Daily Energy News From OilSlick.com


Superior Acquisition
Superior Energy Services (SPN) announced today it was buying competitor Complete Production Services (CPX) in order to expand its gas fracturing business. Continue reading
New High On Rigs Soon
US crude oil and natural gas drilling rig activity this week jumped 22 units to reach a total of 2,012, the first time the count was above 2,000 since the week ended Sept. 19, 2008, when the count was 2,018. This week's count is up by 341 units from the comparable period a year ago, according to Baker Hughes. Continue reading
Is OPEC Facing A Bear Market?
Some analysts are worried that OPEC is facing lower prices for oil once Libya begins producing again and that will endanger the social order in places like Saudi Arabia where they need high oil prices to survive. Continue reading
Three Strikes and You Are Out
Daniel Yergin's predictions fail time after time but the mainstream media continue to hail him as the king of predictions. If you say something long enough and loud enough the world may eventually believe it to be true even when it isn't. Continue reading
Discoveries Produced Faster in Gulf
The time from discovery to production has been shrinking dramatically in the Gulf of Mexico as additional deepwater infrastructure is completed. The time has shrunk from 10-14 years to as little as 2-4 years. Continue reading
Oil Depletion Realities
North Sea gas production slumped by 25% in the second quarter and total gas and oil production fell by 16%. It was the biggest decline since records began 16 years ago. Continue reading
BOEMRE Give Birth to Twins
The U.S. Dept of the Interior is creating two new agencies as of October 1st to deal with management of energy resources. The Bureau of Ocean Energy Management, Regulation and Enforcement (BOEMRE) will become the Bureau of Ocean Energy Management (BOEM). Continue reading
New Pipeline from Cushing to the Gulf
Enterprise Product Partners and Enbridge Inc announced plans to build a 500-mile pipeline to transport oil from the current bottleneck at Cushing Oklahoma to refineries along the Gulf coast. Continue reading
Global Recession, Bear Market ,
While almost nobody expects the world to fall into a recession there are increasing worries that Europe could not only fall back into recession thanks to all the austerity underway but could cause a larger recession if Greece is allowed to default. A Greek default could hit the banking system all over Europe and as far away as the USA. Continue reading
OPEC at Highest Production Since 2008
A Bloomberg survey showed OPEC production increased +75,000 bpd to 30.055 mbpd in September. That is the highest level since November 2008. Continue reading
BP Going Back To Work in Gulf
The pace of approved permits has increased and BP has finally filed for a permit to drill a new well in the Gulf of Mexico. This came 17 months after the Macondo well explosion that killed 11 people. Continue reading
Some Libyan Oil Production Restarted
Despite damage to many facilities and only a few returning workers, some of the oil fields in Libya have reopened for production. It is a small step but one that is positive for Libya and the companies at work there. Continue reading
China's Economic Model Will Fail
China's rapid growth and rising middle class is going to run into some physical constraints that cannot be overcome. Only one of them is oil consumption. Continue reading
Gas To Liquids, Can We Afford It?
Sasol Ltd, an oil and chemical with a proven process to convert coal to liquid fuel, is preparing a study on converting natural gas to diesel inside the USA. The plant could cost up to $10 billion and the process is very dirty. Continue reading
Keystone XL Pipeline Could Miss 2013 Start Date
The political wrangling over the EPA concerns has delayed the approval of the pipeline which was initially proposed in 2008. The Keystone pipeline will eventually transport oil from Canada all the way to the Gulf of Mexico and refinery row in Port Arthur Texas. Continue reading
U.S. To Become Largest Oil Producer by 2017
Yes, you read that headline correctly. Goldman expects the U.S. to increase production to 10.9 million barrels per day thanks to the shale oil fields and a boom in the Gulf of Mexico. Continue reading
Gulf of Mexico Drilling Boom
The rebound has come quietly but it the pace of drilling is slowly increasing. The government is moving at a snail's pace to approve new permits but the time it takes to drill a well is much longer. Continue reading
Goldman Expects $130 Oil in 2012
Goldman Sachs is not backing off their oil price estimates. They believe demand from emerging markets will offset stagnation in the developed economies. Continue reading
IEA - Shortage Keeping Oil Prices High
The IEA said this week that oil demand has been outpacing supply since the middle of 2010. This has led to a depletion of inventories and higher prices. Continue reading
Macondo Committee Pins Blame on BP
The joint committee found that BP was responsible for the majority of the blame surrounding the Macondo well disaster. Transocean was mentioned for failing to recognize the warning signs and Halliburton was blamed for the faulty cement job. Continue reading
$86 Million A Day
That is how much revenue is produced for the Federal government by the oil industry. In exchange for creating jobs and producing $2.6 billion a month in royalty revenue the industry is vilified, heavily regulated and faces tax increases at every turn. Continue reading
Are You Paying for Rural Passenger Flights?
Since 1978 the government has subsidized airline flights to rural airports. While that may sound reasonable on the surface the actual details are absurd. Continue reading
Hugo Chavez Hiding From Accountability
President Hugo Chavez is making plans to exit from the International Centre for the Settlement of Investment Disputes or ICSID, which is a unit of the World Bank in Washington. There are more than $40 billion in claims against Venezuela for nationalizing various industries. Continue reading
Nigeria Ups Security at Oil Installations
Nigerian military command has issued an alert to the Joint Task Force special military unit in the oil-producing Niger Delta to increase surveillance around oil installations due to fear of an Islamist attack, a source told Platts. Continue reading
Total To Look For Shale Gas In France
Total, Europe's third-largest oil company, said it wants to explore for shale gas in its home country of France. France is looking to reduce its reliance on foreign gas sources. France, which in the 1970s produced one-third of its gas consumption, imported 98 percent of the gas it consumed in 2009, according to Reuters. Continue reading
S&P Maintains ''Credit Watch Negative'' For ConocoPhillips
Standard & Poor's Ratings Services today kept the ''A'' corporate credit and senior unsecured debt and the ''A-1'' short-term commercial paper ratings of ConocoPhillips, the third-largest U.S. oil company, on CreditWatch with negative implications. Those ratings will either be affirmed or cut when the ratings agency finalizes its review of the company. Continue reading
Ecopetrol Announces Another Cano Sur Find
Ecopetrol, Colombia's state-run oil company, announced the fourth discovery of crude oil in Colombia's Cano Sur block this year. Initial test results of the CSE-8 ST1 exploratory well in the Puerto Gaitan jurisdiction are showing average production of 532 barrels per day, the company said in a statement. Continue reading
Marathon Discusses CDS Succession Event
Marathon Oil, the Texas-based oil company that spun-off its downstream operations earlier this year, has a submitted a request to the International Swaps and Derivatives Association regarding a possible succession event in the credit default swap (CDS) market after the spin-off. Continue reading
Chevron, Eni Among Those Interested In In Iraq's Nassiriya Field
Chevron, the second-largest U.S. oil company, and Eni SpA, Italy's largest oil company, are among the oil companies interested in Iraq's Nassiriya oil field in the southern part of the OPEC country. An Iraqi oil official said three companies have shown an interest in developing Nassiriya. Continue reading
Hayward Leaving TNK-BP Board
Tony Hayward, the former chief executive officer of BP, Europe's second-largest oil company, will likely leave the board of TNK-BP, the British oil giant's joint venture with Russian oligarch investors. Hayward is expected to leave the TNK-BP board within the next few weeks, according to various press reports. Continue reading
Shell, Total Announce French Guiana Oil Find
Royal Dutch Shell and Total, Europe's largest and third-largest oil companies, respectively, along with U.K.-based Tullow Oil announced a large oil find off the coast of French Guiana on Friday. French Guiana shares a border with oil-rich Brazil, boosting hopes the country may be home to hydrocarbons. Continue reading
Chevron Stingy With Buybacks Compared To Rivals
Chevron, the second-largest U.S. oil company, spent $1.75 billion on share buybacks in the first half of this year, but the Dow component is looking to be a bit more thrifty and stash more cash due to a volatile global economy and an effort to focus more on capital investment, according to the Wall Street Journal. Continue reading
Total Announces Major Caspian Sea Gas Find
Total SA, Europe's third-largest oil company, said it has made what it calls a ''major'' natural gas discovery in the Caspian Sea off Azerbaijan. The French company said the first test results from the Absheron block show the potential for several trillion cubic feet of recoverable natural gas reserves. Continue reading
Alaska Delays Lease Sale
Alaska is delaying what is expected to be one of the largest oil and natural gas lease sales in the U.S. this year because more acreage could be added to the auction. The state also wants to give companies more to time to prepare bids. Alaska previously planned to auction 14.7 million acres. Continue reading
Uruguay Plannning Oil Auctions
Uruguay, the South American country more known for its agriculture industry than mineral resources, is planning to auction 15 offshore oil exploration blocks next year in an effort to reduce its dependence on imported oil and natural gas. Motivated by the discovery of major oil deposits off the coast of Brazil, Uruguay has decided to see if it has oil reserves of its own. Continue reading
Hess Boosts Utica Shale Acreage
Hess, the New York-based oil company, announced today that it will increase its acreage in Ohio's Utica Shale by 85,000 acres in a deal valued at $750 million. The company said the leases are located in n Jefferson, Harrison and Belmont counties and appraisal activities are scheduled to start in the fourth quarter. Continue reading
EOG Touts Wolfcamp As Major Shale Play
EOG Resources, the independent oil and natural gas producer that was formerly a unit of Enron, touted the Wolfcamp shale in the Permian Basin as a potential major oil discovery. EOG CEO Mark Papa said the find is in the ''first inning'' in remarks made today at the Barclays Energy Conference in New York. Continue reading
BP Doubles Mad Dog Estimate
BP, Europe's second-largest oil company, said today the Mad Dog field in the Gulf of Mexico may hold 4 billion barrels of recoverable oil equivalent, more than double the previous estimate of 1.5 billion barrels. Mad Dog is one of BP's first new Gulf projects since Gulf spill of 2010, the largest oil spill in U.S. history. Continue reading
Anadarko Eyes Ivory Coast Drilling
Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, said it expects to begin drilling off the coast of Ivory Coast later this year after political unrest in the country earlier in 2011 forced the company to delay drilling plans. Continue reading
Conoco Highlights Split Details
ConocoPhillips, the third-largest U.S. oil company, expects to complete the spin-off of its downstream operations in mid-2012 and shareholders at the time the transaction is completed will receive one share in the new company for every two shares of ConocoPhillips they own. Continue reading
Schlumberger's Gould Likes Oil, Gas Fundamentals
Andrew Gould, the current chairman and former CEO of Schlumberger, the world's largest provider of oilfield services, said the fundamentals in the oil and industry remain strong. Gould, whose comments are widely followed by industry observers, made the remarks today at the Barclays Capital CEO Energy-Power Conference in New York. Continue reading
Walter Energy Soars On Takeover Rumors
Shares of Walter Energy, the Alabama-based coal producer, surged $15.99, or 21.3%, to $90.98 as takeover rumors swirled. Volume was more than six times the daily average following a report in the London Times that British mining giant Anglo American may preparing an offer for Walter. Continue reading
Cameron, Petrobras Extend Agreement
Petrobras, Brazil's state-run oil giant, and Cameron International, the Texas-based provider of flow equipment products, systems and services to international oil and natural gas companies, announced that they have renewed an agreement that will see the U.S. company provide aftermarket services to the Brazilian oil giant. Continue reading
Conoco To Share More Split Details Wednesday
ConocoPhillips, the third-largest U.S. oil company, is expected to unveil more details regarding its planned spin-off of its refining and market business when CEO Jim Mulva presents at the Barclays CEO Energy-Power conference in New York on Wednesday. Continue reading
Chevron Announces Major Gulf Find
Chevron, the second-largest U.S. oil company, said today the Moccasin prospect at Keathley Canyon Block 736 Well No. 1 encountered more than 380 feet of net pay in the Lower Tertiary Wilcox Sands. The well is located approximately 216 miles off the Louisiana coast in 6,759 feet of water and was drilled to a depth of 31,545 feet, Chevron said in a statement. Continue reading
Halliburton Announces Multi-Chem Deal
In an effort to boost its offerings of chemical services, Halliburton, the world's second-largest provider of oilfield services, said today it will acquire closely held Multi-Chem Group LLC. Terms of the transaction, which is scheduled to close in the fourth quarter, were not disclosed. Continue reading
Cuba, U.S. Oil Rift Could Be Shaping Up
Cuba is looking to reduce its dependence on oil and natural gas imported from OPEC member Venezuela and in that effort, the island nation is looking to tap into what it believes are reserves of 5 billion barrels of oil off its north coast, but the U.S. is looking to intervene. Continue reading
Dudley Tries To Comfort Investors, Staff
Bob Dudley, the first American to lead British oil giant BP, said in a memo to employees that investors want ''clarity and certainty'' after the company's Moscow office was raided last week and Halliburton announced it was suing BP for issues related to the Gulf of Mexico oil spill. The memo was obtained by Bloomberg News. Continue reading
Bohai Leak Forces Cnooc To Cut Estimates
Cnooc, China's largest offshore oil explorer, saw its shares plunge in Hong Kong trading after the company was forced to again reduce its annual output estimate due to leaks at China's Penglai 19-3 field in Bohai Bay that have forced the company to shutter operations at the country's largest oil field. Continue reading
Halliburton Sues BP Regarding Gulf Spill
Halliburton, the oil services firm that provide cement services for the Macondo well, announced that it is suing BP, the primary operator of that project, for several issues related to the Gulf of Mexico oil spill which became the largest oil spill in U.S. history. Continue reading
Eni Looks For Libya Return
Eni SpA, Italy's largest oil company, continues to eye increasing production in Libya and the company is saying that it expects the North African country to honor existing contracts. Eni, which has been operating in Libya for over five decades, has the largest footprint there of any Western oil major. Continue reading
Brazil Strips Pre-Salt Licenses From Oil Companies
In an expected move, Brazil's government has stripped licenses for potentially lucrative pre-salt fields from several oil majors that were awarded to the companies five years ago. Brazil's energy minster said the country has a tradition of honoring its oil contracts, but that the licenses in question were never formally contracted. Continue reading
Total Unaware Of Libyan Deal
Total, Europe's third-largest oil company, said it has not been holding contract talks with the Libyan rebels that toppled the Gadaffi regime and the company has also been quiet on rumors that the French oil giant will be given priority for new oil contracts when Libya starts increasing oil output. Continue reading
Statoil Looking For Acquisitions Opportunities
Statoil, Norway's largest oil company, said it is evaluating potential partnerships and acquisitions as the recent decline in global equity markets has created ''opportunities''in the words of CEO Helge Lund. The comments were originally made in an interview with Bloomberg News. Continue reading
BP's Moscow Office Raided
The Moscow office of BP, Europe's second-largest oil company, was raided by police officers armed with assault rifles on Wednesday, the latest in a long series of events that highlights the British oil giant's struggles in Russia, one of the company's most important markets. Continue reading
No Refining Spin-Off For Chevron
Chevron, the second-largest U.S. oil company, will not follow the lead of rival ConocoPhillips and spin-off its refining business. The comments were made by Chevron CEO John Watson to journalists at an oil industry conference in Houston on Wednesday. Continue reading
Chevron Still In Talks With Rosneft
Chevron, the second-largest U.S. oil company, continues to hold discussions with OAO Rosneft, Russia's largest oil company, after the Russian firm announced a major Arctic exploration with Chevron's primary rival, Exxon Mobil. Chevron CEO John Watson told reporters in Houston on Wednesday that the Exxon/Rosneft deal would not impact Chevron. Continue reading
Exxon, Rosneft To Commence Drilling In 2015
A day after announcing an alliance that will see two of the world's largest oil companies explore for crude in the Russian Arctic region, Exxon Mobil, the largest U.S. oil company, and OAO Rosneft, Russia's biggest oil producer, said they will commence drilling in the frigid region in 2015. Continue reading
Moody's Changes Outlook On Refiners
Moody's Investors Service lowered its outlook on the oil refining sector to ''stable'' from ''positive,'' citing demand that may lag capacity over the next 12-18 months. A ''stable'' rating implies the rating agency does not expect a significant change one way or the other in business conditions for up to 18 months. Continue reading
Shell Won't Halt Syrian Production
Royal Dutch Shell, Europe's largest oil company, has said it will not stop producing oil in Syria unless the European Union orders the company to do so. Western governments have ordered boycotts on goods produced in Syria following the onset of political violence in the Middle East country. Continue reading
Exxon Targets Argentina Shale
Exxon Mobil, the largest U.S. oil company, said today it will pay more than $76 million to partner with Canada's Americas Petrogas to tap into shale oil and natural gas deposits in Argentina. Exxon will gain a 45% stake in Americas Petrogas's Los Toldos blocks, which cover 163,500 acres in the Neuquen Basin, according to Bloomberg News. Continue reading
Peabody Finally Gets Macarthur
Peabody Energy, the largest U.S. coal producer, has finally gotten Australia's Macarthur Coal to succumb to its takeover overtures as the world's largest maker of pulverized coal agreed to a sweetened $5.2 billion takeover offer from the U.S. company and ArcelorMittal. Continue reading
Oil Majors To Share Arctic Data With Feds
Three of the world's largest oil companies signed an agreement with the National Oceanic and Atmospheric Administration to share data on ocean, coastal and climate science in the Arctic region. The agreement is aimed on boosting the federal government's ability to monitor climate change in the region. Continue reading
Eni Signs Deal With Libyan Rebels
Eni Spa, Italy's largest oil company, announced on Monday that it signed a memorandum with the Libyan National Transitional Council that sets the stage for the Italian oil giant to begin boosting oil production in Libya, the country that accounts for 13% of Eni's total revenue. Continue reading
Contract May Help Shell Gain Iraqi Gas
A contract between Royal Dutch Shell, Europe's largest oil company, and the Iraqi government may face oil majors operating in the southern part of the oil-rich Middle East country to give a large portion of the gas they extract to the Anglo-Dutch oil giant. Continue reading
Venoco Soars After CEO Offers To Take Company Private
Shares of Venoco, the second-largest landowner in California's Monterrey Shale, surged almost 31% on volume that was more than six times the average daily volume after CEO Timothy Marquez offered to take the company private in a transaction valued at $770.2 million. Continue reading
Conoco To Start Bangladesh Seismic Survey In 2012
ConocoPhillips, the third-largest U.S. oil company, is planning to commence a seismic study in a 2,500-kilometer area of the Bay of Bengal in January 2012, according to an official from state-run Petrobangla. The U.S. company is hoping to have the two-dimensional seismic study completed by April 2012. Continue reading
BP, Transocean Still Knocking Heads
BP, the operator of the Deepwater Horizon rig, and Transocean, the rig's owner, are still arguing over issues related to the 2010 Gulf of Mexico oil spill, the largest oil spill in U.S. history with the British oil giant recently saying Transocean has withheld documents related to its spill investigation. Continue reading
BP Could Face Punitive Damages In Spill Suits
Federal Judge Carl J. Barbier of United States District Court in New Orleans ruled on Friday that BP, Europe's second-largest oil company, could face punitive claims from plaintiffs seeking damages related to the 2010 oil spill in the Gulf of Mexico, the largest oil spill in U.S. history. Continue reading
Oil Producers Could Sue Brazil
Oil producers conducting business in Brazil could sue the government there if a presidential veto of an oil royalty bill is overturned, according to various press reports. The legislation raises royalties on all current and future concessions to 15% from the current rate of 10%. Continue reading
PetroChina Q2 Profit Falls 12%
PetroChina, China's largest oil company and the second-largest in the world, said its second-quarter profit fell 12% to $4.5 billion as losses in the company's refining business countered the higher oil prices that have been a boon to so many of PetroChina's Western rivals. Continue reading
China Will Sue ConocoPhillips Over Leaks
China's State Oceanic Administration is reportedly planning to sue ConocoPhillips, the third-largest U.S. oil company, regarding two leaks from two of the U.S. company's platforms in China's Bohai Bay that started in June. Over 3,200 barrels are believed to have leaked, more than double the first estimate of 1,500 provided by ConocoPhillips. Continue reading
BHP Could Buy BP Gulf Assets
BHP Billiton, the world's largest mining company, could takeover a pair of deep-water rigs in the Gulf of Mexico from partner BP, Europe's second-largest oil company, according to The Australian newspaper. The Mad Dog and Atlantis rigs have not produced any oil since the April 2010 explosion of the Deepwater Horizon rig that led to the largest oil spill in U.S. history. Continue reading
Shell Looking To Sell Another Brazilian Block
Royal Dutch Shell, Europe's largest oil company, is looking to sell its second oil exploration block in two months as the Anglo-Dutch oil giant looks to focus on projects in Brazil's Parque das Conchas region. The block Shell is looking to sell is in Brazil's Santos Basin. Continue reading
Tullow Looks To Invest $4B In Ghana
U.K.-based Tullow Oil said it, along with its partners, may invest $4 billion to further develop oil assets off the coast of the African nation of Ghana. The news from Tullow comes a day after Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, announced an oil discovery off Ghana's coast. Continue reading
