explorer is too low to succeed. The meeting scheduled for Sunday was postponed at Oil Search’s request, according to a statement from Woodside, the Australian oil producer. Oil Search is expected to reject Woodside’s bid as early as Monday, the Australian Financial Review reported Sunday, without citing sources.
An Aberdeen lawyer says there has never been a better time to address a gender imbalance in the UK oil and gas industry. Offshore employment expert Kate Williams, an Aberdeen-based partner in legal firm Pinsent Masons, wants to see a greater effort to recruit more women, and insists the law can be used to boost their numbers. The proportion of women in the industry is reported to be 23%, compared to a 47% national average. The imbalance worsens when narrowed to offshore workers, with just 3.6% of them women.
Erin Energy has appointed its senior vice president for exploration and production, Segun Omidele, as new chief operating officer as part of major reorganisation.
The perception of the OGA’s role has shifted, according to chief executive Andy Samuel.
Private equity has, like the upstream oil & gas industry itself, been caught out by the speed and scale of the downturn, a key practitioner with a long North Sea track record has admitted.
Petrochemicals giant Sasol has signed up to a $45million deal with Mozambique's state-owned Petromoc to buy condensate from the country's central processing facility as part of a drive to promote local product.
Brazil's state-run oil company Petrobras, which slashed its five-year spending plan by 40% in June, will likely cut back further as growing debt costs, falling oil prices and a weak currency have already made the plan obsolete, two company sources have revealed.
Some US oil producers are trying to sell parts of their lucrative saltwater disposal businesses in a sign that cheap crude is already forcing cash-starved companies to sell assets so oil can keep flowing.
Oil supplies outside OPEC will decline next year by the most in more than two decades as the price rout curbs U.S. shale output, according to the International Energy Agency.
Power technology giant ABB is working with Ecuador’s state-owned oil company, to help it gain up to an extra week of productivity annually by avoiding unexpected generator shutdowns.
New figures showing a big jump in annual turnover capped an eventful week for north-east energy service firm Proserv.
The global surplus of oil is even bigger than Goldman Sachs Group Inc. thought and that could drive prices as low as $20 a barrel. While it’s not the base-case scenario, a failure to reduce production fast enough may require prices near that level to clear the oversupply, Goldman said in a report e-mailed Friday. The bank cut its forecast for Brent and WTI crude through 2016 on the expectation that the glut will persist on OPEC production growth, resilient non-OPEC supply and slowing demand expansion. “The oil market is even more oversupplied than we had expected and we now forecast this surplus to persist in 2016,” Goldman analysts including Damien Courvalin wrote in the report. “We continue to view U.S. shale as the likely near-term source of supply adjustment.”
Subsea company Ocean Installer has been awarded a contract for deep water UFR (umbilicals, flowlines and risers) installation work with Total at the Moho Nord field off the coast of the Republic of Congo.
Faroe Petroleum has failed to find oil within the exploration well on its Portrush play in the Norwegian North Sea.
Faroe Petroleum will plug and abandon a well after it came up dry. The company said the Portrush exploration well encountered no hydrocarbons in well 6407/10-5. The well was drilled to a vertical depth of 2,850 metres below sea level and was terminated in the objective interval.
The oil price crash is expected to usher in a “decommissioning glut” in the North Sea, new research has revealed. Delegates at Offshore Europe this week heard that there has been little evidence so far of early decommissioning of North Sea fields rendered uneconomic by the falling price of a barrel of oil. But research firm Wood Mackenzie has estimated that there will be 50 fields facing early shutdown and dismantling due to low oil prices over the next five years. This is above and beyond the estimated 139 fields what have been scheduled for dismantling as they reach the end of their natural lives.
Statoil has awarded Kvaerner Verdal a contract win for the delivery of the steel jacket for the Johan Sverdrup drilling platform. It comes after the companies signed a letter of intent which focused on the importance of cooperation based around further standardisation and simplification of work. Weighing 22,500 tonnes, the drilling platform jacket will be the second largest of the jackets to be constructed during the first phase of the Johan Sverdrup project.
Shale oil producers already awash in a supply glut face added crude as early as next year after an agreement to ease sanctions on Iran cleared a Senate obstacle. A Senate vote Thursday paved the way for President Barack Obama to ease financial penalties for doing business with Iran. Democrats kept Republicans’ disapproval resolution from advancing in a 58-42 procedural vote, with 60 required. That may allow additional Iranian exports to hit the market as early as the first quarter of 2016.
Few things have more potential to spook the oil market than the prospect of Russia joining forces with OPEC. Speculation that such a move was afoot last month drove crude to its biggest three-day gain in 25 years. Despite the market buzz, there are sound economic and technical reasons why this is unlikely to happen.