Oct. 28, 2014, 5:17 AM
- Petrofac (OTCPK:POFCF, OTCPK:POFCY) receives contract to help government of Nova Scotia identify the best way forward to exploit its ultra-deepwater oil potential.
- Under the terms of the contract, Petrofac will deliver a development study for a prospective oil reservoir 3,000 metres beneath the seabed in in 2,000 metres of water.
- Nova Scotia estimates its offshore potential to be around 120T cf of natural gas and 8B barrels of oil. It has already awarded a number of blocks to Shell (NYSE:RDS.A) and BP (NYSE:BP), who have combined exploration commitments in excess of $2B.
- Thought to be similar to oil reserves found in northwest offshore Africa, one of the key challenges for developing Nova Scotia’s reservoirs will be the water depth.
- Deepwater drilling is scheduled to begin in 2015 with first oil estimated sometime after 2025.
- Previously: CB&I awarded $60M contract from Petrofac (July 7)
Oct. 27, 2014, 5:30 PM
- ACI, AET, AGCO, AIXG, ALR, AME, AMTD, AN, AXE, BP, CAS, CIT, CMI, CNC, CNX, COH, CPLA, CRY, CVLT, CYNO, DD, DIN, ECL, ENTG, FCX, FDP, FLWS, FMER, GLPI, GLW, HCA, HMC, HOT, HRS, ICON, IIVI, IPGP, LH, MDSO, MLM, MMC, MSM, MSO, MWV, NBL, NCI, NVS, PCAR, PCG, PES, PFE, PH, POR, RDWR, SAIA, SAVE, SCHN, SCOR, SHW, SIRI, SNCR, ST, SYRG, TECH, TKR, TRW, TTS, TWI, UBS, UTHR, VDSI, VRTS, VSH, WAB, WHR, XYL
Oct. 23, 2014, 11:07 AM
- Chevron (CVX +2.5%) announces a deepwater oil discovery in the U.S. Gulf of Mexico at the Guadalupe prospect, which CVX says is a core focus area where it expects significant production growth over the next two years.
- The well is located in nearly 4K ft. of water and was drilled to a depth exceeding 30K ft.; CVX says the well encountered significant oil pay, but does not provide further details.
- CVX has a 42.5% working interest in the prospect and is the operator of the Guadalupe well; BP (BP +1.9%) also owns 42.5%.
Oct. 23, 2014, 8:57 AM
- BP and GDF Suez (OTCPK:GDFZY) say they have made a significant discovery in the U.K. zone of the central North Sea, without providing specific estimates.
- An exploration well drilled by GDF flowed as much as 5,350 boe/day in test runs.
- The new-found oil patch crosses into a block operated by BP and half owned by Total (NYSE:TOT), and the other block is operated and 50% owned by GDF.
Oct. 20, 2014, 10:58 AM
- The U.S. Supreme Court rejects an appeal from 11 Louisiana parishes that wanted to revive their lawsuits over wildlife damage from BP's (BP -1.2%) 2010 oil spill in the Gulf of Mexico, in a rare legal victory for the company.
- The justices offer no comment in leaving in place lower court rulings that dismissed the lawsuits against BP and other companies involved in the spill.
Oct. 17, 2014, 5:54 PM
- BP expects to resume production this weekend at the Rhum gas field in the UK North Sea, half-owned by Iran's National Oil Company, four years after the field was shut down due to Western sanctions.
- The British government approved production after it put the field under a temporary management scheme where all revenue due to Iran will be held until sanctions are lifted.
- The field supplied 4%-5% of Britain's demand before its shutdown.
Oct. 16, 2014, 7:22 PM
- Although weaker oil prices mean energy companies and investors can expect lower profits in the coming months, big integrated oil majors may find their unloved oil refining businesses will soften the blow, according to a WSJ report.