Ecopetrol Share Sale Misses Target
The planned $1.4 billion share sale by Ecopetrol, Colombia's state-run oil producer, expired today, falling short of the company's target. The company said it raised just over $1.3 billion in the offering, which Ecopetrol said was hampered by the recent decline in global equity markets and oil prices. Continue reading
BHP Billiton May Look For More Shale Buys
BHP Billiton, the world's largest mining company, may look to purchase shale gas assets outside of the U.S. to complement the U.S. deals the Anglo-Australian mining giant struck earlier this year with Chesapeake Energy (CHK), the second-largest U.S. natural gas producer, and Petrohawk Energy. Continue reading
Oil Majors Wait On Ukraine Shale Licenses
Some of the largest U.S. and European oil companies are in the running for shale gas exploration contracts in Ukraine, a potentially lucrative destination for energy producers as the former Soviet republic is believed to be home one of the largest shale gas deposits in Eastern Europe. Continue reading
Anadarko Announces Ghana Oil Discovery
A day after announcing a major natural gas find off the coast of Mozambique, Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, said that one of its wells operating off the coast of Ghana found evidence of oil. The company said the find boosts the chances of a turning up a significant discovery in the area. Continue reading
Brazil Delays Oil Auction
Brazil's national oil regulator, the National Petroleum Agency, or ANP, will probably delay oil auctions originally scheduled to take place in September or October until early next year, citing bureaucratic hold-ups as the reason for postponing the widely anticipated auction. Continue reading
BP Fund Has Doled Out $5B
The compensation fund set up last year by BP following the Gulf of Mexico oil spill has paid out more than $5 billion to 204,434 claimants in the past year, meaning more than a quarter of the $20 billion fund has been paid to victims of the largest U.S. oil spill. Continue reading
Anadarko Announces Mozambique Gas Find
Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, announced that its Barquentine-2 appraisal well off the coast of the African nation of Mozambique encountered evidence of gas in the country's Rovuma Basin. The well was drilled to a depth of 13,500 feet and encountered more than 230 feet of net pay in Oligocene-age reservoirs, according to Upstream Online. Continue reading
BP Eyes Return To Libya
BP, Europe's second-largest oil company, is looking to resume operations in Libya as soon as conditions in the war-torn North African nation permit. The British oil giant was looking to start projects there this, but was forced to evacuate staff after the onset of political violence in February. Continue reading
Eni Soars On Fall Of Gaddafi Regime
The U.S.-listed shares of Eni SpA, Italy's largest oil company, rose nearly 7% on volume that was about double the daily average after rebels seized control of the Libyan capital of Tripoli, effectively toppling the regime of embattled dictator Muammar Gaddafi. Continue reading
Shell's Arrow Energy Bids For Bow Energy
In a bid to boost its liquefied natural gas exposure in Australia, Arrow Energy, the Australian coal-seam gas producer owned by Royal Dutch Shell and PetroChina, has offered to acquire Bow Energy for $540 million, a bid that some analysts say undervalues the company. Continue reading
Anglo American, Citic May Team Up For Macarthur Coal
Anglo American, the British mining giant, and China's Citic are reportedly considering teaming up to make a bid for Australia's Macarthur Coal, the coal company, prized by Peabody Energy, the largest U.S. coal company. Rumors of Anglo American's interest in Macarthur started last week and have since gained steam. Continue reading
Feds Schedule First Post-Spill Gulf Auction
The U.S. Interior Department on Friday announced the first auction of oil leases in the Gulf of Mexico following the oil spill that rocked the region in 2010. A total of 20.6 million acres in waters as deep as nearly 11,000 feet will be auctioned on December 14, Interior said. Continue reading
BP Talking To EnQuest About Asset Sales
BP, Europe's second-largest oil company, is reportedly in talks with EnQuest Plc regarding the sale of about $658 million worth of the British oil giant's North Sea assets. BP previously announced it would sell some of its North Sea assets as part of its $30 billion asset sales program. Continue reading
Conoco Finds New Spill Sources In China
ConocoPhillips, the third-largest U.S. oil company, said that it has found nine new sources of leaking oil in China's Bohai Bay, the region in which the Texas-based oil company has been struggling to contain two leaks that sprung from two of its platforms in late June. Continue reading
Anglo American May Be Interested In Macarthur
Anglo American Plc, the British mining giant, is rumored to be interested in Macarthur Coal, the Australian coal producer currently being pursued by Peabody Energy and ArcelorMittal, for $4.7 billion. After rebuffing Peabody, Macarthur, the world's largest maker of pulverized coal, has said it was holding talks with other suitors. Continue reading
Anadarko, Exxon Target 2014 For Lucius Start
Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, and Exxon Mobil, the largest U.S. oil company, expect the first production from the Lucius discovery in the Gulf of Mexico to come by 2014. Lucius is located near Exxon's (XOM) Hadrian complex in Keathley Canyon. Continue reading
ConocoPhillips Resumes Some China Operations
ConocoPhillips, the third-largest U.S. oil company, has resumed some operations at China's Bohai Bay following leaks from two of its platforms there in late June. Chinese authorities, which have not been shy about condemning the U.S. company, say the leaks have affected 840 square kilometers of Chinese waters. Continue reading
Barclays Remains Bullish On Petrobras
Barclay's reiterated its ''overweight'' rating on Petrobras, Brazil's state-run oil producer today, but despite the bullish call, the bank slashed its price target on the Brazilian oil-giant to $43 from $53. In U.S. trading, Petrobras fell almost 6% on volume that was roughly 75% above the daily average. Continue reading
Exxon, Feds Tussle Over Huge Gulf Find
Exxon Mobil, the largest U.S. oil company, and the U.S. Interior Department are fighting over a huge oil discovery in the Gulf of Mexico, which contains an estimated 1 billion barrels of reserves. The Interior Department says Exxon's leases have expired and the company has not extension requirements, forcing the company to sue to keep the leases. Continue reading
Oil Found In Leaking Shell North Sea Pipeline
Royal Dutch Shell, the largest European oil company, said a large quantity of oil remains in its pipeline that spewed crude into the North Sea, meaning the worst U.K. oil spill in a decade could grow even larger, but the company was careful to note that would only be a worst case scenario. Continue reading
Exxon Finds Buyer For Malaysia Assets
Exxon Mobil, the largest U.S. oil company, will sell three of its Malaysian businesses to San Miguel, the largest Philippine food and drinks company, for a combined $610 million, according to a regulatory filing filed on the Kuala Lumpur stock exchange. Continue reading
Petrobras Says Gulf Spills Hampers Brazil Production
Petrobras, Brazil's state-run oil company, said the 2010 Gulf of Mexico oil spill, the largest oil spill in U.S. history, has hampered oil production in Brazil as regulators there force the company to shut-down equipment for maintenance and safety inspections. Continue reading
Macarthur Continues To Rebuff Peabody
Macarthur Coal, the Australian company that is the world's largest producer of pulverized coal for steelmakers, continues to frown upon a $5.2 billion takeover offer from Peabody Energy and ArcelorMittal, calling the bid ''opportunistic'' amid volatile global equity prices and an unclear regulatory outlook in Australia. Continue reading
Libyan Production Outlook Not Good
Wood Mackenzie, the Scottish energy consultant, said oil output in war-torn Libya is not likely to return to pre-war levels until three years after fighting ends in the country that was once Africa's third-largest oil producer behind fellow OPEC members Nigeria and Angola. Libya is also believed to be home to the continent's largest reserves. Continue reading
Buyers Not Enthusiastic About Ecopetrol Offering
Ecopetrol, Colombia's state-run oil producer, has seen only tepid response to its $1.4 billion share offering, which is set to expire on Wednesday. The company has received orders for just 69% of the $1.4 billion offering, which is the largest share sale in the South American country in four years. Continue reading
Statoil: North Sea Finds Could Be Part Of Huge Field
Statoil, Norway's state-run oil producer, said today the Aldous and Avaldsnes oil discoveries located in the North Sea may be part of a larger field and may hold 500 million to 1.2 billion barrels of recoverable oil, making the discoveries potentially the largest in the world this year. Continue reading
Occidental Sells $2.15B In Debt
Occidental Petroleum, the fourth-largest U.S. oil company, sold $2.15 billion in debt in two tranches today in an offering led by Barclays, Citigroup and JPMorgan. The California-based company sold 5.5- and 10.5-year senior unsecured notes, according to sources with knowledge of the deal. Continue reading
Petrobras Q2 Profit Jumps 32%
Petrobras, Brazil's state-run oil producer, said its second-quarter profit rose 32% to $6.9 billion thanks to higher oil prices, but the company's per share profit declined following a $70 billion dilutive share sale in September 2010, the largest share offering on record. Continue reading
Shell Says Nearly 55,000 Gallons Spewed Into North Sea
Royal Dutch Shell, Europe's largest oil company, said 54,600 gallons of oil spewed into the North Sea from its Gannet Alpha oil rig, located 112 miles off the coast of Aberdeen, Scotland. A Shell official said he believed waves would disperse the oil sheen and the spill was not expected to reach the shore, according to the Associated Press. Continue reading
Transocean To Acquire Aker For $1.46B
Transocean, the world's largest provider of offshore drilling services, announced today that it will acquire Norwegian rival Aker Drilling ASA for $1.46 billion, an offer that represents a 98% premium to where Aker's Oslo-listed shares closed last Friday. The deal has been unanimously approved by Aker's board. Continue reading
NOV Announces $1.5B In Contract Signings
National Oilwell Varco, the world's largest provider of oilfield equipment, said on Sunday it has signed contracts to supply drilling equipment packages for seven drillships to Estaleiro Atlantico Sul with a value of approximately $1.5 billion. Drilling riser and pressure control equipment will be among the equipment provided. Continue reading
Shell Working To Control North Sea Leak
Royal Dutch Shell, Europe's largest oil company, is working to control an oil leak from one of its platforms in the North Sea that had spewed several hundred barrels of oil into the sea, according to the company's British unit. The spill is in the central North Sea area known as the Gannet field, about 112 miles east of Aberdeen, Scotland, according to the New York Times. Continue reading
BP To Explore For Oil In Namibia
BP, Europe's second-largest oil company, has purchased a 25% stake in Chariot Oil & Gas' exploration block in the Orange Basin of the African nation of Namibia making the British oil giant part of a venture that hopes to develop up to 9 billion barrels of crude at the site. Continue reading
ConocoPhillips Raises China Spill Estimate
ConocoPhillips, the third-largest U.S. oil company, raised its estimate for the amount of oil leaked from two of its platforms in the North China Sea, saying on Friday 2,500 barrels of oil and mud spilled from the platforms during two leaks in late June. That is above the previous estimate of 1,500 barrels. Continue reading
BlackRock Likes Schlumberger
BlackRock, the world's largest asset manager, is bullish on Schlumberger, the world's largest provider of oilfield services, as the money manager sees demand for oil outpacing supply, providing a catalyst to companies such as Schlumberger that provide rig and field services. Continue reading
Chinese Officials Want Conoco To Apologize
Officials from China's North China Sea branch of the State Oceanic Administration (SOA) are asking ConocoPhillips, the third-largest U.S. oil company, to apologize for what the regulators view as a slow response time to two leaks from two of the company's platforms in the North China Sea. Continue reading
Molycorp Posts Q2 Profit
Molycorp, the largest U.S.-based rare earths miner, reported a second-quarter profit of $43.5 million, or 52 cents a share, compared with a year-ago loss of $23.3 million, or 47 cents a share, easily trumping Wall Street expectations. The results were reported after the close of U.S. markets today. Continue reading
Shell To Repurchase ''B'' Shares
Royal Dutch Shell, Europe's largest oil company, said today it will repurchase an unspecified amount of its Class ''B'' shares, which the company said will be canceled. It is less economic for the Company to purchase A ordinary shares under the share buy-back program due to Dutch dividend withholding tax rules, the company said in a statement. Continue reading
Conoco Sells German Refinery
ConocoPhillips, the third-largest U.S. oil company, will sell its Wilhelmshaven oil refinery in Germany to Hestya Energy BV, a privately held Dutch company, for an undisclosed sum. The refinery has not been operational for most of the past two years, but the Dutch firm plans to restart it. Continue reading
EC Won't Review Peabody's Macarthur Bid
The European Commission will not review the proposed $5.2 billion takeover offer of Macarthur Coal proposed by Peabody Energy, the largest U.S. coal producer, and ArcelorMittal, the world's largest steelmaker. The companies said they had been informed by the commission's directorate general for competition that the EU Merger Regulation does not apply to their offer, according to the Sydney Morning Herald. Continue reading
BHP Held Failed Talks For Canadian Miner
BHP Billiton, the world's largest mining company, and Sweden's Nyrstar NV held failed takeover talks for Canadian copper miner Lundin Mining, Bloomberg News reported, citing two sources with knowledge of the matter. The talks ended last week. On Tuesday, news of BHP and Nyrstar's interest in Lundin was reported for the first time. Continue reading
Another Legal Battle Involving BP, TNK-BP
A group of minority investors in TNK-BP, BP's joint Russian venture with oligarch investors, are suing the British oil giant for $3 billion in damages they contend stem from the collapse of BP's proposed share swap with OAO Rosneft, Russia's largest oil company. The Rosneft pact, which would have seen BP team with the Russian oil major to explore for oil in Russia's Arctic region, collapsed earlier this year. Continue reading
Petrobras May Sell Stake In Japanese Refinery
Petrobras, Brazil's state-controlled oil giant, is mulling the sale of a partial stake in its wholly owned Japanese oil refiner Nansei Sekiyu KK, according to a Japanese television station which conducted an interview with Petrobras CEO Jose Sergio Gabrielli. Continue reading
BHP Rumored To Be Interested In Copper Miner
BHP Billiton, the world's largest mining company, is reportedly considering making a joint bid with Sweden's Nyrstar NV for Canadian copper miner Lundin Mining, a company that has been a frequent takeover target. Lundin has received takeover offers in the past three years, according to Bloomberg News. Continue reading
BP Suing TNK-BP Shareholder
BP's already sordid conflict with TNK-BP, the British oil giant's joint Russian venture with oligarch investors, took another wild turn today when BP filed a suit accusing TNK-BP shareholder Renova Group of breaching TNK-BP's shareholder rights agreement, according to the Independent, a London daily newspaper. Continue reading
Total Turns Eye To Kenya
France's Total, Europe's third-largest oil company, said its Total Kenya business is looking to increase exploration and production of oil and natural gas in the African country, according to a Kenyan official. The East African nation has increasingly become a target destination for global oil and gas producers. Continue reading
Petrobras Short Interest Surges
Bearish bets against Petrobras, Brazil's state-controlled oil giant, are on the rise as traders look for other ways to bet against plunging crude prices, bad news for weary shareholders that have already been coping with what is one of the worst-performing major oil stocks in the world over the past year. Continue reading
Statoil Announces Major North Sea Discovery
Statoil, Norway's state-run oil producer, announced what the company is calling a ''considerable'' find in the North Sea today. Statoil said preliminary estimates of the volume at a well in its Aldous Major field indicate there are at least 200 million barrels of oil equivalent in place, according to the United Press International. Continue reading
Iraq Approves 41 Firms For Next Oil Auction
Iraq's oil ministry has granted approval to 41 international energy companies to participate in the country's next round of oilfield auctions, which are scheduled for January 2012. Twelve exploration blocks in oil-rich Iraq, an OPEC member, are expected to be bid on at the auctions. Continue reading
Market Environment May Hamper Petrobras Asset Sales
Swooning equity markets both in its home country and all over the world may hamper the ability of Petrobras, Brazil's state-controlled oil producer, to reach its goal of $13.6 billion in asset sales, the proceeds of which would be used to partially fund the company's massive $224.7 billion five-year spending plan. Continue reading
Exxon To Part With Some Indonesia Assets
Exxon Mobil, the largest U.S. oil company, said today it will sell assets in Indonesia, including Mobil Exploration Indonesia, ExxonMobil Oil Indonesia and Mobil Indonesia LNG, as part of its previously announced global asset sales plan. The company will still maintain a presence in the Southeast Asian country. Continue reading
Rio Tinto To Take Aussie Coal Miner Private
Rio Tinto, the world's second-largest mining company, and Japan's Mitsubishi Development Pty have offered $1.55 billion to acquire the almost 14% of Australia's Coal & Allied Industries they do not already own to take the company private. Rio owns 75.7% of the company and Mitsubishi owns 10.2%. Continue reading
China Chides Conoco On Spill Response
China's State Oceanic Administration (SOA) has faulted ConocoPhillips, the third-largest U.S. oil company, for not moving quickly enough to stop a pair of oil leaks that started last month in China's Northeast coast. Last week, the U.S. oil giant said the amount of crude that leaked into Chinese waters may be larger than previously estimated. Continue reading
Chevron Continues To Fight Ecuadorean Plaintiffs
In the latest chapter of its effort to stave off an $18 billion judgement levied earlier this year by an Ecuadorean court, Chevron, the second-largest U.S. oil company, is attempting to force the release of documents it believes are crucial to its defense. Continue reading
Insider Trading Found In Apache/Mariner Deal
A former director of Mariner Energy, the independent oil and natural gas producer Apache agreed to acquire last year for $2.7 billion, was found guilty of insider trading on Friday. H. Clayton Peterson, 65, plead guilty to pleaded guilty to conspiracy and securities fraud in New York court on Friday. Continue reading
Conoco's China Spill Worse Than Previously Thought
ConocoPhillips, the third-largest U.S. oil company, said today an oil spill reported in July off the coast of Northeast China may be worse than previously estimated. The company said it is still estimating the size of the spill, but evidence has been found that makes it appear as though the spill may be larger than initially forecast. Continue reading
Petrobras Looks To Colombia, Won't Sell Bolivia Assets
Petrobras, Brazil's stat-run oil producer, said today it is targeting annual investments in Colombia of $100 million to $120 million over the next several years. Though Colombia's oil production is increasing and the country is South America's third-largest oil producer behind Venezuela and Brazil, Petrobras is looking at primarily natural gas production. Continue reading
Alpha Natural Posts Q2 Loss On Massey Buy
Alpha Natural Resources, the world's third-largest maker of metallurgical coal, reported a second-quarter loss of $56.4 million due to its $7.1 million purchase earlier this year of rival Massey Energy. On an EBITDA basis, Alpha Natural reported a profit of $361.9 million compared with $202.1 million a year earlier. Continue reading
Apache Q2 Profit Climbs 46%
Apache, the largest U.S. independent oil and natural gas producer, said its second-quarter profit surged 46% to $1.26 billion, or $3.17 a share, from $860 million, or $2.53 a share, a year earlier as the company posted record quarterly output and revenue figures. Continue reading
Transocean Q2 Profit Falls Nearly 80%
Transocean, the world's largest provider of offshore drilling services, said its second-quarter profit fell 78% to $155 million, or 48 cents a share, down from $715 million, or $2.22 a share, a year earlier. On an adjusted basis, the company earned 65 cents a share. Continue reading
Petrobras Mulling Euro, Pound Bond Sales
Petrobras, Brazil's state-controlled oil giant, said it is considering selling debt denominated in euros and British pounds as part of its plan to finance its recently announced $224.7 billion five-year exploration budget, which is easily the largest of any of the world's major oil companies. Continue reading
Fund Manager Says BP Should Shrink To Grow
Fund manager Adrian Frost of the Artemis Income Fund, said BP, Europe's second-largest oil company, and other oil majors should consider further asset sales in an effort to revive their sagging growth prospects, according to an interview with Investment Week. Continue reading
Devon Q2 Profit Nearly Quadruples
Devon Energy, one of the largest independent U.S. oil and natural gas producers, said its second-quarter profit almost quadrupled to $2.74 billion, or $6.48 a share, from $706 million, or $1.58 a share, a year earlier as asset sales and higher oil prices helped fuel the profit growth. Continue reading
Marathon Q2 Profit Rises
Marathon Oil, which recently completed the spin-off of its marketing and refining business, said its second-quarter profit rose 40.5% to $996 million, or $1.39 per share, from $709 million, or $1 per share, a year earlier. Revenue climbed 31.8% to $3.68 billion. Continue reading
China's Nat Gas Demand Could Jump This Year
Natural gas demand in China, already the world's largest energy consumer, could rise by more than 16% this year as the world's largest polluter looks to promote the use of cleaner burning fuels in a bid to lower its pollution footprint. China's Ministry of Industry and Information Technology said Chinese natural gas consumption could rise 16.1% to 124.6 billion cubic meters. Continue reading
Petrobras May Sell Campos Blocks
Petrobras, Brazil's state-run oil producer, may sell exploration blocks in Brazil's Campos Basin, home to the bulk of the country's oil production, as part of its plan to raise $13.6 billion in cash through asset sales to partially fund the company's five-year $224.7 billion plan. Continue reading
Conoco To Start Aussie Drilling In Q4
ConocoPhillips, the third-largest U.S. oil company, said it is looking to commence drilling for the Browse liquefied natural gas project in the fourth quarter, a move that could lead to development of one of Australia's top liquefied natural gas projects at a time when cleaner burning fuels are in high demand by Asian economies. Continue reading
Petrobras To Sell Investments To Raise Cash
Petrobras, the largest publicly traded Latin American oil company, could sell stakes in various Brazilian companies to raise nearly $14 billion cash to partially fund its five-year spending plan of almost $225 billion. The company could also sell exploration blocks in Brazil and other countries to raise cash. Continue reading
