We are all getting used to the challenges of the lockdown. As it becomes clear that this situation is going to continue for some time, we need to consider the legal implications of the stress caused to businesses by the double blows of Covid-19 and the oil price fall.
Energean Oil and Gas has issued a warning of the potential impact of the novel Coronavirus on the construction, and therefore timetable, of the hull for its floating production, storage and offloading (FPSO) vessel for its Karish field.
San Leon Energy expects its new export route in Nigeria to be commissioned in May, following a week where force majeure was declared on its current shared pipeline.
Australia-listed Armour Energy has suspended work on its 2D seismic shoot in Uganda as heavy rains have made work impossible.
Revenues from Libya’s oil are falling, the National Oil Corp. (NOC) has said, and may fall “precipitously” if the government does not cover the agreed budget.
Oil major Shell has declared a force majeure on gas supplies to the Nigeria Liquefied Natural Gas (NLNG) export facility on Bonny Island.
Exports of Nigeria's largest crude oil stream, Qua Iboe, will remain under force majeure for at least one month while operator ExxonMobil repairs a leak on the pipeline feeding the terminal, according to reports.
Oil rose as Exxon Mobil Corp. declared force majeure on shipments of Nigeria’s biggest crude export grade. Futures rose as much as 0.5 percent in New York, reversing an earlier decline of 1.4 percent. Force majeure was declared on Qua Iboe crude after “a system anomaly observed during a routine check of its loading facility,” Exxon said in an e-mailed statement Friday. This follows a similar disruption in May and June. The Niger Delta Avengers, a militant group that has targeted oil installations in Nigeria this year, claimed earlier this week that they attacked the Qua Iboe crude pipeline. Oil has traded between about $44 and $51 a barrel in the past month after almost doubling since February amid a spate of supply disruptions including the attacks in Nigeria. While there’s still a consensus that the worst of the oil glut that sent prices to a 12-year low is over, the International Energy Agency cautioned this week that “the road ahead is far from smooth” amid seasonal weakness in demand and the return of some halted supply. West Texas Intermediate crude for August delivery was at $45.79 a barrel on the New York Mercantile Exchange, up 11 cents, or 0.2 percent, at 1:14 p.m. London time. The grade rose 93 cents to settle at $45.68 on Thursday. Total volume traded was about 6 percent below the 100-day average. Brent for September settlement increased 12 cents to $47.49 a barrel on the London-based ICE Futures Europe exchange. The contract increased $1.11 to $47.37 on Thursday. The global benchmark crude traded at an 96-cent premium to WTI for September delivery.
Nigeria’s oil production has dropped again as a third major crude-export facility was disrupted, this time by accidental damage rather than militant attacks.
Crude oil exports in Nigeria are under force majeure, according to reports.