- For the likes of BP and Shell (RDS.A, RDS.B), their refining operations become more profitable when the oil they use is cheaper; for each dollar-per-barrel of improved profit margin for refined products, BP generates $500M/year in extra pre-tax operating profit, and BP says that refining margin was $5.70/bbl higher in recent weeks than in Q4 of last year.
- Exxon (NYSE:XOM) and Chevron (NYSE:CVX) may not see quite as big an improvement in refining margins as Shell and BP, as the glut of U.S. oil and natural gas and a ban on exporting most oil already gave U.S. refineries lower costs, but the U.S. companies still stand to benefit.
- Low oil prices show “there is real advantage in having this integrated model,” Bernstein Research analyst Oswald Clint says.
Oct. 13, 2014, 3:50 AM
- Norway's Statoil (NYSE:STO) has sold its remaining 15.5% holding in the Shah Deniz gas project in Azerbaijan and other assets to Malaysia's Petronas (OTC:PNADF) for $2.25B.
- The transaction also includes stakes in a South Caucasus pipeline company and two other firms.
- The deal is the latest in a series of sales by Statoil and other major oil companies, and since 2010, the Norwegian firm has offloaded $20B worth of assets.
- "(The) Shah Deniz divestment is yet another sign of credible strategy, (and is) positive," says Swedbank analyst Teodor Sveen Nilsen.
- The Shah Deniz field is operated by BP (NYSE:BP), with other partners including Lukoil. (PR)
Oct. 10, 2014, 8:48 AM
- BP says it will start production this month from the Kinnoull field in the North Sea in a $1.1B project expected to produce oil and gas into the next decade.
- Output from Kinnoull is forecast to peak at 45K bbl/day, and is one of three reservoirs being developed as part of the Andrew area rejuvenation program; BP says the reservoir holds 45M boe.
- BP owns a ~77% stake in the project, Eni (NYSE:E) holds 16.67% and JX Nippon Oil has the rest.
Oct. 9, 2014, 3:25 PM
- Crushed by relentless anxiety about oversupply and weakening global demand, Nymex crude oil futures closed down $1.54 at $85.76/bbl, their lowest close since Dec. 2012, while Brent crude fell below $90/bbl for the first time in more than two years.
- Including today's losses, WTI crude is down 6.2% since the start of the month and Brent has surrendered ~5%.
- In the face of surging output, a move in WTI below its 10-year average at $82 is not out of the realm of possibility, Brown Brothers Harriman says, adding that "a break of $73/barrel could send WTI toward $64, which corresponds with the 2010 low."
- Among big oil names so far today: APC -6.3%, LINE -4.6%, EPD -3.8%, DVN -3.8%, MRO -3.6%, HES -3.8%, KMI -3.7%, TOT -3.5%, STO -3.3%, RDS.A -3.1%, OXY -3%, KMP -3%, XOM -2.6%, COP -2.6%, MUR -2.6%, CVX -2.5%, BP -2.4%.
- ETFs: USO, XLE, OIL, UCO, ERX, VDE, OIH, SCO, ERY, XOP, DIG, BNO, DTO, DBO, DUG, IYE, XES, IEO, CRUD, IEZ, PXE, USL, UWTI, PXJ, FENY, DNO, DWTI, RYE, FXN, SZO, OLO, DDG, OLEM, TWTI
Oct. 9, 2014, 9:56 AM
- Global oil producers open broadly lower as oil prices continue to slide on concerns about high supplies and weak global economic growth (also): RDS.A -2.7%, STO -2.7%, TOT -2.5%, HES -2%, APC -1.7%, BP -1.6%, CVX -1.5%, COP -1%, XOM -0.8%.
- Brent prices slump to $91/bbl, approaching two-year intraday lows, and Nymex crude tumbles to $86.67/bbl to an 18-month intraday low.
- The EIA said yesterday that U.S. crude supplies rose by a more than expected 5% last week, while gasoline and distillate inventories unexpectedly grew as well.