Petrobras Boosts Franco Estimate To 4B Barrels
Petrobras, Brazil's state-controlled oil producer, said the Franco pre-salt field, which the company purchased from Brazil's government last year, could be home to 4 billion barrels of recoverable reserves of oil and natural gas. That is above the last Franco estimate of 3.1 billion barrels, but still below the initial estimate of 4.5 billion barrels. Continue reading
Peabody, Arcleor Take Macarthur Bid Hostile
Peabody Energy, the largest U.S. coal producer, and ArcelorMittal, the world's largest steelmaker, have taken their $5.2 billion takeover bid for Australia's Macarthur Coal hostile after talks with Macarthur management. This is Peabody's second attempt at acquiring the Australian. The U.S. company offered $3.4 billion for its Australian rival last year in a solo bid, but was rejected. Continue reading
Petrobras Looks To Increase Ethanol Output
Petrobras, Brazil's state-run oil company, said it is looking to increase its ethanol production with the hopes of almost tripling its share of Brazil's ethanol market by 2015. Brazil is already the world's second-largest ethanol producer behind the U.S. and is the leading producer of sugar-based ethanol. Continue reading
Total Says Q2 Profit Falls 12%
France's Total, Europe's third-largest oil company, said its second-quarter profit fell 12% as its results were hampered by a weak U.S. dollar. Total's second-quarter profit dropped to $3.89 billion from $4.46 billion a year earlier, but on an adjusted basis, the company earned $4 billion compared with $3.76 billion a year earlier. Continue reading
BHP Workers Resume Strikes In Australia
Workers at Australian coal mines owned by BHP Billiton, the world's largest mining company, resumed labor strikes on Saturday ahead of talks scheduled with executives aimed at ending the labor rift. Strikes are taking place at mines where BHP produces metallurgical coal, the coal grade that is in high demand by Asian steelmakers. Continue reading
Traders Up Bullish Commodities Bets
Hedge funds and other speculators boosted their bullish bets on commodities futures contracts to the highest levels in six weeks with silver and sugar among the commodities with largest influx of bullish contracts. Silver holdings rose for a fourth straight week, and bullish sugar bets climbed to the highest since February 2010, according to Bloomberg News. Continue reading
Analysts Bullish On Anadarko
Shares of Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, are trading around all-time highs and have recovered substantially after a major plunge following the Gulf of Mexico oil spill last year, but some analysts think the stock still has room to run. Continue reading
Shell Q2 Profit Nearly Doubles
Royal Dutch Shell, Europe's largest oil company, posted a second-quarter profit of $8.66 billion, citing higher oil prices and new projects for the near-double in profits for the period. The Anglo-Dutch oil giant said international production slid 2% to 3.05 million barrels per day. Continue reading
ConocoPhillips Buys Niobrara Acres
ConocoPhillips, the third-largest U.S. oil company, announced today that it will acquire up to 46,000 net acres of leasehold from Lario Oil & Gas Company in the Colorado counties of Arapahoe, Adams, Elbert and Douglas in the Niobrara Shale. Financial terms of the deal were not disclosed. Continue reading
Chesapeake Q2 Profit Rises
Chesapeake Energy, the second-largest U.S. natural gas producer, said its second-quarter profit rose to $467 million, or 68 cents a share, from $235 million, or 37 cents, a year earlier, beating the consensus estimate by 4 cents a share. The company increased its drilling budget by $500 million, which could result in spending of up to $6.5 billion. Continue reading
Exxon Q2 Profit Rises, But Misses Estimates
Exxon Mobil, the largest U.S. oil company, said its second-quarter profit rose 41% to $10.68 billion, or $2.18 a share, from $7.56 billion, or $1.60, a year earlier, missing the $2.34 a share analysts were expecting due to slack production growth and a slump in international refining earnings. Revenue rose 36% to $125.5 billion. Continue reading
Cabot Q2 Earnings Beat Street Estimates
Cabot Oil & Gas, the Texas-based independent oil and natural gas producer, said its second-quarter profit rose to $54.7 million, or 53 cents a share, from $21.7 million, or 21 cents a share, a year earlier. On an adjusted basis, Cabot earned 41 cents a share. Revenue came in at $240.7 million. Continue reading
BP Wants Suits Against Retirement Managers Tossed
BP, Europe's second-largest oil company, is seeking to have lawsuits filed against he company's retirement savings plan managers brought by employees tossed. The employees claim the retirement plan managers invested too heavily in BP shares, but BP fired back, saying the workers opted to invest in those plans. Continue reading
Hess Q2 Profit Surges 62%
New York-based oil company Hess said its second-quarter profit soared 62% to $607 million, or $1.78 a share, from $375 million, or $1.15 a share, a year earlier, as revenue increased 27% to $9.81 billion. Analysts were expecting a profit of $1.94 a share on revenue of $10.08 billion. Continue reading
Conoco Q2 Profit Falls, But Tops Estimates
ConocoPhillips, the third-largest U.S. oil company, reported a second-quarter profit of $3.4 billion, or $2.41 a share, compared with $4.16 billion, or $2.77, a year earlier. Analysts were expecting a profit of $2.19. The company reported a profit of $2.5 billion from its exploration and production business, beating the $2.4 billion that was expected. Continue reading
Weatheford Soars On Profit Beat
Shares of Weatherford International, the Switzerland-based oil services provider, surged 10% to $22.49 on volume that was more than triple the daily average after the company reported a second-quarter profit of $110.1 million, or 15 cents a share, compared with $59.2 million, or 8 cents, a year earlier. Continue reading
National Oilwell Q2 Profit Surges
National Oilwell Varco, the world's largest provider of oilfield equipment, said its second-quarter profit climbed 20% to $481 million, or $1.13 per share, from $401 million or 96 cents per share a year earlier as revenue increased 19% to $3.51 billion. On an adjusted basis, the company earned $1.14 a share. Analysts were expecting a profit of $1.01 on revenue of $3.24 billion. Continue reading
Occidental Q1 Profit Soars 71%
Occidental Petroleum, the fourth-largest U.S. oil company, said its second-quarter profit surged 71% to $1.82 billion, or $2.23 per share, from $1.06 billion, or $1.31 per share, a year earlier as revenue climbed 34% to $6.17 billion. Analysts were expecting a profit of $2.15 per share on revenue of $5.79 billion. Continue reading
BP Q2 Profit Misses Analysts' Estimates
BP, Europe's second-largest oil company, reported a second-quarter profit of $5.6 billion, reversing a year-earlier record loss of $17 billion following the Gulf of Mexico oil spill, but even with the profit, the British oil giant missed the $5.9 billion analysts were forecasting. Continue reading
Petrobras May Not Need To Sell Debt Within 10 Years
Petrobras, which recently unveiled a five-year spending plan worth about $225 billion, said it may not need to issue any more debt within 10 years as cash flow from operations will be enough to cover financing and exploration costs after Brazil's state-run oil producer boost production to 6.4 million barrels per day by 2020. Continue reading
BP Wins Trinidad Deep-Water Blocks
BP, Europe's second-largest oil company, was awarded two exploration and production blocks off the coast of Trinidad and Tobago in the Caribbean, a region which accounts for 12% of the British oil giants current production. Last year, BP produced an average of 460,000 barrels of oil equivalent a day in the country, according to the Wall Street Journal. Continue reading
Baker Hughes Q2 Profit More Than Triples
Oil services provider Baker Hughes said its second-quarter profit more than tripled to $338 million, or 77 cents a share, from $93 million, or 23 cents a share, a year earlier as revenue surged 41% to $4.74 billion. The company cited growth in U.S. market and increasing international profit margins as catalysts behind the strong numbers. Continue reading
Anadarko Posts Q2 Profit, Reversing Loss
Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, said its second-quarter profit jumped to $544 million, or $1.08 a share, reversing a loss of $40 million or 8 cents a share, in the year-earlier period. Revenue rose 46% to $3.5 billion. Continue reading
Petrobras Could Sell $91B In Debt
As part of its efforts to fund its five-year budget of nearly $225 billion, Petrobras, Brazil's state-run oil company, could sell $91 billion in debt. Petrobras is spending more than any of the other major integrated oil companies in the world as it taps into Brazil's pre-salt oil fields. Continue reading
Mining M&A Surges In First Half
Accounting firm Ernst & Young said global mining mergers and acquisitions totaled $96.3 billion in the first half of 2011, more than doubling from $47.9 billion in the first half of 2011 and nearly equaling the total for all of 2010. There were $113.7 billion worth of deals made all of last year. Continue reading
BP Breakup Could Be Worth $100B
BP, Europe's second-largest oil company, could unlock $100 billion in shareholder value by following in the footsteps of U.S. rivals Marathon Oil (MRO) and ConocoPhillips by spinning off its refining and marketing business. Continue reading
Petrobras Unveils New Spending Plan
Petrobras, Brazil's state-run oil producer, said it will invest nearly $225 billion from 2011 through 2015, a number that is roughly inline with the $224 billion spending plan the company announced last year for the five years ending 2014. All but 5% of that total will be devoted to domestic spending. Continue reading
Schlumberger Announces New CEO
Ahead of its second-quarter earnings report Friday before the open of U.S. markets, Schlumberger, the world's largest provider of oilfield services, said Chief Executive Officer Andrew Gould will retire on Aug. 1 and be replaced by Chief Operating Officer Paal Kibsgaard. Continue reading
Diamond Offshore Q1 Profit Rises 19%
Drilling services provider Diamond Offshore said its second-quarter profit rose 19% to $266.6 million, or $1.92 a share, up from $224.4 million, or $1.61 a share, a year earlier as revenue jumped 8.1% to $889.5 million. Analysts were expecting a profit of $1.92 a share on revenue of $870 million. Continue reading
TNK-BP Taking BP Back To Court
Just when it looked as if the legal wrangling between BP and its joint Russian venture TNK-BP had abated, the Russian firm is taking its British counterpart back to court to evaluate whether BP, Europe's second-largest oil company, violated its shareholder rights agreement with TNK-BP when the former pursued a share swap and Arctic exploration alliance OAO Rosneft, Russia's largest oil company. Continue reading
Ecopetrol Q2 Profit Surges 89%
Ecopetrol, Colombia's state-run oil producer and the country's largest company by market value, said its second-quarter profit rose 89% to $1.93 billion. Earnings before interest, taxes, depreciation and amortization, or Ebitda, more than doubled, rising by 111%, Ecopetrol said in a statement. Continue reading
Citic Mulling Bid For Macarthur
In what could be a stinging blow for Peabody Energy, the largest U.S. coal producer, China's state-run Citic Group is rumored to be mulling a bid for Australia's Macarthur, the world's largest maker of pulverized coal, that Missouri-based Peabody has long coveted. Continue reading
Chevron, Petrobras In Talks With Congo
Chevron, the second-largest U.S. oil company, and Petrobras, Brazil's state-run oil producer, are in talks with the government of the Democratic Republic of Congo about making investments in the African nation's burgeoning oil industry, according to Oil Minister Celestin Mbuyu. Continue reading
No BP/Anadarko Settlement Imminent
A settlement between Anadarko Petroleum, the Texas-based independent oil and natural gas producer that held a 25% non-operating interest in the ill-fated Macondo well project, and BP, the project's primary operator, is not imminent, Reuters reported, citing sources with knowledge of the matter. Shares of BP had gotten a lift on the speculation and closed higher by nearly 2% in the U.S. Continue reading
BP Denied Access To White House Emails
BP, Europe's second-largest oil company, was denied access to emails by Carol Browner, a former Obama administration advisor, to the President regarding how the White House would address the Gulf of Mexico oil spill, the largest oil spill in U.S. history. In a ruling today, U.S. Magistrate Sally Shushan said BP failed to show it needed access to the emails. Continue reading
Cnooc To Buy Opti Canada For $2.1B
Cnooc, China's largest offshore oil exploration firm, said it will acquire bankrupt Opti Canada for $2.1 billion in an effort to boost its presence in the oil sands region of Western Canada. Canada's oil sands region is believed to be home to the third-largest oil reserves in the world after Saudi Arabia and Venezuela. Continue reading
Peabody Raises 2011 Outlook
Peabody Energy, the largest U.S. coal producer, said its second-quarter profit jumped 38% to $284.8 million, or $1.05 cents per share, from $206.2 million, or 76 cents, a year earlier as revenue climbed 21% to $2.01 billion. Analysts were expecting a profit of 63 cents a share on revenue of $2.02 billion. Continue reading
Occidental Alters Incentive Scheme
Occidental Petroleum, the fourth-largest U.S. oil company, said return on equity compensation incentives to former CEO and current Chairman Ray Irani and former CFO and new CEO Stephen Chazen will be awarded in half cash and half company shares instead of 100% cash as previously planned. The announcement pertains to incentive awards from 2008. Continue reading
Ecopetrol Could Sell $1.71B In Shares
Ecopetrol, Colombia's state-run oil producer, will likely issue $1.14 billion to $1.71 billion in new shares as part of a previously planned share sale. Ecopetrol, Latin America's fourth-largest oil company, will commence the offering on July 27 and it will run through August 17. Continue reading
OPEC Says Venezuela Reserves Topped Saudi
The Organization of Petroleum Exporting Countries (OPEC) said Venezuela's proven oil reserves topped Saudi Arabia's in 2010. Saudi Arabia is the 12-member cartel's largest producer while Venezuela is the top oil producer in South America. Venezuela had 296.5 billion barrels of proven reserves last year compared to 264.5 billion for Saudi Arabia, OPEC said. Continue reading
Shell Partners Could Acquire Mackenzie Stake
Royal Dutch Shell, Europe's largest oil company, may not have an easy time finding a buyer for its 11.4% in the $17 billion Mackenzie Gas Project, a Canadian pipeline project, making the Anglo-Dutch oil giant's partners in the project logical buyers, analysts said on Monday, just days after Shell announced plans to sell the stake. Continue reading
Anadarko, Exxon To Partner On Gulf Field
Exxon Mobil, the largest U.S. oil company, and Anadarko Petroleum, one of the largest U.S. independent oil and natural gas producers, announced they will partner to develop the deep-water Lucius field in the Gulf of Mexico. Lucius is an Anadarko field discovered by the company in 2009. Continue reading
Walter Surges After Investor Demands Sale
Shares of Walter Energy, the Alabama-based coal producer, jumped $7.61, or 6.9% to $118.55 today on volume that was well above double the daily average after Audley Capital Advisors, one of the largest Walter shareholders, said it contacted the company's board and suggested it retain an investment bank to position the company for a possible sale. Continue reading
Halliburton Q2 Profit Climbs 54%
Halliburton, the world's second-largest oilfield services provider, said its second-quarter profit surged 54% to $739 million, or 80 cents per share, from $480 million, or 53 cents per share, a year earlier as revenue soared 35% to $5.9 billion. Excluding one-time items, Halliburton earned 81 cents a share. Analysts were expecting a profit of 74 cents on revenue of $5.71 billion. Continue reading
Anadarko Must Try Arbitration With BP
U.S. District Judge Carl Barbier ruled on Friday that Anadarko Petroleum, the Texas-based independent oil and natural gas producer that held a 25% non-operating interest in the ill-fated Macondo well project, must pursue arbitration proceedings with BP before litigation can be considered. Continue reading
Shell Plans To Exit Canadian Pipeline Project
Royal Dutch Shell, Europe's largest oil company, said it will sell its stake in the $17 billion Mackenzie Gas Project, a Canadian pipeline project, the latest sign that the project, designed to bring natural gas from Canada's Arctic coast to North American markets, may be in danger. Continue reading
TNK-BP To Buy Stake In Brazilian Field
TNK-BP, Russia's third-largest oil company, will acquire a stake in an oilfield in Brazil's Amazon region from HRT Participacoes. HRT paid $820 million in May to acquire a 49% stake in the field, which TNK-BP had previously tried to a stake in, but was rebuffed. Continue reading
BP Should Consider Spinoff, Analysts Say
BP, Europe's second-largest oil company, should consider following in the footsteps of ConocoPhillips and consider spinning off its refining business into a separate entity, analysts at least two brokerage firms said. Last week, ConocoPhillips (COP), the third-largest U.S. oil company, said it will spin-off its refining and market operations into a separate, publicly traded entity in 2012. Continue reading
Analysts Speculate On Exxon, Chevron Spin-Offs
News that ConocoPhillips, the third-largest U.S. oil company, will split into two companies, spinning off its marketing and refining operations to shareholders, has prompted speculation from analysts regarding whether Dow components Exxon Mobil and Chevron, the two largest U.S. oil companies should do the same. Continue reading
BHP Offers To Acquire Petrohawk For $12.1B
BHP Billiton, the world's largest mining company, has offered to acquire Texas-based Natural gas producer Petrohawk Energy for $12.1 billion, valuing the company at $38.75 a share, a 65% premium to where the shares closed on Thursday. The deal will be the Australian mining giant's second major foray into the shale gas business. Continue reading
Petrobras: Brazil's Oil Finds Comparable To North Sea
Petrobras, Brazil's state-run oil company, said the country's oil reserves, including recent pre-salt discoveries off the coast of the South American country, are comparable to those found in the North Sea. Before the U.K. and Norway developed North Sea deposits, the region held an estimated 62 billion barrels of reserves, according to Bloomberg News. Continue reading
Conoco Decides To Break Up
ConocoPhillips, the third-largest U.S. oil company, announced plans today to split its exploration and production and refining businesses into two separate, publicly traded companies, mirroring a move by smaller rival Marathon Oil (MRO) to do the same thing earlier this month. Continue reading
Halliburton Wins Chevron Poland Shale Contract
Halliburton, the world's second-largest provider of oilfield services, was awarded a three-year services contract by Chevron, the second-largest U.S. oil company, to help the oil giant tap shale gas reserves in Poland. Financial terms of the agreement were not disclosed. Continue reading
BP Moves Forward With North Sea Plans
Despite a planned tax hike on oil producers by the British parliament, BP, Europe's second-largest oil company, is moving forward with $3.8 billion in planned investments in the North Sea, a move that is expected to extend production there through 2035. Continue reading
Conoco Halts China Drilling
U.S. oil giant ConocoPhillips has halted drilling at two platforms at the Penglai 19-3 field in China following leakage that seeped oil into Bohai Bay starting in June. ConocoPhillips estimates 1,500 to 2,000 barrels of oil have leaked from both sites, according to a statement issued by the company today. Continue reading
Conoco Eyes Aussie Shale Gas
ConocoPhillips, the third-largest U.S. oil company, could pay up to $109.5 million to explore for shale gas in Western Australia, Bloomberg News reported, citing the U.S. company's partner, New Standard Energy. New Standard said ConocoPhillips could wind up with a 75% interest in the Goldwyer project in the Canning Basin. Continue reading
Ecopetrol Could Ready Secondary By Month-End
Ecopetrol, Colombia's state-run oil producer, could put the finishing touches on an eagerly awaited secondary share offering by the end of this month if it receives the necessary approvals from its board of directors and regulators, the Wall Street Journal reported, citing the company. The Ecopetrol offering could be ready as soon as July 27. Continue reading
BHP Submits Proposal For Brazilian Iron Ore Project
BHP Billiton, the world's largest mining company, has submitted an initial proposal to Brazilian regulators to develop iron ore mines in the country's Minas Gerais state. If approved, the Australian mining giant would invest $2.4 billion to the Minas Gerais government. Continue reading
Oil Demand To Slow In 2012, OPEC Says
The Organization of Petroleum Exporting Countries (OPEC), the 12-nation cartel responsible for about 40% of the world's oil production, said international oil demand will grow at a slower pace next year, marking the second consecutive year demand growth for crude has slowed. Continue reading
Chevron Targets Liberia Drilling In Q4
Chevron, the second-largest U.S. oil company, said today it is planning to drill its first well off the coast of the African nation of Liberia in the fourth quarter of this year. California-based Chevron has three deep-water concessions off the coast of Liberia. Continue reading
Chevron Says Q2 Profit Set To Rise
Chevron, the second-largest U.S. oil company, said it expects its second-quarter profit to come in ahead of its first-quarter results, helped by higher oil prices and increased production. The company is expected to report a second-quarter profit of $7.1 billion compared with $6.21 billion in the first quarter. Continue reading
Chesapeak Forms $1B Nat Gas Fund
Chesapeake Energy, the second-largest U.S. natural gas producer, has formed a $1 billion fund aimed at investing in companies that develop equipment and technology that foster increase use of natural gas as a transportation fuel. The Oklahoma-based company has already outlined a pair of investments. Continue reading
Peabody, ArcelorMittal Team Up On Macarthur Bid
Peabody Energy, the largest U.S. coal producer, and ArcelorMittal, the world's largest steelmaker, have teamed up to make a $5.1 billion acquisition offer for Australia's Macarthur Coal, the world's largest producer of pulverized coal for steel producers. Continue reading
BP Wants To Halt Future Spill Claims
BP, Europe's second-largest oil company, does not want to pay future losses to victims of the 2010 oil spill in the Gulf of Mexico, the worst oil spill in U.S. history, saying that the Gulf coast region is starting to recover economically. Following the spill, BP set up a $20 billion spill victim's compensation fund. Continue reading
ConocoPhillips May Sell Vietnam Assets
ConocoPhillips, the third-largest U.S. oil company, may sell stakes in three oil and gas projects off the coast of Vietnam to PetroVietnam, the Southeast Asian country's state-controlled oil producer, and its partners. PetroVietnam confirmed it is interested in the assets. Continue reading
Shell Close To Completing $12B Iraq Gas Deal
Royal Dutch Shell, Europe's largest oil company, could finally ink a long awaited $12 billion natural gas deal with the Iraqi government. The country's oil ministry said the deal could be signed as soon as Tuesday. Continue reading
Total CEO Sees Oil Prices Climbing
Christophe de Margerie, the CEO of French oil giant Total, said that he believes oil prices will remain on their upward slope, but that refining margins currently remain weak. Even without speculation, oil prices would still be rising, in part due to geopolitical concerns and demand, de Margerie said, according to the Wall Street Journal. Continue reading
