|Theme||Visible||Selectable||Appearance||Zoom Range (now: 0)|
Shell and Chevron lead the pack in a slew of Q2 losses with $18.1 billion and $8.3 billion, respectively. ExxonMobil, ConocoPhillips, Royal Dutch Shell, Petrobras, and Repsol also posted losses. Chevron strengthens its North American position with assets in the Permian, DJ, and Eagle Ford basins and offshore in Israel and West Africa. Barbara Burger says the key interest areas for the supermajor’s portfolio of startup investments remains unchanged despite a new industry downturn. However, the environment is tighter and the way in which deals are made has already seen notable change.
As Oil Companies Fade Away, Who Will Buy Their Wells? Shale producers proved they could pump out record volumes of oil by drilling horizontal wells and then fracturing them intensively. Now the industry needs to find buyers for many wells and acreage with hard-to-determine values. The all-cash deal bucks a recent trend of international oil companies divesting of Canadian assets and adds 15,000 B/D of production to the buyer’s total. A company built with a plan to quickly profit from the shale boom began a slow decline when oil prices sank to $50/bbl.
The country’s once-thriving railway system has skidded to a stall, falling victim to low crude-oil prices, reduced demand, and government-imposed oil production cuts. Production of paraffinic crude presents challenges due to depressurization and cooling of crude oil during production. US Court decisions put two major pipelines on hold and led to the cancellation of another pipeline project within days of each other. The Búzios-5 production system is planned to include the interconnection of 15 wells to a floating production, storage, and offloading vessel in two phases. CB&I Storage Solutions joins a list of contractors working on the Trans Mountain Expansion Project.
The announcements are part of the company’s divestment strategy to reduce debt and improve capital. The country’s once-thriving railway system has skidded to a stall, falling victim to low crude-oil prices, reduced demand, and government-imposed oil production cuts. What Are the Market Drivers for a Recovery? Crude oil and natural gas prices may recover moving into 2021, albeit at different rates brought on by a variety of market dynamics. Geopolitics and the potential for another wave of COVID-19 cases and resulting lockdowns still pose a threat to the industry.
The Gulf of Mexico E&P exited its first bankruptcy quickly with a strategy that included the acquisition of Noble Energy’s GOM assets, which increased its production volumes 25% when the WTI approached $80/bbl. Fieldwood’s financial woes in today’s economics may be tougher to overcome. The oil and gas industry is increasingly characterized by complex connectivity, but our digital dependency brings a new realm of cyber risks. Just 3 years after its landmark merger, GE has announced that in the next 3 years it plans to sell of all its remaining shares in Baker Hughes. The legacy service provider operates in every major shale basin in the US and Canada. In court filings, it says it will seek additional funding to sell its equipment and wind down operations.
A new licensing round will open up 136 blocks in the Arctic Barents Sea. Country had hoped to boost oil output and bring in much-needed revenues. Two discoveries offshore Mexico add to April’s finding in the Norwegian Sea. Oil companies large and small have pulled out the stops to stay on solid ground. The move to combine forces comes amid the fastest contraction in drilling activity the US shale sector has ever seen while Gyrodata will retain its international business.
The world’s largest oil company saw profits fall by nearly three quarters during the previous quarter but it still weathered the storm better than international majors. The Gulf of Mexico E&P exited its first bankruptcy quickly with a strategy that included the acquisition of Noble Energy’s GOM assets, which increased its production volumes 25% when the WTI approached $80/bbl. Fieldwood’s financial woes in today’s economics may be tougher to overcome. Dugong could become a new North Sea production hub says offshore explorer Neptune Energy upon its latest discovery. ExxonMobil is reluctant to join other big oil companies writing down the value of their reserves.
The shale sector is making moves to consolidate amid investor pressure to increase cash flow. This deal will form the second-largest producer in Colorado’s DJ Basin. PDC’s president and CEO describes the company’s management strategy for its hydraulic fracturing operations in the Wattenberg Field and the Delaware Basin. Baker Hughes is developing a drill bit capable of auto-adjusting its depth-of-cut feature to handle dynamic drilling conditions. Drilling the Severnaya Truba field in Aktobe, Kazakhstan, has been costly and time consuming.
The Gulf of Mexico E&P exited its first bankruptcy quickly with a strategy that included the acquisition of Noble Energy’s GOM assets, which increased its production volumes 25% when the WTI approached $80/bbl. Fieldwood’s financial woes in today’s economics may be tougher to overcome. The largest natural gas field in the rising Eastern Mediterranean region is now flowing after being discovered a decade ago. Noble’s farm-in to blocks recently awarded to Shell marks the Houston-based independent’s entry into Colombia, where the government hopes to boost offshore exploration. Noble’s first row of wells in its massive Mustang project is helping increase the operator’s DJ Basin output, and similar results are soon expected in the Delaware Basin.
Houston-based Occidental had earmarked the money to ease debt from buying Anadarko. Layoffs have begun at Occidental Petroleum, which needs to slack costs after buying Anadarko, as well as Apache. Australia’s BHP Billiton and the recently acquired Anadarko Petroleum submitted the largest dollar totals of high bids in US Gulf of Mexico Lease Sale 253. The large independent put together a team of data scientists, software developers, and petrotechnical staff to create a forward-looking vision for how to use digital technology to solve problems. The biggest merger in the oil and gas industry in 3 years has become official, making Oxy the largest holder of land in both the Permian Basin and DJ Basin.