- Barclays is cutting its oil price forecasts: It now sees U.S. crude averaging $85/bbl in Q4 and $89 in 2015, down from previous estimates of $98 in Q4 and $100 next year, and Brent crude averaging $93/bbl in Q4 and $96 in 2015, down from a respective $106 and $107 previously.
- ETFs: USO, XLE, OIL, UCO, ERX, VDE, OIH, SCO, ERY, XOP, DIG, BNO, DTO, DBO, DUG, IYE, IEO, CRUD, PXE, USL, UWTI, PXJ, FENY, DNO, DWTI, RYE, FXN, SZO, OLO, DDG, OLEM, TWTI
Oct. 7, 2014, 8:59 AM
- Canada scores a victory as the European Union abandons plans to label oil sands as dirtier than other forms of crude, removing a major potential obstacle to exporting the fuel to Europe.
- The watering down of the proposals, the result of strong lobbying by Canada, means that oil suppliers will be able to put oil from tar sands in the same category as conventional oil, whereas it would previously have been designated as 25% more carbon-intensive.
- EU sources say the desire for a trade deal with Canada was a factor given the situation with Russia.
- BP, Shell (RDS.A, RDS.B) and Exxon (NYSE:XOM) have major oil sands projects in Alberta.
Oct. 6, 2014, 6:33 PM
- Forest Oil (NYSE:FST) discloses it had agreed to acquire certain Texas oil and gas properties from BP for $20M.
- Earlier, FST and Sabine Oil & Gas attempted to reassure investors that the companies still expect to complete their proposed merger before the end of the year, but FST shares fell 5.5% anyway.
- FST scheduled a Nov. 20 special meeting for shareholders to vote on the proposed stock swap that would leave them with a 26.5% share of the combined companies.
Oct. 6, 2014, 11:32 AM
- BP (BP +0.6%), seeking to hold down the estimated $9.2B cost of its settlement of most private damage claims related to the 2010 Gulf of Mexico oil spill, is set to argue today before the U.S. Court of Appeals in New Orleans that the administrator of its settlement program misunderstood the deal, resulting in some non-profit groups that didn’t suffer any losses getting paid hundreds of thousands of dollars.
- Victims’ lawyers accuse BP of using the non-profits as a test for winning appeals court oversight of individual damage awards and rewriting the settlement.
- At today’s hearing, BP will challenge the loss-calculation formula for the non-profits, a misinterpretation that will "impose sweeping liability on BP for claims that it never agreed to compensate,” the company claims.
Oct. 3, 2014, 2:40 AM
- BP (NYSE:BP) has called for a retrial or revised judgement after identifying what it believes to be a legal mistake in the court ruling last month that found the company "grossly negligent" for the 2010 Deepwater Horizon disaster.
- BP argues that U.S. District Court Judge Carl Barbier's ruling relied on evidence which he had agreed to exclude from the ongoing trial, which involves expert testimony about how the Macondo well's casing was weakened and breached.
Oct. 1, 2014, 2:25 PM
- BP (BP -0.5%), facing as much as $2.5B in claims by U.S. shareholders for lost stock value connected to the 2010 Gulf of Mexico oil spill, must fight suits by foreign investors seeking millions of dollars more, a judge rules.
- U.S. District Judge Keith Ellison says U.S. securities law does not bar foreign investors who bought BP common shares on exchanges overseas from pursuing their claims under English law in his court.
- The judge earlier allowed U.S. pension funds holding London shares the right to sue under British law; BP had said the foreign funds were attempting to avoid the harsher British court system, where plaintiffs would have to pay both sides’ costs if they lost.
BP Plc operates as an integrated oil and gas company worldwide. It operates through two segments: Upstream and Downstream. The Upstream segment engages in the oil and natural gas exploration, field development, and production; midstream transportation, and storage and processing; and marketing... More
Sector: Basic Materials
Industry: Major Integrated Oil & Gas
Country: United Kingdom
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