Shell Gets Approval For Aussie Well
Royal Dutch Shell, Europe's largest oil company, was granted approval by Australian regulators to drill an exploration well Ningaloo Reef after the government opted against a more stringent environmental review. Found 1,200 kilometers off the coast of Perth, the Ningaloo Reef was designated with world heritage status by the United Nations earlier this year to bolster conservation efforts in the region. Continue reading
Total Targets Brazil
Total, Europe's third-largest oil company, said it is looking participate in the booming Brazilian oil business as soon as it gets approval from Brazilian regulators to begin tapping the South American country's vast pre-salt oil discoveries. Brazil is the second-largest oil producer in South America behind OPEC member Venezuela. Continue reading
Exco CEO Lowers Takeover Offer
Exco Resources CEO Douglas Miller trimmed his takeover offer for the natural gas producer by 9.8% to $4 billion from $4.4 billion while adding a stock element to the offer, Bloomberg News reported, citing three people with knowledge of the matter. Last month, there was speculation that Miller was struggling to obtain financing for his offer to take Exco private. Continue reading
Kosmos To Boost Ghana Spending
Kosmos Energy, the newly public Texas-based oil explorer, said it will spend $400 million to $430 million exploring for oil in Ghana this year, according to a Securities and Exchange Commission filing. In a previous filing, the company said it expected to spend $400 million searching for oil in the African nation in 2011. Continue reading
Conoco May Have To Pay For China Spill
ConocoPhillips, the third-largest U.S. oil company, may face monetary damages related to a pair of oil spills off the coast of China's Shandong province that are now believed to be worse than previously thought. China's State Oceanic Administration (SOA) said that it may seek compensation from the U.S. oil giant. Continue reading
BP's Reliance Asset Buy Near Approval
BP's plans to acquire stakes in 23 Indian oil and natural gas blocks operated by Reliance Industries is close to being approved and could be approved as early as next week, an oil ministry official with knowledge of the matter told Bloomberg News. The British oil giant announced the deal in late February. Continue reading
S&P Raises BP's Credit Outlook
Standard & Poor?s Ratings Services boosted the credit outlook of BP, Europe's second-largest oil company, to stable from negative, citing higher oil prices, noting the British oil giant is better positioned to fund liabilities associated with the Gulf of Mexico oil spill than the ratings agency previously thought. Continue reading
Barron's Bullish On Apache
At a time when oil production at many of the world's largest fields is slumping, leading to concerns over future supplies in the face of higher demand, Apache, the largest U.S.-based independent oil and natural gas producer, is getting more production out of fields thought to be in decline, prompting Barron's to issue a favorable piece on the shares. Continue reading
National Oilwell Acquires Ameron For $772M
National Oilwell Varco, the world's largest provider of oilfield equipment, said today it will purchase Ameron International for $772 million in cash to bolster its offerings of pipes used to move oil. Ameron investors will receive $85 in cash for each of their shares, a 28% premium to where the stock closed last Friday. Continue reading
Energy Transfer Raises Bid For Southern Union
Energy Transfer Equity, the Texas-based master limited partnership, has raised its takeover offer for pipeline operator Southern Union to $5.1 billion from a previous offer of $4.2 billion in an effort to stymie an acquisition bid valued at close to $4.9 billion by Williams Cos. Continue reading
BP Should Repurchase Shares, Citi Says
BP, Europe's second-largest oil company, should use some of the cash it has raised through asset sales to repurchase its own stock, according to an analyst note issued by Citigroup today. Following the Gulf of Mexico oil spill in April 2010, the British oil giant pledged to sell $30 billion in assets to raise cash for spill-related costs. The company has thus far sold about $25 billion in assets. Continue reading
China To Award Shale Rights
PetroChina, China's largest oil company, and Sinopec, Asia's largest refiner, are among the companies that could be awarded contracts to develop China's vast shale-gas reserves as the world's fastest-growing major economy looks to develop cleaner-burning fuel sources to reduce a massive pollution problem. Continue reading
Peabody Among Firms Picked To Develop Mongolian Mine
Peabody Energy, the largest U.S. coal producer, was among the companies chosen to develop Mongolia's Tavan Tolgoi coal mine, a deposit that has been speculated to be one of the world's largest untapped deposits of metallurgical coal, the coal grade that is in high demand by Asian steelmakers. Continue reading
Iraq Sees No Need For National Oil Company
Iraq, the lone OPEC member not beholden to the cartel's production quota system, does not need a new Iraqi National Oil Company to manage the country's energy sector, Oil Minister Abdul-Kareem Luaibi said on Sunday while addressing the Iraqi parliament's energy and oil committee. Continue reading
Exxon Says Montana Leak Confined
Exxon Mobil, the largest U.S. oil company, said a leak at a Montana pipeline is confined to a 10-mile area around the state's largest city, Billings, and that there is little pollution around the Yellowstone River. The incident was originally reported on Saturday. Continue reading
Shells Lands Alaska Air Permits
Royal Dutch Shell, Europe's largest oil company, was awarded draft air quality permits from the Environmental Protection Agency on Friday, a move that could open the door for the Anglo-Dutch oil giant to finally commence drilling in the Beaufort and Chukchi Seas off the coast of Alaska. Continue reading
Alaska Planning Another Big Lease Sale
Alaska, the second-largest oil producer among U.S. states in 2010 behind Texas according to the U.S. Energy Information Administration, is planning a lease sale for October that may exceed the size of any other U.S. lease sale in 2011 as the state looks to bolster oil production amid declining output at maturing fields. Continue reading
Anadarko Eyes Mozambique LNG Decision
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, and partner Cove Energy are looking to make a final investment decision on a major liquefied natural gas project off the coast of the African nation of Mozambique by 2013, Cove said. Continue reading
BG Doubles Brazil Estimates
BG Group, the British oil and gas producer, doubled its estimate for the company's oil and gas reserves in Brazil's oil-rich Santos Basin to six billion barrels following tests that revealed evidence of more hydrocarbons than were previously thought to exist at BG's properties. Continue reading
Marathon Refining Spin-Off Debuts Friday
Marathon Oil's refining unit will debut as a separate, publicly traded entity on the New York Stock Exchange on Friday under the name Marathon Petroleum Corp. Texas-based Marathon announced the spin-off earlier this year and the refining business will become the second-largest independent refiner in the U.S. Continue reading
Shell Remains Positive On Arctic Drilling
Royal Dutch Shell, Europe's largest oil company, remains optimistic in its outlook for drilling in the Chukchi Sea off Alaska's coast, but Shell Oil President Marvin Odum reiterated that his company is disappointed that it has taken so long to move forward with exploratory drilling. Continue reading
BP Notches Win In Prudhoe Bay Suit
BP, Europe's second-largest oil company, scored a legal victory on Wednesday when the 9th Circuit Court of Appeals dismissed a securities fraud claim brought by investors against BP's BP Exploration unit stemming from the company's 2007 conviction for illegally dumping oil into Alaska's Prudhoe Bay. Continue reading
BP Funds Not Enough For Gulf Restoration
The $1 billion BP, Europe's second-largest oil company, set aside for restoration and ecosystem projects following the Gulf of Mexico oil spill in 2010 may not be enough to cover those costs, Gulf Coast lawmakers and officials claim. Officials said the $1 billion is a step in the right direction, but added the money will only cover early restoration. Continue reading
McMoRan Surges On Gulf Outlook
Shares of McMoRan Exploration, the Louisiana-based independent oil and natural gas driller, surged over 12% on volume that was nearly five times the daily average after the company said it could add 7.5 trillion cubic feet of oil and natural gas equivalent in the Gulf of Mexico if its deep-water projects there are successful. Continue reading
Southern Union Opens Talks With Williams
Natural gas pipeline operator Southern Union has agreed to hold takeover talks with Williams Cos., the natural gas provider that recently launched a $4.86 billion takeover bid for Southern Union, topping the $4.2 billion previously offered by Texas-based master limited partnership Energy Transfer Equity. Continue reading
Plaintiffs File Emergency Appeal In Chevron Case
Ecuadorean plaintiffs in the controversial case against Chevron, the second-largest U.S. oil company, have filed an emergency appeal in a bid to block a U.S. judge from scrapping the $18.2 billion judgement a court in the South American country levied against the U.S. oil giant. Continue reading
Repsol, Sinopec Announce Brazilian Discovery
A venture managed by Repsol, Spain's largest oil company, and China's Sinopec, Asia's largest refiner, announced its Gavea exploration well discovered oil in the Campos Basin off the coast of Brazil. The well was drilled at a water depth of 2,708 meters (8,885 feet) and reached a final depth of 6,851 meters, according to Bloomberg News. Continue reading
Statoil Makes Significant North Sea Find
Statoil, Norway's largest oil company, said it made a major oil discovery at its Krafla West prospect in the North Sea, news that could perhaps spur hope that the region's oil output is not declining as rapidly as some industry observers and analysts had previously forecast. Continue reading
BP Not Planning Changes To North Sea Projects
BP, Europe's second-largest oil company, said it will move forward with its planned projects in the North Sea even as the British government has pledged to raise taxes on oil producers. The company did add it will evaluate future projects in the region as a result of the tax plan. Continue reading
Petrobras Could Borrow Up To $47B
Petrobras, Brazil's state-run oil producer, could borrow as much as $47 billion by 2014 as the company taps into Brazil's pre-salt oil fields, which are among the world's largest oil finds in several decades. The news comes as investors and Brazil's government have recently said they would like to see Petrobras scale back spending. Continue reading
Chevron Planning Bangladesh Expansion
Chevron, the second-largest U.S. oil company, is planning a major expansion in Bangladesh after the country's state-controlled oil producer, Petrobangla, asked the U.S. oil giant to boost natural gas production at three fields by 1 billion cubic feet per day by 2012. Continue reading
Indonesia Makes New Oil Find
Indonesia, the rapidly growing Asian economy that was once an OPEC member, announced significant discoveries of coal, natural gas and oil reserves on the island of Sumatra, news that could be a boon for the country's economic development, according to Indonesian officials. Continue reading
Exco Shares Fall As CEO Struggles To Finance Takeover
Shares of Exco Resources, the Texas-based independent oil and natural gas driller, plunged 7.14% today on volume that was better than seven times the daily average on news that CEO Douglas Miller has struggled to obtain the financing necessary to take the entire company private for $4 billion. Continue reading
Petrobras Targeted By Hacker Group
Petrobras, Brazil's state-run oil company, was the target of an attack of the Brazilian faction of the now infamous LulzSec computer hacking group. LulzSecBrazil's Twitter page published the Petrobras server URL, complete with access and password code, Forbes reported. Continue reading
TNK-BP To Make Ukraine Gas Push
TNK-BP, BP's Russian venture with oligarch investors, plans to invest $1.8 billion in shale gas projects in Ukraine over the next six or seven years, the company announced last week. The $1.8 billion investment could allow TNK-BP to allow 3 billion cubic meters of Ukraine shale gas per year. Continue reading
Tax Could Hurt Chevron Orinoco Output
Chevron, the second-largest U.S. oil company, said it must consider Venezuela's new oil tax as it plans new investments in South America's largest oil producing country. The company said it will not drop any current projects in Venezuela, but there has been speculation that the new tax could hamper production in oil-rich Orinoco region. Continue reading
Apache Boosts Alaska Exposure
Apache, the largest U.S. independent oil and natural gas driller, made its presence felt at the recent auction for oil leases in Alaska's Cook Inlet, nabbing 95 of 106 leases offered by the state. Apache primarily bid $10 per acre, but did offer as much as $20 per acre in some areas. Continue reading
Petrobras Delays Gulf Project
Petrobras, Brazil's state-run oil producer, said on Thursday it will delay oil product at its Cascade-Chinook deep-water project in the Gulf of Mexico until the end of this year due to issues pertaining to the subsea system that is to be used for the project. Continue reading
Williams Makes Competing Bid For Southern Union
Williams Cos., the Oklahoma-based energy firm, has offered $4.86 billion for natural gas pipeline operator Southern Union, topping a bid of $4.2 billion made earlier this month Energy Transfer Partners, the Texas-based master limited partnership. The Williams bid values Southern Union at $39 a share, $6 above Energy Transfer's offer. Continue reading
Transocean Vows To Fight Norwegian Tax Claim
Transocean, the world's largest provider of offshore drilling services, said it will fight Norway's $1.8 billion tax-evasion charge against the company, adding that the indictments are without merit, according to an e-mailed statement from the company that was obtained by Bloomberg News. Continue reading
Goldman Sees Libyan Exports Rising
Goldman Sachs said oil exports from OPEC member Libya, home to Africa's largest oil reserves, could rise to as much as 355,000 barrels per day in the near-term after rebel forces opposing Muammar Qaddafi's regime said they want to resume exports. Continue reading
Transoean Hit With Hefty Norwegian Tax Fine
Transocean, the world's largest provider of offshore drilling services, has been hit with a $1.8 billion tax evasion charge by Norway. Tax advisers from privately held accounting firm Ernst & Young who were working with Transocean in Norway have also been indicted in relation to the evasion charge. Continue reading
Transocean Blames BP For Gulf Spill
Transocean, the owner of the Deepwater Horizon rig, which exploded in April 2010, killing 11 workers, creating the largest oil spill in U.S. history, laid the blame for the tragedy squarely at the doorstep of BP, the British oil giant that was the rig's operator. Continue reading
PetroChina, Encana Scuttle Shale Venture
PetroChina, China's largest oil company, and Canada's Encana have scrapped plans for a $5.4 billion shale-gas venture, the largest North American joint venture of its kind, after the two companies failed to reach an agreement on the deal should be structured. Continue reading
Total Sells Stake In Colombian Pipeline
France's Total, Europe's third-largest oil company, said it will sell a 5% interest in Colombia's Oleoducto Central SA (Ocensa) oil pipeline to Colombia's Petrominerales for $281 million. The pipeline has capacity of 560,000 barrels per day, or about 60% of the South American country's daily output. Continue reading
Exxon, Gazprom Could Seal Gas Deal This Year
OAO Gazprom, Russia's state-controlled natural gas producer, could reach an agreement with Exxon Mobil, the largest U.S. oil company, to buy all natural gas from the Sakhalin-1 project operated by the Texas-based company, the Wall Street Journal reported. Continue reading
Transocean Worker Won't Testify In Civil Suits
Jimmy Wayne Harrell, the top-ranking Transocean staffer aboard the Deepwater Horizon rig when the rig exploded in April 2010, killing 11 workers and creating the largest oil spill in U.S. history, will not testify in civil suits related to the spill, according to updated court filings. Continue reading
BP Economist Says OPEC Needs To Raise Output
BP, Europe's second-largest oil company, said OPEC, which is responsible for about 40% of the world's oil supply, will need to increase supply by about 1 million barrels per day in an effort to balance supply and demand factors in global oil markets. Continue reading
SEC Chides Conoco, Occidental Over Libya Ties
The Securities and Exchange Commission (SEC) has delivered inquiries to U.S. oil giants ConocoPhillips and Occidental Petroluem regarding the companies' operations in Libya. The companies are the third- and fourth-largest U.S. oil companies, respectively. News of the inquiries was originally reported by the Wall Street Journal earlier this evening. Continue reading
Statoil Sees Output Of 2.5M BPD In 2020
Statoil, Norway's largest oil company, is forecasting output growth of about 3% per year over the next decade, saying production will exceed 2.5 million barrels per day in 2020 as the company taps new projects away from its home domicile in locations such as Angola and Brazil. Continue reading
BP, Weathford Reach Spill Agreement
BP, the primary operator of the Deepwater Horizon rig, which exploded last April, killing 11 workers and creating the largest oil spill in U.S. history, said that it has reached an agreement with oil services provider Weatherford International whereby Weatherford will pay the British oil giant $75 million to settle any claims the companies have against each other related to the Gulf spill. Continue reading
Nabors Warns On Q2 Operating Income
Nabors Industries, the Bermuda-based oil services provider, said its second-quarter results will be lower-than-expected, citing weak demand for its pressure pump services and weakness in its U.S. offshore and international businesses. The stock fell almost 2% on nearly double the average daily volume on the news. Continue reading
Judge Rules In Favor Of BP, Transocean
U.S. District Judge Carl Barbier last week dismissed third-party environmental claims against BP and Transocean, saying that since oil has stopped flowing from the ruptured Macondo well into the Gulf of Mexico, the suits are now irrelevant. Barbier is the judge overseeing massive rounds of litigation related to the largest oil spill in U.S. history. Continue reading
Petrobras Board Rejects Business Plan
The board of Petrobras, Brazil's state-controlled oil company, has confirmed that its board has requested revisions to its 2011-2015 investment plan. Board members were reportedly irked by the fact that the company presented a plan that was larger than the $224 billion in spending that was featured in the company's 2010-2014 budget. Continue reading
BP Planning Big Oman Investments
BP, Europe's second-largest oil company, is planning to invest an estimated $15 billion in developing projects such as the Khazzan and Makarem fields in north central Oman, according to the Oman Daily Observer. The paper said BP's investments could boost Oman's natural gas production by a third. Continue reading
BP To Decide On Winner For Wytch Farm This Week
BP, Europe's second-largest oil company, is expected to decide on a winning bid for its Wytch Farm U.K. asset this week after the company reportedly received a competing bid from Premier Oil. France's Perenco originally bid for the asset in May, which BP is selling as part of its $30 billion asset sales program. Continue reading
Chevron Plans Big Kazakh Push
Chevron, the second-largest U.S. oil company, said its Kazakh oil venture, Tengizchevroil, plans to invest $20 billion through 2016 to increase oil production by as much as 40%. Tengizchevroil is already Kazakhstan's largest oil producer, having pumped 25.9 million tons of crude last year. Continue reading
OPEC To Cut Shipments By Month End
The Organization of Petroleum Exporting Countries (OPEC), the 12-country cartel, responsible for about 40% of the world's oil supply, will reduce shipments by the end of this month because demand for gasoline is close to passing its summer driving season peak. The production cut from OPEC is the first in nearly two months. Continue reading
Energy Transfer To Acquire Southern Union For $4.2B
Energy Transfer Equity, the Texas-based pipeline master limited partnership, said it will acquire Southern Union for $4.2 billion, creating one of the largest U.S. natural gas pipeline operator. Energy Transfer will also assume $3.7 billion in Southern Union debt. Continue reading
Two Transocean Rigs Leaving Gulf
Transocean, the world's largest provider of offshore drilling services, said today that two of its rigs will leave the Gulf of Mexico for work off the coast of Africa. The announcement from Transocean comes just days after rival Diamond Offshore (DO) announced one of its rigs would leave the Gulf for Vietnam. Continue reading
Total Still Sees 2% Production Growth This Year
France's Total, Europe's third-largest oil company, said it remains comfortable with its goal of increasing oil and natural gas production by 2% despite lost production at the hands of political uprisings in the Middle East and North Africa, particularly Libya where the company was forced to halt production. Continue reading
Petrobras May Increase E&P Spending
Petrobras, Brazil's state-controlled oil company, may boost exploration and production investments in its 2011-2015 business plan, Reuters reported, citing two sources close to the company. The plan is expected to be the same size as the 2010-2014 plan. Continue reading
Chevron's Wheatstone Project Clears Hurdle
Chevron, the second-largest U.S. oil company, moved another step closer to securing final environmental approval for its massive $25 billion Wheatstone liquefied natural gas project in Australia after Western Australia's Environmental Protection Agency endorsed conditional approval. Continue reading
Chevron To Look For Bulgarian Shale Gas
Chevron, the second-largest U.S. oil company, has won a permit to explore for shale gas in the northeastern part of Bulgaria, a five-year project worth $72 million that will see Chevron invest $5.8 million on meeting environmental standards in the area. Last month, Chevron won a tender to explore Bulgarian shale deposits. Continue reading
Diamond Offshore Rig To Depart Gulf For Vietnam
The Ocean Monarch, a deep-water rig owned by oil services firm Diamond Offshore, will leave the Gulf of Mexico to commence work for BP, Europe's second-largest oil company, in Vietnam in November. When the departure occurs, Texas-based Diamond Offshore (DO) will have just one deep-water rig remaining in the Gulf. Continue reading
Goldman Says Oil's Correction A Buying Opportunity
Goldman Sachs said the recent pullback in crude oil futures represents a buying opportunity for investors. The venerable Wall Street bank made that assertion in a note to clients that was published today. Goldman said it expects NYMEX-traded crude to trade up to $115 a barrel in six months. Continue reading
API Says Permit Approvals Remain Slow
The American Petroleum Institute (API), the largest U.S. energy trade group, said federal regulators remain slow in approving permits for new deep-water exploration projects in the Gulf of Mexico and urged the Obama Administration to step up the pace of permit approvals. Continue reading
Occidental Ecuador Suit Looms
It seems Chevron is not the only U.S. major involved in legal wranglings with Ecuador, the smallest OPEC member by production. A case brought by Occidental Petroleum, the fourth-largest U.S. oil company, against Ecuador is scheduled to be heard in Washington on June 30. Continue reading
Anadarko To Build Major Mozambique Gas Facility
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, is looking to build a natural gas facility in Mozambique with the goal of producing at least 1 billion cubic feet per day of the fuel, according to press reports in the African nation. Continue reading
Chevron Plugs Shetland Islands Well
Chevron, the second-largest U.S. oil company, plugged a well in the Shetland Islands off the coast of the U.K. today after the well failed to show a a reservoir of oil and natural gas. The announcement was made by Chevron's partner on the project, Faroe Petroleum Plc. Continue reading
Exxon Sells 322 Retail Stores To Canadian Firm
Exxon Mobil, the largest U.S. oil company, announced it will sell 322 retail locations in the western part of the U.S. to Canada's Alimentation Couche-Tard as part of its previously announced plan to divest some downstream assets. Financial terms of the transaction were not disclosed. Continue reading
Shell Declares Force Majeure In Nigeria
Royal Dutch Shell, Europe's largest oil company, declared force majeure on its June and July output of Nigerian Bonny Light crude due to pipeline fires and leaks at the hands of attacks by militant rebels in the country's oil-rich Niger Delta region, an issue Shell has had to contend with multiple times over the past year. Continue reading
Mongolia Close to Selecting Tavan Tolgoi Operator
Mongolia, the resource-rich Asian nation that shares a border with China, is close to selecting an operator for the Tavan Tolgoi coal project with the government expected to finalize talks with bidders and select a winning bid by the end of this month, though that time frame could be stretched a bit. Continue reading
Peabody Energy Asset Sale Faces Delays
Peabody Energy, the largest U.S. coal producer, may face some delays in its plans to sell a 15% stake in an Australian mining project to Coal India for more than $600. Both companies are mulling the formation of a joint venture company (JV) to implement the project at the Wilkie Creek coal mine, in Queensland, Australia, according to the Economic Times. Continue reading
Chevron Leaves Rosneft Black Sea Project
Chevron, the second-largest U.S. oil company, is planning to leave a $1 billion project with OAO Rosneft, Russia's largest oil company, in the Black Sea, adding to Rosneft's recent woes with Western oil companies. Last month, the Russian oil giant's share exchange with BP, Europe's second-largest oil company, collapsed. Continue reading
Chevron Leaving Puerto Rico
Chevron, the second-largest U.S. oil company, said it will exit the Puerto Rico market by selling nearly 200 Texaco gas stations on the U.S. island. The Texaco brand has been in the U.S. Caribbean territory since 1911, and it currently has 75 employees, according to the Associated Press. Continue reading
Anadarko Moves Toward Utah Gas Drilling
Anadarko Petroleum's plans to drill nearly 3,700 new wells in Utah's Greater Natural Buttes area cleared at least one regulatory today when the company reached an air-quality agreement with the U.S. Interior Department. The project was originally proposed five years ago, but air quality issues have stood in the way. Continue reading
Petrobras Announces Espirito Santo Find
Petrobras, Brazil's state-controlled oil producer, said its offshore Brigadeiro well found evidence of petroleum in Brazil's Espirito Santo Basin. The find is located at a depth of 4,200 meters, 115 kilometers offshore from Espirito Santo state in the ES-M-525 bloc of the BM-ES-23 oil area concession, according to the Wall Street Journal. Continue reading
Dudley Says Rosneft Deal Is Dead
In some ways confirming the obvious, BP CEO Bob Dudley said his company's efforts to engage in an Arctic exploration alliance with OAO Rosneft, Russia's largest oil company, are dead and that his company is moving on and looking at other opportunities across the globe. Continue reading
Exxon Makes $1.69B In Nat Gas Deals
Exxon Mobil, already the largest U.S. natural gas producer, acquired two Pennsylvania-natural gas producer for $1.69 billion to boost shale reserves in Pennsylvania and the surrounding region. Exxon completed the purchases of Phillips Resources Inc., based in Warrendale, Pennsylvania, and TWP Inc. of Butler, Pennsylvania last week Bloomberg News. Continue reading
Whiting Petroleum Pares 2011 Output Forecast
Whiting Petroleum, the Colorado-based independent oil and natural gas producer, lowered its production forecasts for the second quarter and the full year due to power outages and pipeline maintenance. Continue reading
Transocean Says Coast Guard Spill Report Flawed
Transocean, the world's largest provider of offshore drilling services, is no fan of a Coast Guard report that condemns the company's safety culture, saying the report, which is slated to be released in late July, should be corrected. The Switzerland-based company issued a 112-page response to the report today. Continue reading
Exxon Shopping Kashagan Stake
Exxon Mobil, the largest U.S. oil company, is reportedly in talks with Oil & Natural Gas Corp., India's largest energy company, and GAIL India regarding the sale of Exxon's interest in Kazakhstan's troubled Kashagan field, Bloomberg News reported, citing two sources familiar with the matter. Continue reading
Nigeria, Exxon Continue Talks
Nigeria, the OPEC member and one of Africa's top two oil producers, is continuing discussions with Exxon Mobil, the largest U.S. oil company, regarding licenses for blocks 67, 68 and 70 and the country's government said Exxon's licenses for those blocks have not been revoked. Continue reading
Exxon Announces Major Gulf Discovery
Exxon Mobil, the largest U.S. oil company, announced a major discovery in the Gulf of Mexico today, the size of which could result in up to 700 million barrels of recoverable oil and natural gas equivalent. A discovery of that magnitude would be one of the largest in the Gulf in recent years. Continue reading
OGX Aims To Produce 730,00 BPD By 2015
OGX Petroleo e Gas Participacoes, the Brazilian oil company controlled by billionaire Eike Batista, said it is moving forward with its exploration and production plans that include first production by October with the goal of producing as much as 730,000 barrels per day by the end of 2015. Continue reading
Saudi Arabia Planning Output Increase
Saudi Arabia, the largest oil producer in the OPEC cartel, said it plans to boost output by 500,000 barrels per day this month to 9.5 million barrels per day in an effort to rein in high oil prices. Saudi will proceed with its plans whether or not OPEC officially decides to increase supply. Continue reading
Apache May Wrap Kitmat Talks This Year
Apache, the largest U.S. independent oil and natural gas producer, may conclude talks on the sale of 85% of liquefied natural gas from the Kitimat project in Canada this year, Bloomberg News reported, citing a company official. The facility is expected to have a capacity of 5 million metric tons and the company could gain final approval as early as 2012. Continue reading
BP Says No Plans To Unload TNK-BP Stake
BP, Europe's second-largest oil company, today denied rumors that it was mulling a sale of its half of TNK-BP, the company's joint Russian venture with billionaire investors. New of BP's alleged intent to sell its stake in TNK-BP to OAO Rosneft, Russia's largest oil company, broke Monday evening. Continue reading
WikiLeaks Says U.K. Running Out Of Oil
Whistle blower Web site WikiLeaks site has revealed U.S. diplomatic cables that show the U.K. could be forced to depend on other countries for two-thirds of its oil and natural gas needs due to dramatic production declines in the North Sea. The cables indicate the U.K. with Norway about oil purchases. Continue reading
Halliburton, Transocean Want Spill Claims Dismissed
In a move similar to one recently employed by BP, Halliburton and Transocean are seeking to have claims for economic damages by two Gulf Coast states dismissed, claiming the Gulf of Mexico oil spill, the largest oil spill in U.S. history, is a matter of federal, not state law. Continue reading
BP Preparing To Sell TNK-BP Stake To Rosneft
BP, Europe's second-largest oil company, is reportedly preparing to sell its 50% stake in TNK-BP, its joint Russian venture with oligarch investors, to OAO Rosneft, Russia's largest oil company. High-ranking BP executives notified TNK-BP today that the British oil giant would soon send them a letter announcing its intent to sell its interest in the venture, the Wall Street Journal reported, citing sources familiar with the matter. Continue reading
Eagle Ford Production Could Reach 750,000-800,000 BPD
Enterprise Products, the largest U.S. master limited partnership, is bullish in its outlook for the Eagle Ford Shale in South Texas, saying the shale play that is believed to hold much more oil than natural gas, could see production rise to 750,000 to 800,000 barrels per day. Continue reading
TransCanada Restarts Keystone Pipeline
A day after receiving approval from U.S. regulators, TransCanada restarted its Keystone pipeline, a week after the pipeline was closed due to a leak at a pumping station in Kansas. While the company declined to give a specific time line on when shipments would resume, it said new shipments could be ''imminent.'' Continue reading
Ecuador Threatens Amazon Drilling
Ecuador, the smallest producer among OPEC members, is threatening to drill in an area of the Amazon it previously said was off limits to oil exploration if developed nations do not contribute $100 million to Latin American country's coffers by December. President Rafael Correa made the proclamation on Saturday. Continue reading
Petrobras, Ecopetrol Look To Boost Peru Investments
Petrobras and Ecopetrol, the state-controlled Brazilian and Colombian oil producers, are looking to ramp-up their investments in Peru. According to the U.S. Energy Information Administration, Peru is South America's sixth-largest oil producer behind Venezuela, Brazil, Colombia, Argentina and Ecuador. Venezuela and Ecuador are both OPEC members. Continue reading
Petrobras Increases 10-Year Output Target
Petrobras, Brazil's state-run oil producer, raised its 10-year oil production target to 6 million barrels per day, well above the 5.4 million barrels per day the company was hoping to produce by 2020. The company currently pumps an average of 2.6 million barrels per day. Continue reading
Russian Oil Output Jumps In May
Russia, the world's largest oil producer, said its oil output rose 1.2% last month to 10.26 million barrels a day compared with 10.23 million barrels per day in April. The May number is the highest for Russia since October 2010. Continue reading
Chevron Boosts Gulf Operations
Chevron, the second-largest U.S. oil company, is ramping up its Gulf of Mexico operations to take advantage of higher oil prices. The company is targeting a production increase of 1% this year to 2.79 million barrels of oil equivalent per day with an eye toward daily production of 3.3 million barrels per day by 2017, according to the Wall Street Journal. Continue reading
Shell Calls Alaska Delays ''Highly Unusual''
Royal Dutch Shell, Europe's largest oil company, called delays to its plans to drill in Beaufort and Chukchi Seas in Alaska's Arctic region ''highly unusual'' and noted government efforts to block the company from moving forward undermine confidence in the federal offshore program, Bloomberg News reported. Continue reading
Petrobras To Increase Marlim Sul Output
Petrobras, Brazil's state-run oil producer, said it will increase oil output at the offshore Marlim Sul field by 25% by the end of 2011 after adding a new drilling platform. The P-56 platform, with a capacity of 100,000 barrels per day, will be in production by August, Reuters reported. Continue reading
Anadarko Liable For Spill, Feds Say
Anadarko Petroleum, the independent oil and natural gas producer that held a 25% non-operating interest in the ill-fated Macondo well project, is liable under law for damages related to the 2010 Gulf of Mexico oil spill, the largest spill in U.S. history. The Justice Department made the claim that the company is liable under U.S. oil pollution laws. Continue reading
Alpha Natural Wraps Up Massey Purchase
Amid plenty of controversy and attempts by shareholders in the acquired company to block the deal, Alpha Natural Resources wrapped up its $7.1 billion purchase of rival Massey Energy, the largest coal miner in Central Appalachia, today. The combined company will retain the Alpha Natural name. Continue reading
Noble Energy Makes Gulf Oil Find
Noble Energy said it made a deepwater oil discovery in the Gulf of Mexico. The Santiago well project was the first deepwater Gulf project to be approved by federal regulators after the moratorium on deepwater drilling was imposed last year due to the Gulf spill, the worst oil spill in U.S. history. Continue reading
Marathon Pays $3.5B For Eagle Ford Shale Assets
Marathon Oil said it will pay $3.5 billion to acquire oil assets in the Eagle Ford Shale in South Texas that are partially owned by private-equity firm Kohlberg Kravis Roberts. KKR's share of the transaction will be valued at about $1.13 billion and Hilcorp Energy Corp. will receive the remaining proceeds, according to the Wall Street Journal. Continue reading
Apache Exits Shale Gas Joint Venture
Apache, the largest U.S. independent oil and natural gas producer, said its Canadian unit has left a shale gas joint venture with Corridor Resources after saying last December that only a small amount of gas was found at the project's site in the Frederick Brook shale in the Canadian province of New Brunswick. Continue reading
Court Rejects Massey Investors' Bid To Block Takeover
The West Virginia Supreme Court of Appeals today rejected a bid by Massey Energy investors to block the $7.1 billion takeover of the largest coal miner in Central Appalachia by rival Alpha Natural Resources. Massey shareholders are schedule to vote on the deal, which was announced in January, on Wednesday. Continue reading
Vale Looks To Become Rare Earths Player
Brazil's Vale, the world's largest iron ore producer, is looking to become a major producer of rare earths resources in an effort to help its home country lower its dependence on Chinese imports of the 17 elements used to make electric cars, military products and smartphones. Continue reading
Chevron To Explore For Shale Gas In Bulgaria
Chevron, the second-largest U.S. oil company, won rights to explore for shale gas in Northeastern Bulgaria. As part of the agreement, Chevron will pay the Bulgarian government $43 million, Bloomberg News reported, citing the country's Energy & Economy Ministry. Continue reading
Massey Investors Look To Block Sale To Alpha Natural
A group of Massey Energy investors are looking to block the largest coal miner in Central Appalachia from selling itself to rival Alpha Natural Resources just days before Massey shareholders are expected to approve the deal. A group of Massey investors have asked the West Virginia Supreme Court of Appeals to block the $7.1 billion sale to Alpha Natural, according to the Wall Street Journal. Continue reading
BP Spill Fund Has Paid Out $4B
The $20 billion fund BP set up last year following the Gulf of Mexico oil spill is drawing close to winding down after doling out $4 billion to residents and businesses along the Gulf Coast region that were adversely impacted by the largest oil spill in U.S. history. Continue reading
TNK-BP May Be Interested In Conoco's Vietnam Assets
TNK-BP, BP's Russian joint venture with oligarch investors, is reportedly interested in acquire the Vietnam assets of ConocoPhillips, the third-largest U.S. oil company. Those assets could be valued at as much as $1.5 billion, according to the London daily The Independent. Continue reading
Putin Says Shell Could Partner With Rosneft
Russian Prime Minister Vladimir Putin said OAO Rosneft, his country's largest oil company, could partner with Royal Dutch Shell, Europe's largest oil company, in an offshore partnership that would be similar in structure to Rosneft's pact with Shell rival BP that fell through earlier this month. Continue reading
BP, Cnooc May Partner In South China Sea
Cnooc, China's largest producer of oil at offshore locations, said that BP, Europe's second-largest oil company, may be interested in partnering with the Chinese firm to develop deepwater exploration blocks in the South China Sea. Cnooc said last week it was offering 19 offshore blocks for foreign cooperation, Reuters reported. Continue reading
Total Buys 25% In Cnooc's Qatat License
France's Total, Europe's third-largest oil company, bought a 25% interest in a license to explore for energy resources in Qatar from Cnooc, China's largest offshore oil explorer. Cnooc will retain a 75% stake in the project and remain the primary operator of Block BC. Financial terms of the deal were not disclosed. Continue reading
Shell Plans Another Phase At Brazilian Block
Royal Dutch Shell, Europe's largest oil company, announced at Latin Oil Week that it is planning a second phase for its BC-10 offshore block off the coast of Brazil, a move aimed at boosting the company's Brazilian output. The Anglo-Dutch oil giant is looking to increase its output at the block by 2013. Continue reading
Ecopetrol Looks To Asia To Boost Profits
Ecopetrol, Colombia's state-run oil producer, said it is planning to ship more oil to Asia in the coming years as rising demand from emerging markets could make Asia a more profitable destination for the company's crude than the U.S. The company may not be shipping a majority of its oil to the U.S. within in the next decade, Bloomberg News reported. Continue reading
ANP Slashes Libra Field Estimate
Brazil's national oil regulator, ANP, significantly reduced its estimate for the Libra pre-salt field following a drilling program at the field. ANP now estimates Libra holds 5 billion barrels of reserves and said the number could be as low as 4.5 billion barrels or as high as 6 billion barrels. Continue reading
BP Seeks Dismissal Of Spill Claims
BP, Europe's second-largest oil company has asked U.S. District Judge Carl Barbier to dismiss thousands of claims related to the Gulf of Mexico oil spill filed by individuals and business owners in the Gulf Coast region. Barbier did not immediately rule after hearing the motions today. Continue reading
Petrobras May Issue More Debt
Less than a year removed from a $70 billion share sale that was the largest equity offering ever, Petrobras, Brazil's state-run oil producer, may need to sell debt this year. The comments were made by Petrobras CEO Sergio Gabrielli in an interview with Bloomberg News. Continue reading
Anadarko Sees Jubilee Output At Peak This Summer
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, said Ghana's Jubilee field remains on track to reach peak production of 120,000 barrels per day this summer. Along with U.K.-based Tullow Oil, Anadarko is a major stakeholder in Jubilee. Continue reading
Transocean In Spill Talks With BP
Transocean, the owner of the Deepwater Horizon, said it has held talks with BP, the rig's primary operator, at the ''CEO level'' for the last year's Gulf of Mexico oil spill, the largest oil spill in U.S. history. The explosion of the Deepwater Horizon in April 2010 led to 11 deaths. Continue reading
Shell In Talks With Rosneft
Royal Dutch Shell CEO Peter Voser was in Moscow Tuesday night for talks with Russian deputy prime minister Igor Sechin, fueling speculation that Europe's largest oil company is moving closer to replacing bitter rival BP as OAO Rosneft's partner in an Arctic exploration alliance. Continue reading
Kazakh Project In Serious Jeopardy
Just days after Kazakhstan's prime minister Karim Massimov warned that disputes threatened the Kashagan oil project, Royal Dutch Shell, Europe's largest oil company and a major stakeholder in Kashagan, said it is closing its Caspian office devoted to the project, a move that could represent a significant blow to Kashagan's near-term fortunes. Continue reading
Anadarko Close To Drilling New Zealand Wells
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, is close to floating a series of test wells off the coast of New Zealand as part of a planned project with partner Origin Energy to gain access to oil reserves in the Otago Coast. Continue reading
El Paso To Spin-Off E&P Business
Shares of energy company El Paso jumped 6.53% on volume that was nearly five times the daily average after the company announced plans to spin-off its exploration and production business into a separate, publicly traded entity by the end of this year. The company said its shareholders would get a pro rata share through the spinoff Continue reading
Chinese Oil Demand Expected To Keep Rising
China, the world's second-largest oil consumer behind the U.S., is expected to keep increasing its consumption of the commodity with demand expected to grow 4%-5% annually and rise to 530 million to 560 million metric tons by 2015. On a per day basis, that works out to be 10.6 million to 11.3 million barrels, according to Platts. Continue reading
Little Hope Remains For BP/Rosneft Deal
Russian Energy Minister Sergei Shmatko expressed doubt that BP, Europe's second-largest oil company, and OAO Rosneft, Russia's largest oil company, will be able to find a way to bring their proposed $16 billion share exchange back to life after a deadline to extend talks on the deal passed earlier this month. Continue reading
BHP Billiton Pulls Out Of Zambia Project
BHP Billiton, the world's largest mining company, has decided to withdraw from the Mumbwa mining project in Zambia, dealing a blow to the country's hopes of attracting more of the world's elite mining companies to make investments in the African nation. The company said earlier this year it was mulling a departure from the project. Continue reading
Shell Chided By Norway For Leak Risk
A maintenance error by Royal Dutch Shell on a well operating in Norway's Draugen field last December had ''major accident potential'' and could have caused a significant oil leak, according to Norway's Petroleum Safety Authority. An operation to replace a subsurface gas valve went wrong, the device became stuck inside and blocked the operation of another piece of machinery called a Christmas Tree, which sits atop the wellhead, the Wall Street Journal reported, citing the PSA. Continue reading
Petrobras Commences Franco Drilling
Petrobras, Brazil's state-run oil company, commenced drilling at the Franco oilfield, one of the fields the company paid Brazil's government $42.5 billion to gain access to. Franco may hold 3.1 billion barrels of crude, Bloomberg News reported, citing Brazil's oil regulator Continue reading
Venezuela's April Oil Exports Plunge
OPEC member Venezuela said its exports of crude oil slumped 7.5% in April to 2.22 million barrels per day from 2.4 million barrels per day in March. The country's Energy Ministry released the data today and did not include production figures in the data. Continue reading
Kazakhstan Warns On Oilfield Delays
Kazakhstan's prime minister, Karim Massimov, has warned that a dispute between KazMunaigas, his country's state-controlled oil producer, and foreign oil producers looking to produce at the Kashagan oilfield could hamper the country's plans to boost oil output and become a major player on the global energy stage. Continue reading
Regulators Say Chukchi Sea Leases Are OK
A new study from the U.S. Bureau of Ocean Energy Management, Regulation and Enforcement, the federal agency that oversees offshore drilling in U.S. waters, said leases sold in Alaska's Chukchi Sea are valid and that drilling can commence in the region in an environmentally responsible fashion. The leases were originally sold in 2008. Continue reading
CLSA Bullish On Select Oil Services Stocks
Following a recent pullback in oil services names, several of the sector's biggest constituents are looking attractive, according to CLSA analyst Mark Urness. Large cap oil service names are down 8% since the end of the first quarter, versus a 1% rise for the S&P 500, Barron's reported. Continue reading
BP Reaches $1.1B Settlement With Moex
BP, Europe's second-largest oil company, will get some help for costs related to the cleanup of the Gulf of Mexico oil spill after Moex Offshore, the unit of Mitsui, the company that owned a 10% non-operating interest in the Macondo well project, agreed to pay BP $1.1 billion for its share of the cleanup tab. Continue reading
Diamond Offshore Sees Solid Demand Outside U.S.
Diamond Offshore CEO Larry Dickerson said his company is seeing robust demand offshore for its oil rigs outside of the U.S., indicating in an interview with CNBC today demand is strong in China, India and other industrialized nations. Dickerson added that the return of increased drilling in the Gulf of Mexico will be on an incremental basis. Continue reading
BofA Upgrades BP
Bank of America/Merrill Lynch analyst Alejandro Demichelis boosted his rating on BP to ''buy,'' saying Europe's second-largest oil company is undervalued on a net asset value basis and that the stock may have upside potential of 31%. BP's U.S.-listed shares gained 1.43% today. Continue reading
Hayward Planning Oil Fund IPO
Former BP CEO Tony Hayward is planning to raise as much as $1.6 billion in an initial public offering of an energy investment fund, Bloomberg News reported, citing three sources with knowledge of the matter. One the sources said the outfit Hayward is linked to is expected to list on the London Stock Exchange in the next three months. Continue reading
Massey Slammed By Investigators
Massey Energy, the largest coal miner in Central Appalachia, was found to be at fault for the April 2010 blast at its Upper Big Branch mine in West Virgina by a state investigator. The blast killed 29 workers and was the worst accident at a U.S. coal mine in nearly four decades. Continue reading
Chevron Pursuing Shale Gas In Poland
Chevron, the second-largest U.S. oil company, will work with Poland to help the Eastern European nation bolster its shale gas reserves as the country continues to look for ways to reduce its dependence on Russian fuel sources. Chevron is expected to drill multiple wells in Poland over the next year. Continue reading
Medvedev Not Pleased Over BP/Roseneft Deal Failure
Russian President Dmitry Medvedev is not pleased the proposed $16 billion share exchange between BP and OAO Rosneft, Russia's largest oil company, fell apart and he is not holding back on spreading the blame for the failed deal, going so far as to take a shot a powerful aide to Prime Minister Vladimir Putin. Continue reading
Transocean Investors Support Spill Liability For Execs
Transocean shareholders rejected a proposal to release the company's management team from liability tied to the Gulf of Mexico oil spill. Fifty-five percent of shareholders voted against the proposal while 44% voted in favor of it with 1% declining to vote. Continue reading
PetroChina Looks To International Markets
PetroChina, China's largest oil company, said it expects international markets to account for half of the company's oil output by 2015. The company has been turning its attention to international fields over the past several years amid rising Chinese demand for oil and dwindling domestic production. Continue reading
Ecopetrol Announces Another New Find
Ecopetrol, Colombia's state-run oil company, said its Mito-1 exploratory well in the Meta province of the South American country has found evidence of oil and produced an average of 200 barrels per day in a testing period. The Meta province represents about 40% of the company's crude production, the company said in a statement. Continue reading
Chevron In Talks With Rosneft
Chevron, the second-largest U.S. oil company, confirmed it is discussing opportunities in Russia with OAO Rosneft, that country's largest oil company, after the deadline to extend talks on a proposed $16 billion share exchange between BP and Rosneft passed. Continue reading
Conoco Looks To Start Aussie Drilling Next Quarter
ConocoPhillips, the third-largest U.S. oil company, and partner Karoon Gas Australia are hoping to commence drilling in Australia's Browse Basin in the third quarter to examine a potential natural gas discovery. Conoco seeks government approval to drill as many as eight wells and expects the exploration campaign to last about two years, Bloomberg News reported. Continue reading
BP, Conoco Ditch $35B Alaska Pipeline Project
BP and ConocoPhillips scuttled plans for a $35 billion Alaska natural-gas pipeline due to tepid customer interest. The pipeline was once proposed to be the largest private construction project in U.S. history, according to Bloomberg News. The companies will withdraw an application for the project that would have brought natural gas from Alaska's North Slope to Canada and the continental U.S. Continue reading
Occidental Reaches Colombia Labor Accord
Occidental Petroleum, the fourth-largest U.S. oil company, has reached an agreement with workers in Colombia that will help dodge a possible strike that would have crimped production at the Cano Limon oil field, which accounts for just over 10% of the country's daily output. Continue reading
Berkshire Hathaway Trims ConocoPhillips Stake
Warren Buffett's Berkshire Hathaway announced that it slightly trimmed its stake in ConocoPhillips in the first quarter, reducing its investment in third-largest U.S. oil company to 29.1 million shares. That is 8,000 shares less than what Berkshire owned at the end of last year. Continue reading
Nigeria Presses Exxon On Leases
Nigeria, the OPEC member that vies with Angola for the top spot among Africa's oil producing countries, said today that Exxon Mobil, the largest U.S. oil company, has until Thursday to make a decision on three oil-drilling leases in the Niger Delta. Exxon maintains it has already been granted licenses for the exploration blocks. Continue reading
BP Deadline Here With No Deal For TNK-BP
The deadline for BP, Europe's second-largest oil company, and OAO Rosneft, Russia's largest oil producer, to complete their $16 billion share swap has arrived with no news regarding BP's efforts to acquire TNK-BP, its joint Russian venture with oligarch investors. Press reports said a deal could be announced on Monday, but no such announcement has been made. Continue reading
BP In Talks To Buy TNK-BP
BP, Europe's second-largest oil company, is reportedly again in talks to acquire TNK-BP, its joint venture with Russian oligarch investors, as the deadline looms for the British company to either move forward with or extend the deadline for its proposed $16 billion share exchange with OAO Rosneft, Russia's largest oil company. Continue reading
BP Facing Another Rosneft Deadline
BP, Europe's second-largest oil company, is once again bumping up against a deadline to finalize its $16 billion share exchange with OAO Rosneft, Russia's largest oil company. The two companies face a deadline of midnight Monday to either finalize the agreement or extend the deadline a second time. The deadline was extended last month to May 16. Continue reading
Tillerson Says Oil Should Be $60-$70 A Barrel
Exxon Mobil CEO Rex Tillerson said using only supply and demand as a barometer, oil prices should be $60 to $70 a barrel, not trading above $100. Tillerson said the reason oil trades around its current levels is because big oil companies use futures contracts to lock in current prices. Continue reading
Obama Pushes For More Drilling
Amid rising gas prices and political pressure, President Barack Obama is looking to expand offshore drilling in Alaska and the Gulf of Mexico in an effort to expand U.S. oil production. In his weekly radio address, the President outlined some plans to boost domestic oil output. Continue reading
Petrobras Q1 Profit Rises To Record
Petrobras, Brazil's state-run oil company, said its first-quarter profit jumped 42% to $6.72 billion as increased production and higher global oil prices helped boost the company's bottom line. It was the second consecutive quarter the company reported a record profit. Continue reading
Fund Managers Still Like Energy Stocks
At the SkyBridge Alternatives Conference in Las Vegas this week, several noted hedge fund managers voiced bullish opinions on energy stocks with the sector being one of the most talked about at the conference following a recent sell-off in commodities-related stocks. Continue reading
Chevron Gets Buckskin Approval
Chevron, the second-largest U.S. oil company, said U.S. regulators gave the company the go-ahead to resume drilling the Buckskin project in the Gulf of Mexico, a project that was halted after the Gulf oil spill in April 2010. California-based Chevron said it plans to resume work on the project as soon as possible. Continue reading
Shell To Submit New Alaska Plan
Royal Dutch Shell, Europe's largest oil company, is expected to submit a new plan in its effort to drill up to 10 exploratory wells in the Beaufort and Chukchi seas in Alaska's Arctic region. Shell's proposal will call for up to three wells off the Northwestern coast of Alaska in 2012 and up to three more in 2013, Reuters reported, citing the company. Continue reading
Court Rejects TNK-BP Investor Motion Against BP
A Russian Court has ruled against a motion brought by a TNK-BP shareholder against BP, Europe's second-largest oil company, seeking access to documents in computers of the company, Dow Jones reported. TNK-BP is BP's joint Russian venture with oligarch investors. Continue reading
Petrobras Q1 Profit Likely Surged 30%
Helped by higher oil prices and increased production, first-quarter profit at Petrobras, Brazil's state-run oil producer, likely rose 30% compared with the first quarter of 2010. Analysts expect the company to show a profit of $6.2 billion when it reports the results on Friday. Continue reading
Shells Wins Gulf Approval, Optimistic On Alaska
Royal Dutch Shell, Europe's largest oil company, won approval from U.S. regulators to drill five exploratory wells at the Appomattox discovery in the Gulf of Mexico. The Shell proposal is the second deep-water exploration plan approved in the Gulf since the U.S. government lifted a moratorium on deep-water drilling in October, according to the Wall Street Journal. Continue reading
BP Looking To Buy More Brazil Assets
Fresh off finally gaining regulatory approval for its $3.2 billion purchase of Devon Energy's (DVN) Brazil assets, BP, Europe's second-largest oil company, is on the prowl for more purchases in the oil-rich South American country. Continue reading
U.S. Oil Firms Could Be Harmed By Tax Plan
Legislation being drafted in the Senate aimed at collecting more tax revenue from major oil companies could harm the three largest U.S. oil companies -- Exxon Mobil, Chevron and ConocoPhillips and put them at a competitive disadvantage in some countries against rivals Royal Dutch Shell and BP, the two largest European oil producers. Continue reading
BP Lands Approval For Azerbaijan Block
BP, Europe's second-largest oil company, said its production sharing agreement with with the State Oil Company of the Republic of Azerbaijan, that country's state-run energy producer, was approved by the country's parliament, clearing the way for work to begin on a deepwater gas field in the Caspian Sea. Continue reading
Chinese Firm Gets Clearance For BP's Pakistan Assets
United Energy Group, the Hong Kong-listed energy company run by Chinese billionaire Zhang Hongwei, received clearance over the weekend to move forward with its purchase of BP's Pakistan assets for $775 million. BP, Europe's second-largest oil company, previously said it was looking to sell the Pakistan assets as part of its plan to raise $30 billion via assets sales for costs related to the Gulf of Mexico oil spill. Continue reading
Kosmos IPO Slated For Wednesday
Private equity investors in Kosmos Energy, the Texas-based company which is a major partner in Ghana's Jubilee field, are looking to raise over $500 million in an IPO that could come to market as soon as Wednesday. Kosmos is owned by Blackstone Group (BX) and Warburg Pincus. Continue reading
Pemex IPO A Possibility
Petroleos Mexicanos, Mexico's state-run oil producer also known as Pemex, may consider selling shares to the public in an effort to raise cash and stem the tide of declining production. Mexican President Felipe Calderon plans to present legislation to Mexico's congress later this year that would set the stage for a share sale. Continue reading
Molycorp Narrows Q1 Loss, But Misses Estimates
Molycorp, the largest U.S.-based rare earths miner, reported a narrower first-quarter loss, but the shares of the high-flying stock were getting slammed by 6.5% in after-hours trading because the company missed Wall Street's adjusted profit and sales growth estimates. Continue reading
Barclays Sees Benefits For BP In New Arctic Arrangement
BP, Europe's second-largest oil company, will benefit from the arrangement to allow its joint Russian venture, TNK-BP, to take its spot in a lucrative Arctic drilling alliance with OAO Rosneft, Russia's largest oil producer, Barclays said as it raised its rating on BP to ''equal weight from ''underweight.'' Continue reading
Barclays Downgrades Occidental
Barclays pared its rating on Occidental Petroleum, the fourth-largest U.S. oil company, to ''equal weight,'' saying investors are overlooking the chance that the company may disappoint on production targets at its California silt and shale properties and the expenses involved in those projects. Continue reading
Judge In Chevron Case Won't Recuse Himself
U.S. District Judge Lewis Kaplan, the New York judge that temporarily blocked Ecuadorean plaintiffs seeking $18 billion in damages from Chevron, the second-largest U.S. oil company, will not recuse himself from the case despite the plaintiffs urging him to do so. Continue reading
YPF Expected To Announce Major Oil Find
Argentina's YPF, the South American country's largest oil and natural gas producer, is expected to announce a significant oil discovery in the Neuquen province and that announcement could come as soon as Tuesday, political officials said. Details are scant beyond that as YPF did not comment and officials did not say how big the discover is. Continue reading
Petrobras To Boost Ethanol Output
Petrobras, Brazil's state-run oil producer, will boost its ethanol output in an effort to stem rising fuel prices in Latin America's largest economy. Brazil's Energy Minister Edison Lobao said Petrobras could increase its ethanol production by 10% to 15% over the next four years. Continue reading
Iraq Refuses To Lower Production Target
Iraq is not backing off its ambitious goal of producing 12 million barrels of oil per day Deputy Prime Minister for energy Hussain al-Shahristani told Reuters on Sunday. The OPEC member was producing an average of 2.5 million to 2.6 million barrels per day last year when it set the goal of reaching 12 million barrels per day by 2017. Continue reading
Shell Sells Nigerian Stake For $600M
Royal Dutch Shell, Europe's largest oil company, sold a 45% stake in a Nigerian oilfield to the Polish/Nigerian group Kulczyk Oil for a reported price tag of $600 million. That figure was not officially disclosed by the companies, but multiple press reports cited sources close to the deal as saying that is how much Shell sold the stake for. Continue reading
JPMorgan Ups Oil Price Target
Following the biggest weekly decline experienced by oil futures since December 2008, JPMorgan Chase boosted its price targets on both Brent crude and West Texas Intermediate, saying that oil producers are not matching output with demand and that it will take drivers some time to react to higher gas prices. Continue reading
BP Finds A Way To Save Rosneft Pact
BP, Europe's second-largest oil company, has found a way to save its $16 billion share swap with OAO Rosneft, Russia's largest oil producer. BP will cede its role in the Arctic exploration alliance to TNK-BP, the British oil giant's joint venture with Russian billionaire investors, in a bid to clear the way for the share exchange to proceed. Continue reading
Molycorp On The Prowl For Acquisitions
Molycorp, the largest U.S.-based rare earths miner, remains on the hunt for acquisitions after making over $106 million worth of deals in April. CEO Mark Smith said in a CNBC interview that his company is ''looking at a number of opportunities'' for deals. Continue reading
Shell Updates Alaska Plans
Royal Dutch Shell, Europe's largest oil company, said if a spill were to occur in the Alaskan area of the Arctic Circle in which the company wants to drill 10 new exploration wells, it would release less than 9,500 barrels of oil per day into Alaska's coast. A figure of 9,468 barrels was included in a regulatory filing by Shell. Continue reading
Rosneft Buys Stake In BP's Germany Refining Unit
OAO Rosneft, Russia's largest oil producer, and BP, Europe's second-largest oil company, have found at least one way to work together. Still trying to salvage their $16 billion share swap aimed at forging a partnership to explore oil in the Russian area of the Arctic Circle, the two companies will partner in Germany after Rosneft acquired a stake in BP's refining venture there. Continue reading
Pickens, Rogers See Oil Rising
Despite plunging prices this week that have taken West Texas Intermediate Crude below $100 a barrel, legendary investors T. Boone Pickens and Jim Rogers both maintain their views that oil prices will continue rising over the long-term, citing increased demand and dwindling supply. Continue reading
Transocean Q1 Profit Slides, Updates On Gulf Spill
Transocean, the world's largest provider of offshore drilling services, said its first-quarter profit plunged 54% to $310 million, or 96 cents a share, from $677 million, or $2.09, a year earlier, good for the Swiss company's largest profit drop in nine years. Excluding one-time items, Transocean earned 24 cents a share, well below the 35 cents analysts were expecting. Continue reading
Chevron Increases Marcellus Exposure
Chevron, the second-largest U.S. oil company, is boosting its footprint in the Marcellus Shale by purchasing drilling and development rights for another 228,000 acres from closely held Chief Oil & Gas and Tug Hill Inc. Financial terms of the transaction were not disclosed. Continue reading
Murphy Oil Q1 Profit Jumps 81%
Murphy Oil said its first-quarter profit soared 81% to $268.9 million, or $1.38 a share, up from $148.9 million, or 77 cents a share, a year earlier, helped by improved refining margins. The results beat the glum forecast of 55-95 cents a share issued by Murphy earlier this year. Revenue climbed 42% to $7.35 billion. Continue reading
Hedging Losses Plague Devon Q1 Earnings
Devon Energy, the Oklahoma-based independent oil and natural gas producer, said its first-quarter profit slumped 65% to $416 million, or 97 cents a share, down from $1.19 billion, or $2.66 a share, a year earlier, as hedging losses erased gains in production. Excluding one-time items Devon earned $1.34 a share. Revenue fell 33% to $2.15 billion. Continue reading
Marathon Q1 Profit Up, But Misses Estimate
Marathon Oil said its first-quarter rose to $996 million, or $1.39 a share, compared from $457 million, or 64 cents a share, but that missed the $1.44 a share analysts were expecting. Revenue jumped 26% to $21.1 billion from $16.6, missing the $21.84 billion analysts had forecast. Continue reading
Alcoa/Rio Tinto Rumor Gets New Life
Dow component Alcoa, the largest U.S. aluminum producer, is once again rumored to be a takeover target for Rio Tinto, the world's third-largest mining company. This rumor has been in the press several times in the past, but no deal has ever come to fruition and analysts and investors doubt this time will be any different. Continue reading
Bolivia Plans Oil, Gas Concessions
Following declines in production after a move by President Evo Morales to nationalize Bolivia's oil and natural gas industries in 2006, the South American country is planning to award exploration contracts later this year in a bid stimulate foreign investment in the country's energy sector. Continue reading
Anadarko Could Settle Some Spill Claims
Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, said it may settle some claims related to the Gulf of Mexico oil spill, the largest oil spill in U.S. history, but the company maintained its stance that it is no liable for the accident. Continue reading
Shell Looks For Arctic Approvals
Royal Dutch Shell, Europe's largest oil company, is expected to present a proposal to federal regulators this week in an effort to move forward with plans to drill as many as 10 exploratory wells in the Beaufort and Chukchi Seas in the Alaskan area of the Arctic Circle. Continue reading
Arch To Acquire International Coal For $3.4B
Arch Coal, the second-largest U.S. coal producer, will pay $3.4 billion in cash to acquire rival International Coal, a producer of highly sought after metallurgical coal, in a deal that values the latter at $14.60 a share, a 32% premium to where the shares closed on Friday. Continue reading
Anadarko Q1 Profit Tops Estimates
Anadarko Petroleum, the second-largest U.S. independent oil and natural gas producer, said its first-quarter profit slid to $216 million, or 43 cents a share, from $716 million, or $1.43, a year earlier, but the company earned 72 cents a share on an adjusted basis, beating the 58 cents analysts were expecting. Continue reading
Chesapeake Posts Q1 Loss
Chesapeake Energy, the second-largest U.S. natural gas producer, posted a first-quarter loss compared with a year-earlier profit due to derivatives losses and slumping revenue. The Oklahoma-based company reported a loss of $162 million, or 32 cents a share, compared with a year-earlier profit of $738 million, or $1.14 a share. Continue reading
Buffett Still Reluctant To Invest In Oil
Berkshire Hathaway's Warren Buffett said at the company's widely-anticipated annual shareholders meeting this weekend that while he expects further declines for the U.S. dollar, he still is not enthusiastic about investing in oil either. Several years ago, Berkshire had a major short position in the dollar, but Buffett said his firm is unlikely to make a big currency bet. Continue reading
Saudi To Produce 9 Million BPD This Year
Saudi Arabia, the world's largest oil producer, will pump 9 million barrels of oil per day this year as the kingdom looks to meet rising demand and take advantage of surging oil prices. National Commercial Bank, Saudi's largest bank by assets, said the average price for Saudi crude is expected to reach $95 per barrel, according to Bloomberg News. Continue reading
Chevron Q1 Profit Jumps 36%
Chevron, the second-largest U.S. oil company, said its first-quarter profit increased 36% to $6.21 billion, or $3.09 a share, up from $4.55 billion, or $2.27 a share, a year earlier thanks to higher oil prices and improved refining margins. Chevron's revenue for the quarter jumped 25% to $60.34 billion. Continue reading
Total Q1 Profit Rises, Will Buy 60% Of SunPower
France's Total, Europe's third-largest oil company, said its first-quarter profit surged 35% to $4.6 billion as higher crude prices helped the company offset a 2% drop in production that the company partially attributed to the civil unrest in Libya. Total produced 2.37 million barrels of oil equivalent per day in the first quarter. Continue reading
Occidental Q1 Profit Rises 46%
Occidental Petroleum, the fourth-largest U.S. oil company, said its first-quarter profit jumped 46% to $1.5 billion, or $1.90 per share, from $1.1 billion, or $1.31 a share, a year earlier thanks to higher oil prices, a familiar refrain among oil majors this earnings season. On an adjusted basis, California-based Occidental earned $1.96 a share, compared with the $1.80 analysts were expecting. Continue reading
Apache Has Standout First Quarter
Apache, the largest U.S. independent oil and gas producer, said its first-quarter profit surged 58% to $1.1 billion, or $2.86 per share, compared with $705 million, or $2.08 per share, a year earlier as production climbed 25%. On an adjusted-basis, Houston based Apache earned $2.90 a share while analysts were expecting $2.59. Continue reading
Shell Q1 Profit Tops Estimates
Royal Dutch Shell, Europe's largest oil company, aid its first-quarter profit jumped 22% to $6.9 billion. On an adjusted basis, Shell earned $6.29 billion, topping the consensus estimate of $5.87 billion. As some of its rivals have done, Shell cited higher oil prices and improved refining margins as reasons for its strong first quarter numbers. Continue reading
Exxon Mobil Q1 Earnings Jump 69%
Exxon Mobil, the largest U.S. oil company, said its first-quarter profit soared 69% to $10.65 billion, or $2.14 a share, from $6.3 billion, or $1.33 a share, a year earlier thanks to higher oil prices, improved refining margins and increased natural gas production. Revenue climbed 26% to $114 billion. Continue reading
Carnival Suing BP, Others For Spill Damages
Cruise line operator Carnival is suing BP and other companies with ties to the Gulf of Mexico oil spill, claiming the largest oil spill in U.S. history increased its expenses and caused lost revenue. Continue reading
Two Reports, Two Different Reactions In Oil Services Group
Baker Hughes and National Oilwell Varco are both oil services firms, but their first-quarter earnings reports and the reaction by investors to those reports could not have been more different. Shares of National Oilwell slid 4.6%, but Baker Hughes surged almost 4.4% on volume that was more than double the daily average. Continue reading
Ahead Of Earnings, Chevron, Exxon Lift Dividends
Ahead of their first-quarter earnings reports on Thursday and Friday, Exxon Mobil and Chevron, the two largest U.S. oil companies, boosted their quarterly dividends. Chevron raised its payout 8.3% percent to 78 cents a share while Exxon boosted its payout 7% to 47 cents a share. Continue reading
Conoco Q1 Earnings Surge, But Miss Estimates
ConocoPhillips, the third-largest U.S. oil company, posted first-quarter profit and revenue results that came in shy of what Wall Street was expecting as the company said it earnred $1.82 a share compared with $1.47 a share a year earlier as revenue climbed 27% to $58.2 billion. Analysts were expecting a profit of $1.97 on revenue of $61.72 billion. Continue reading
BP Q1 Profit Slips
BP, Europe's second-largest oil company, said its first-quarter profit fell 2% to $5.37 billion, falling short of the $5.6-$5.7 billion analysts were forecasting. That number excludes asset sales BP conducted to raise cash for costs related to the Gulf of Mexico oil spill. In the quarter, BP took a charge of $400 million related to the spill, bring its total costs thus far for the largest oil spill in U.S. history to $40.9 billion. Continue reading
Venezuela Expects $16B From Oil Tax
Venezuela, an OPEC member and South America's largest oil producer, said it could reap nearly $16 billion per year in tax revenue if oil prices stay at their current lofty levels. Oil Minister Rafael Ramirez said Venezuelan crude currently sells for around $105 per barrel. Continue reading
Shell Could Produce More Gas Than Oil In 2012
Royal Dutch Shell, Europe's largest oil company, could produce more natural gas than oil in 2012, according to comments made by President Marvin Odum at the U.S. Energy Information Administration's 2011 Energy conference in Washington. Odum said that is no accident and that natural gas is fuel source worth pursuing. Continue reading
Arch Coal Raises 2011 Guidance
Arch Coal, the second-largest U.S. coal producer, said it expects a profit of $2.03 to $2.52 a share, and earnings before interest, taxes, depreciation and amortization of $930 million to $1.05 billion this year, which is above previous guidance issued by the Missouri-based company. Continue reading
BP Profit Growth Expected To Lag Rivals
BP, Europe's second-largest oil company, is slated to report first-quarter results on Wednesday and analysts are expecting a profit of $5.7 billion, excluding one-time items. If the company meets that number, profit growth would be just 1% compared with the year-earlier period and substantially lag the expected profit growth at rival oil majors. Continue reading
Morgan Stanley Advises Reducing Energy Exposure
After telling investors to pile into the energy sector earlier this year, Morgan Stanley is recommending a more cautious approach, advising investors to reduce exposure to the sector after lowering its rating on the group to ''market weight'' as risk aversion is seen as increasing. Continue reading
McDermott Wins Chevron Contract
Oil services provider McDermott International won a contract from Chevron, the second-largest U.S. oil company, to provide fabrication and installation on two Chevron (CVX) rigs in the Gulf of Mexico. The project will be included in McDermott's first quarter 2011 bookings. Continue reading
TNK-BP Preparing New Suits Against BP
TNK-BP, BP's joint Russian venture with oligarch investors, said it is preparing to file new lawsuits against the British oil giant in both Russian and international courts as the venture seeks to protect its shareholder rights agreement with Europe's second-largest oil company. Continue reading
Ecopetrol Announces New Discovery
Ecopetrol, Colombia's state-controlled oil producer, said it found evidence of oil in the Nunda-1 well, located in the municipality of Tello in Colombia's Huila province. The company began drilling the well in late January and drilled to depths of nearly 7,400 feet by mid-February. Continue reading
Rebel Oil Output Still Hampered In Libya
Opposition forces to Libyan dictator Moammar Gadhafi may see their attempts to produce more crude oil hampered for another month as they need to repair damage done to oilfields and pipelines during recent fighting with government-backed forces. Prior to the onset of violence in the North African country in February, Libya was Africa's third-largest oil producer. Continue reading
Anadarko In Rift With Nigerian Oil Producer
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, is being sued by a Nigerian oil company that is claiming Anadarko conspired to take its rights to explore for oil in Sierra Leone. Nigeria-based Oronto Petroleum filed the suit against Anadarko earlier this month. Continue reading
Coast Guard Report Could Help BP
A report issued by the U.S. Coast Guard may help BP in its efforts to force Transocean to pay some of the costs related to the Gulf of Mexico spill. Last week, BP announced it was suing Transocean, owner of the Deepwater Horizon rig, for $40 billion in damages. Continue reading
Total Looks For Big Output Increase In Russia
Total, Europe's third-largest oil company, is looking to substantially boost its oil output in Russia, the world's largest energy producer, relying on projects in the Arctic Circle to increase its production to 300,000 to 400,000 barrels per day by 2020. Continue reading
Chevron Amends Complaint To Block Ecuador Ruling
Chevron, the second-largest U.S. oil company, has amended a complaint filed last month to block enforcement of a $9.4 billion ruling levied against the company by an Ecuadorean court, claiming it has evidence that the plaintiffs' legal team may have helped the court craft the ruling. Continue reading
Diamond Offshore Q1 Profit Falls, Weatherford Reverses Loss
Deepwater driller Diamond Offshore said its first-quarter profit slumped 14% due to lower day rates, but higher utilization rates helped the company beat Wall Street estimates. The company's net income fell to $251 million, or $1.80 per share, from $291 million, or $2.09 per share, a year earlier. Revenue slid 6% to $806 million. Continue reading
Schlumberger Q1 Profit Rises, But Misses Estimates
Schlumberger, the world's largest oilfield services provider, said its first-quarter profit rose to to $944 million, or 69 cents a share, from $672 million, or 56 cents, a year earlier. Excluding merger costs, the company earned 71 cents a share, missing the consensus estimate of 75 cents. Continue reading
Thermal Coal Price Gains Could Outpace Oil, Gas
Thermal coal prices could jump more than 30% this year to a record, outpacing the gains expected in crude oil and natural gas, according to a report by Bloomberg News. Surging demand in China and India along with Japan looking for alternatives to nuclear power following the March earthquake are expected to be drivers of higher thermal coal demand. Continue reading
BP Announces Suit Against Cameron, Transocean
On the one-year anniversary of the explosion of the Deepwater Horizon rig in the Gulf of Mexico, BP, the rig's operator, said it is suing Transocean, the rig's owner, for at least $40 billion. The British oil giant also said it is suing Cameron International, the company that produced the rig's blowout preventer. Continue reading
Eni, Gazprom Put Libya Project On Hold
Eni SpA, Italy's largest oil company, and Gazprom, the world's largest natural gas producer and one of Russia's largest companies, said they will temporarily put a Libyan project on hold as political unrest in the North African country continues after starting nearly two months ago. Continue reading
Range Resources Has Record Production In Q1
Range Resources, one of the largest operators in the Marcellus Shale, said it had first-quarter production equal to 545.5 million cubic feet of natural gas per day, which stands as a new record for the Texas-based company. The production increase comes despite unfavorable weather conditions in the Marcellus Shale area. Continue reading
Analyst Says BP Is Undervalued
The Benchmark Co. analyst Mark Gilman said in an interview today that shares of BP, Europe's second-largest oil company, may be undervalued. BP's U.S.-listed shares were trading over $60 before the explosion of the Deepwater Horizon rig one year ago today before plunging to $25. BP's ADRs closed at $45.91 today. Continue reading
BP Almost Won Safety Award
On the one-year anniversary of the explosion of the Deepwater Horizon rig in the Gulf of Mexico, a tragedy that led to 11 deaths and the largest oil spill in U.S. history, BP, the rig's operator, narrowly missed out on winning a safety award from the lobby group Oil & Gas UK. Continue reading
BHP Sees Lower 2012 Output On Permit Delays
BHP Billiton, the world's largest mining company, said it expects its 2012 oil and natural gas output to decline because of delays in approving permits for new projects in the Gulf of Mexico. The U.S. government has been widely criticized by the energy industry for dragging its feet on approving new deepwater exploration permits after the moratorium on deepwater drilling was lifted in October. Continue reading
Halliburton, Cameron Probably Escape Spill Fines
Halliburton, the oilfield services provider that provided cement services for the Macondo well, and Cameron International, the manufacturer of the Deepwater Horizon rig's blowout preventer, are less likely than other firms involved in the Gulf of Mexico oil spill to face fines, according to Moody's Investors Service. Continue reading
Japanese Firm Sues BP
Moex Offshore LLC, a unit of Japan's Mitsui, which held a 10% non-operating interest in the Macondo well, sued BP, the project's operator, for economic damages related to the ill-fated project and the subsequent oil spill. News of the suit comes just one day shy of the one-year anniversary of the Deepwater Horizon rig explosion, which led to 11 deaths and the largest oil spill in U.S. history. Continue reading
Senator Wants Arctic Drilling Coordinator
U.S. Sen. Mark Begich (D-Alaska) said he would like to see a drilling coordinator put in place to ease the bureaucratic burdens faced by oil companies looking to drill in Alaska's area of the Arctic Circle, claiming regulators have put up unnecessary road blocks that make it difficult to launch new projects in the region. Continue reading
Peabody Energy Q1 Profit Up
Peabody Energy, the largest U.S. coal producer, said its first-quarter profit rose to $176.5 million, or 65 cents a share, compared with $133.7 million, or 50 cents a share, a year earlier as revenue climbed 15% to $1.74 billion. Analysts were expecting a profit of 61 cents on revenue of $1.75 billion. Continue reading
Rosneft Could Pursue BP Stake Exclusive Of Arctic Partnership
OAO Rosneft, Russia's largest oil company, would be open to pursuing its $16 billion share exchange with BP, Europe's second-largest oil company, and find a new a partner for the Arctic drilling venture that BP hopes to be part of if a court permits the British oil giant to split the two aspects of the deal. Continue reading
Cameron Says BOP Didn't Cause Spill
Cameron International, the maker of the Deepwater Horizon rig's blowout preventer, said the device did not cause the rig's explosion, which led to 11 deaths and the largest oil spill in U.S. history last April. The company claims oil and natural gas were already flowing to the rig by the time workers tried to put the blowout preventer to use. Continue reading
Halliburton Q1 Profit More Than Doubles
Halliburton, the second-largest oilfield services provider in the world, said its first-quarter profit more than doubled to $511 million or 56 cents per share, compared with $206 million, or 23 cents per share, a year earlier as revenue climbed 40% to a record $5.28 billion. On an adjusted basis, Halliburton earned 61 cents a share. Analysts were expecting a profit of 58 cents on revenue of $4.87 billion. Continue reading
Citi Names Energy Takeover Targets
A report by Citigroup Global Markets analyst Robin Shoemaker published today says the oil and natural gas services sector is ripe for consolidation and identifies several firms that could be takeover targets. Shoemaker said rising oil prices, which are a reliable indicator of industry consolidation, could lead to further mergers and acquisitions activity in the group. Continue reading
Chevron Not Pleased With North Sea Tax Hike
Chevron, the second-largest U.S. oil company, is not happy with the U.K. government's decision to raise taxes on oil and gas producers operating in the North Sea and the California-based company warned there could be consequences stemming from the higher tax rate. Continue reading
Investors Press BP For More Asset Sales
Some major BP shareholders are pressing CEO Bob Dudley to extend the British oil giant's asset sales program with one investor saying the company ''needs to be shrunk considerably.'' Following the Gulf of Mexico oil spill, BP pledged to sell $30 billion in assets to raise cash and has thus far sold $24 billion worth of assets. Continue reading
Petrobras, Vale Make Oil Find
Petrobras, Brazil's state-controlled oil producer, and mining giant Vale, said they have found signs of oil at an exploration block the two companies are working on together. The discovery was made 1.35 miles below the ocean's surface in the ES-M-527 region contained within the BM-ES-22 bloc, off the coast of Espirito Santo state near Rio e Janeiro. Continue reading
Shell Sees Alaska Drilling In 2012
Royal Dutch Shell, Europe's largest oil company, said it expects to begin drilling in Alaska's area of the Arctic Circle next year after the project was delayed following the Gulf of Mexico oil spill in 2010. The company said it will have a spill containment system in place designed especially for the project. Continue reading
Kosmos Could Raise As Much As $621M In IPO
Kosmos Energy, which is a major partner in Ghana's Jubilee field, the largest oil find in the African country in a decade, said it could raise up to $621 million in its upcoming initial public offering, well above the $500 million the company said it hoped to raise when it announced the offering in a regulatory filing earlier this year. Continue reading
Nigeria's Oil Revenue Soars In 2010
Nigeria, which vies with Angola as Africa's top oil-producing country, said its oil exports surged 46% to $59 billion last year as companies operating in the country were able to boost output thanks to better security in the oil-rich Niger Delta, which is home to most of Nigeria's oil assets. Continue reading
BP Highlights Efforts To Appease TNK-BP
At its shareholder meeting in London today, BP discussed its efforts to resolve lingering disputes with its joint Russian venture, TNK-BP, that have resulted in a strained relationship between the British oil giant and the venture's oligarch investors. The relationship became frayed when BP and OAO Rosneft announced a $16 billion share swap earlier this year. Continue reading
BP, Rosneft Extend Deadline To Save Deal
BP, Europe's second-largest oil company, and OAO Rosneft, Russia's largest oil producer, have extend the deadline to finalize their $16 billion share swap to May 16 from April 14 giving BP much-needed time to workout disagreements with its joint Russian venture, TNK-BP. Continue reading
Rosneft Looking For BP Replacement
As the April deadline looms for BP and OAO Rosneft to make their controversial $16 billion share swap work, it appears Rosneft, Russia's largest oil company, is preparing for life without the British oil giant and has informed investors that it is looking for other partners. Continue reading
Devon Eyes Onshore Plans
Devon Energy, one of the largest U.S. independent oil and natural gas producers, said it is ready to move forward with its plans to extract more oil and natural gas from onshore deposits, including shale formations, following the company's efforts to divest its international and offshore assets over the past year. Continue reading
Brazil Oil Auctions Could Take Place In August
Brazil's national oil regulator, ANP, could hold the country's next round of oil and natural gas exploration auctions in August if the plan is approved later this month, news that could set the stage for intense bidding as more of the world's oil majors look to tap into the country's growing reserves. Continue reading
BofA Counters Goldman's Oil Call
Goldman Sachs roiled the oil market earlier this week with a negative call on the commodity, but Bank of America Merill Lynch countered its rival's view on oil today by saying there is a 30% chance that Brent North Sea crude could trade up to $160 a barrel this year. Continue reading
Petrobras, Sinopec Finalize Offshore Pact
Petrobras, Brazil's state-run oil producer, and Sinopec, China's second-largest oil company, have come to terms on a joint venture that will see the two companies partner to explore for oil off the coast of Northern Brazil. The agreements were completed during Brazilian President Dilma Rousseff's recent visit to China. Continue reading
Saudi Boosted Q1 Production, IEA Says
Saudi Arabia, the world's largest oil producer, boosted its first-quarter oil output by 310,000 barrels per day to 8.8 million barrels amid supply shortages caused by the civil unrest in Libya. The country was then quick to rein in that production increase following the earthquake and tsunami that struck Japan last month, the International Energy Agency said. Continue reading
Exxon, Chevron Could Weight On S&P 500
Exxon Mobil and Chevron, the two largest U.S. oil companies, could see their share prices pullback, presenting the S&P 500 with what Janney Montgomery Scott a ''softpatch,'' according to Bloomberg News. Exxon and Chevron play a pivotal role in the S&P 500's performance because the index is cap-weighted and the companies are the largest and third-largest U.S. companies by market value. Continue reading
Interior May Expand Safety Requirements To Contractors
The U.S. Interior Department is mulling the possibility of extending its newly bolstered offshore drilling safety requirements that currently apply to exploration and production firms to contractors due to concerns that the scope of the safety measures may be limited. Continue reading
Shareholders Lining Up Against BP
In advance of BP's shareholder meeting on Thursday, two institutional investors have said they will vote against management and the company's annual report at the meeting, citing the company's handling of the Gulf of Mexico oil spill. Continue reading
Shell Planning Aussie Downstream Announcement
Royal Dutch Shell, Europe's largest oil company, is scheduled to make a significant announcement later tonight regarding the future of its downstream business in Australia. The company issued a media advisory scheduling a conference call for 12:15 PM Sydney time, but the advisory was otherwise scant on details. Continue reading
BHP Dampens Woodside Speculation
BHP Billiton, the world's largest mining company, muted rumors about a possible $48.5 billion takeover of Australia's Woodside Petroleum, the country's second largest oil and gas producer, saying it had no knowledge of the basis for speculation it is planning to move on Woodside. Continue reading
Halliburton Wins Iraq Contract From Exxon Mobil
Halliburton, the world's second-largest provider of oilfield services, won a contract from Exxon Mobil, the largest U.S. oil company, to provide drilling services for 15 wells in Iraq's West Qurna field. Financial terms of the contract were not disclosed. Continue reading
BP A Takeover Target, NYT Reports
BP, Europe's second-largest oil company, could once again be a takeover target and the New York Times lists several reasons why, including a ''discounted share price, a strategic setback and a weakened management team.'' Speculation swirled in the days following the Gulf of Mexico oil spill last year that BP could be a takeover target as its shares plunged, but nothing came of those rumors. Continue reading
BP Granted Time To Salvage Rosneft Pact
BP has been granted some extra time to extend the April 14 deadline for its $16 billion share exchange with OAO Rosneft, Russia's largest oil company. Last month, an arbitration panel extended an injunction awarded to BP's joint Russian venture, TNK-BP, that sought to block the deal between BP and Rosneft. Continue reading
BHP Said To Be Planning $48.5B Woodside Bid
BHP Billiton, the world's largest mining company, is reportedly considering making a $48.5 billion bid for Woodside Petroleum, Australia's second-largest oil and natural gas producer. Rumors of the deal have gained steam in recent weeks despite several major banks voicing doubt over the deal happening. Continue reading
Chevron Sells Wheatstone Stake To Shell
Chevron, the second-largest U.S. oil company, sold a 6.4% stake in its proposed Wheatstone natural gas facility in Australia to Royal Dutch Shell, Europe's largest oil company, for an undisclosed sum. Shell will also acquire an 8% stake in the Wheatstone and Iago natural-gas fields. Continue reading
Mulva Pushes For Alaska Oil Tax Change
ConocoPhillips CEO Jim Mulva is pushing for Alaska to change its tax laws so the third-largest U.S. oil company can bolster its investments in the second-largest oil producing state in the U.S. Mulva emphasized that changes need to take place in Alaska's tax structure this year. Continue reading
S&P Boosts Rating On Chesapeake Energy
Standard & Poor's Rating Services lifted its rating on debt issued by Chesapeake Energy, the second-largest U.S. natural producer, to BB+, the highest non-investment grade rating. Standard & Poor's cited Chesapeake's recent debt reduction efforts as a reason for the upgrade. Continue reading
Rare Earths Stocks Surge On Legislative News
Rare earths stocks surged on Thursday after a Rep. Mike Coffman (R-Colo.) introduced legislation on Wednesday aimed at decreasing dependence on Chinese rare earths exports. China controls 95% of the export market for the 17 elements, which are used in a variety of high-tech gadgets and military devices. Continue reading
China, Russia Could Lose If Gaddafi Falls
Fathi Ben Shatwan, Libya's former energy minister who has fled to Europe amid rising violence in the North African country and his own opposition to the oppressive regime that remains in power there, said that China and Russia could be losers in Libya's oil business if there is a regime change. Continue reading
Murphy Oil Awarded Gulf Permit
Federal regulators awarded Murphy Oil the ninth permit for deepwater drilling in the Gulf of Mexico since the largest oil spill history occurred a year ago. The permit will allow Arkansas-based Murphy to resume a project it was working on prior to the explosion of the Deepwater Horizon rig in April 2010. Continue reading
BHP Bid For Woodside Looks Even More Doubtful
A bid by BHP Billiton, the world's largest mining company, to acquire Woodside Petroleum, Australia's second-largest oil and natural gas producer, appears even more in doubt after a Credit Suisse analyst report said Woodside may be preparing to purchase the stake in itself that Royal Dutch Shell is looking to sell. Continue reading
BHP Could Decided On Zambia Project Soon
BHP Billiton, the world's largest mining company, will reportedly decide on whether it will continue participating in the Mumbwa copper and gold project in Zambia by the middle of this year, the Wall Street Journal reported, citing a source familiar with the mining industry. Continue reading
Regulator Says BOP Was Years Overdue For Maintenance
The U.S. Bureau of Ocean Energy Management, Regulation and Enforcement, the federal regulator that oversees offshore drilling in U.S. waters, said the blowout preventer on the Deepwater Horizon rig was four years overdue for maintenance, according to guidelines set forth by Transocean, the rig's owner. Continue reading
Ecopetrol Venture May Start Drilling In 2012
Ecopetrol, Colombia's state-run oil producer, and Canada's Talisman Energy plan to begin exploratory drilling for their venture starting in 2012 with an eye toward production as early as 2016. Equion Energia, as the venture is known, was formed when the companies acquired BP's Colombia assets last year. Continue reading
Colombia Oil Auctions Could Land $4B In Investments
Colombia, one of the world's up-and-coming oil producers, plans to hold oil auctions that will be open to foreign producers starting next year and perhaps lasting through 2014 with the hopes of landing $4 billion in investments to help the South American country boost its oil production. Continue reading
BP Could Get OK For Devon Purchase This Month
BP, Europe's second-largest oil company, could win approval from Brazil's national oil regulator to formally acquire $3.2 billion in offshore assets from Devon Energy later this month. The deal was announced last year and the two companies were hoping to have closed the deal by the end of the year, but Brazilian officials have been slow to ratify the agreement following the Gulf of Mexico oil spill. Continue reading
Schork Says Oil Could Fall $20 If Libyan Tensions Ease
Stephen Schork, president of the Schork Group, said oil prices could decline by $20 a barrel if tensions in Libya and the Middle East cool off. Schork made the comments during an interview with Bloomberg Television on Tuesday morning and noted that speculators are over-extended in their bullish bets on oil prices. Continue reading
Shell Sells Nigerian Block To Local Firm
Royal Dutch Shell, Europe's largest oil company, will reportedly sell a 30% stake in the OML 30 block in Nigeria's Niger Delta to Conoil, a Nigerian firm, for $650 million. Shell has been actively shopping some of its Nigerian assets in the past year as part of its asset sales plan. Continue reading
Marathon To Shell Shale Acreage For $270M
Marathon Oil, the Texas-based integrated oil company, will sell a 30% stake in the DJ Basin of southeastern Wyoming and northern Colorado to Japan's Marubeni for $270 million. Marathon owns 180,000 net acres in the DJ Basin, which is an oil-shale formation. Continue reading
Transocean Execs Will Donate Safety Bonuses
After creating plenty of controversy by announcing in its annual report that its executives were being rewarded with bonuses for the company's 2010 safety record, Transocean, the world's largest provider of offshore drilling services, said the executives will donate the bonuses. Continue reading
Transocean Announces Dividend Details
Transocean, the world's largest provider of offshore drilling services, announced details for its controversial dividend plan today, putting the owner of the Deepwater Horizon rig one step closer to making its first cash payout to shareholders since the second quarter of 2002. Continue reading
Apache Makes Aussie Gas Find
Apache, the largest U.S. independent oil and natural gas producer, said today that it made a natural gas discovery off the coast of Western Australia. Apache's Zola-1 discovery in license WA-290-P, offshore Western Australia, logged 410 feet of net pay in three Triassic Mungaroo sands over a depth range of 13,450-15,100 feet below sea level, the company said in a statement. Continue reading
ConocoPhillips Could Be Looking For Acquisitions
ConocoPhillips, the third-largest U.S. oil company, may be on the hunt for deepwater and shale assets even as the company is the midst of a massive asset divestment plan aimed at raising cash and shoring up the company's balance sheet. CEO Jim Mulva told the Financial Times his company could boost its capital spending plans if the right opportunities present themselves. Continue reading
No Gulf Deal For BP Yet
After news broke over the weekend that BP, Europe's second-largest oil company, had approached federal regulators about resuming work in deepwater areas of the Gulf of Mexico, the Interior Department made clear today that no agreement has been reached with the British oil giant. Continue reading
BP Wants To Resume Gulf Drilling
BP, Europe's second-largest oil company, has approached U.S. regulators about resuming drilling in the Gulf of Mexico, the New York Times reported on Sunday, citing two BP officials with knowledge of the matter. The Bureau of Ocean Energy Management, Regulation and Enforcement has said there is currently no deal with BP. Continue reading
Apache To Ramp Up Egypt Spending
Apache, the Texas-based independent oil and natural gas producer, said it plans to step up investments in Egypt this year despite the recent political upheaval in the North African country. Apache has the largest footprint of any Western oil producer in Egypt, a fact that pressured Apache shares at height Egypt's political tensions in February. Continue reading
Gabon Oil Output Halted
Oil output in Gabon, Africa's seventh-largest oil producer, has been halted due to a strike by the nation's oil workers. The lost output is equivalent to 240,000 barrels a day. The ONEP, the union representing Gabon's oil workers, has confirmed the strike and is demanding more workers in the country's oil industry. Continue reading
Statoil Makes Major Oil Find
Statoil, Norway's largest oil company, and Eni SpA, Italy's largest oil company, announced a major oil and natural gas discovery at the Skrugard prospect in the Barents Sea, a find that could be Norway's biggest oil discovery in over a decade. The two companies had previously drilled two dry wells in the region before making the new discovery. Continue reading
Norway Won't Ask Statoil To Ditch Oil Sands
Statoil, Norway's largest oil company, will not face the specter of having to abandon projects in the oil sands region of Western Canada after Norway's government said it will not ask the company to do so. The Norwegian is state is Statoil's majority owner, controlling two thirds of the firm. Continue reading
ExxonMobil Plans Vietnam Drilling
Risking objections from China, ExxonMobil, the largest U.S. oil company, is moving forward with plans for a drilling project in the South China Sea off the coast of Vietnam. The Chinese government, which has laid claim to all of the South China Sea, has previously objected to similar plans by other oil producers. Continue reading
Investors Doubt BHP Bid For Woodside
Following comments from Goldman Sachs earlier this week that said it appears doubtful that BHP Billiton, the world's largest mining company, is preparing to acquire Woodside Petroleum, investors are echoing Goldman's sentiments, saying the deal does not make sense in the near-term. Continue reading
Exxon, Conoco May Win $2.5B From Venezuela
Exxon Mobil and ConocoPhillips, the largest and third-largest U.S. oil companies respectively, may win $2.5 billion from Venezuela for oil assets the country nationalized four years ago, Oil Minister Rafael Ramirez said. The two companies are currently in arbitration proceedings with Venezuela's government. Continue reading
Chevron Expects Another Gulf Approval Soon
Chevron, the second-largest U.S. oil company, said it expects to receive approval from federal regulators to resume work on the Buckskin well in the Gulf of Mexico in a ''couple of months.'' Bobby Ryan, Chevron's vice president of global exploration, made the comments at an energy industry conference today in New Orleans, Reuters reported. Continue reading
West Qurna Output Could Rise To 400,000bpd By Year End
Oil output at Iraq's super-giant West Qurna Phase One could jump to 400,000 barrels per day by the end of this year from the current production rate of 310,000 barrels per day, according to Iraqi oil official Madhi al-Maliki. The field was one of the most sought after by global oil majors that bid for development contracts in Iraq in 2009. Continue reading
Petrohawk Will Sell $1B Worth Of Pipelines
Petrohawk Energy said it is selling $1 billion in pipelines and related equipment to raise cash for its exploration efforts this year. Speaking at an energy industry conference in New Orleans, Petrohawk CEO Floyd Wilson said the company will obtain additional funds needed for exploration will come further sales of midstream assets. Continue reading
Petrobras Expects Oil Prices To Continue Climbing
Petrobras, Brazil's state-run oil producer, said it expects oil prices to continue rising over the next few years due to escalating unrest in the Middle East. Earlier this week, the company said it boost its $80 a barrel price estimate for oil due to the issues in the Middle East. Continue reading
Cnooc, Total Pay $2.9B For Uganda Stakes
Cnooc, China's largest offshore oil explorer, and France's Total, Europe's third-largest oil company, will pay a combined $2.9 billion to acquire stakes in Ugandan exploration blocks from U.K.-based Tullow Oil. The exploration blocks are located in the oil-rich Lake Albert region of the African country. Continue reading
Ecuador Receives Oilfield Bids
Petroecuador, Ecuador's state-run oil company, said it received 11 contract offers from nine different companies to bolster oil production at the country's aging oil fields. Ecuador is the smallest member of the Organization of Petroleum Exporting Countries (OPEC) by production. Continue reading
GE Makes Another Energy Purchase
Dow component General Electric continues to beef up its exposure to the energy sector through acquisitions. In its latest energy deal, GE said it will acquire 90% of France's Converteam for $3.2 billion. Converteam makes motors used in gas pipelines and wind turbines. Continue reading
BP Execs Possibly Facing Criminal Charges
The Justice Department is mulling whether to pursue manslaughter charges against BP executives for decisions they made leading up to the explosion of the Deepwater Horizon rig in the Gulf of Mexico last April, Bloomberg News reported, citing three sources with knowledge of the matter. Continue reading
Occidental Pares Q1 Output Target
Occidental Petroleum, the fourth-largest U.S. oil company, lowered its first-quarter production estimate to 711,000 to 721,000 barrels of oil equivalent per day, 29,000 barrels a day lower than the company previously forecast after citing supply disruptions in Libya and Yemen and lower spending in Iraq. Continue reading
Petrobras Raises Oil Price Forecast
Petrobras, Brazil's state-run oil producer, will raise its oil price forecast above $80 a barrel for its next five-year plan, an executive said on Monday, the latest sign that the world's oil majors expect high oil prices to be much more than a passing phenomenon. Continue reading
Anadarko Expects Gulf Work In Second Half
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, expects to be back at work in the Gulf of Mexico in the second half of this year, according to comments made by CEO James Hackett at the Howard Weil energy conference in New Orleans on Monday. Continue reading
Chevron/Rosneft Rumors Continue To Swirl
Rumors regarding the possible departure of Chevron, the second-largest U.S. oil company, from a $32 billion venture with OAO Rosneft, Russia's largest oil producer, in the Black Sea continue to swirl and sources at both companies are saying the firms are mulling whether or not to even move forward with the project. Continue reading
Massey Cited For More Than 80 Violations
Massey Energy, the largest coal producer in Central Appalachia, was cited for more than 80 safety violations by the the federal Mine Safety and Health Administration on Monday, further highlighting the company's dubious safety record. An explosion at Massey's Upper Big Branch mine in West Virginia last April was the most fatal coal mine accident in the U.S. in more than three decades. Continue reading
Rio Still Needs Help On Riversdale Bid
Rio Tinto, the world's second-largest mining company, still needs to shore up more support to acquire Australia's Riversdale Mining as the deadline for the $4 billion bid draws near. Rio raised its offer almost three weeks ago in an effort to ward off threats from steelmakers that already own stakes in Riversdale. Continue reading
Goldman Sees Woodside Deal As Doubtful
Woodside Petroleum, Australia's second-largest oil and gas producer, saw its shares jump on Friday on renewed speculation that the company is once again a takeover target as Royal Dutch Shell, Europe's largest oil company, moves to unwind its 24% stake in Woodside, but Goldman Sachs doubts a deal to acquire Woodside is in the works. Continue reading
BP May Need $15B To Get Rosneft Deal Done
BP may need to fork over $15 billion to the oligarch investors in TNK-BP, the company's joint Russian venture in order to finalize its deal with OAO Roseneft, Russia's largest oil company. That is the price tag analysts and bankers estimate BP would need to pay TNK-BP if it wants to move forward with the $16 billion share swap with Rosneft. Continue reading
Sinopec 2010 Profit Jumps 14%
Sinopec, Asia's largest oil refiner, said its 2010 full-year profit rose 14% to $11 billion from $9.6 billion, but that missed analysts' estimates because China's curbs on fuel price increases outpaced rising oil prices. Analysts were expecting a profit slightly over $11 billion. Continue reading
BP, Rosneft Try To Save Partnership
A day after a Swedish arbitration tribunal blocked the partnership between BP and OAO Rosneft, the British oil giant and Russia's largest oil producer are working to save an agreement that called for the companies to exchange $16 billion in stock and team-up to explore for oil in the Russian area of the Arctic Circle. Continue reading
Oil Execs Reportedly Discussed Terrorist Fines With Qaddafi
In 2009, Libyan dictator Muammar Qaddafi reportedly called a meeting of executives from 15 foreign oil companies doing business in his country to force the companies to pay $1.5 billion in fines Libya was facing related to the 1988 bombing of Pan Am Flight 103 over Lockerbie, Scotland and other terrorist acts. Continue reading
Rumors Fly About Alpha Natural Takeover
Alpha Natural Resources, which is in the midst of acquiring rival Massey Energy for $7.1 billion, is itself the subject of takeover rumors. On Thursday, the trading blog Benzinga reported that a foreign company may be interested in acquiring Virginia-based Alpha Natural. Continue reading
Arbitrator Blocks BP/Rosneft Deal
A Swedish arbitration tribunal on Thursday blocked the controversial $16 billion share swap between BP, Europe's second-largest oil company, and OAO Rosneft, Russia's largest oil company, presenting a major obstacle to the proposed partnership that was to see the two oil giants work together to explore for oil in the Russia area of the Arctic Circle. Continue reading
Chevron Wins New Approval For Deepwater Gulf Project
Chevron, the second-largest U.S. oil company, won approval from U.S. regulators today for a new deepwater oil and gas exploration project in the Gulf of Mexico, marking the second time this week regulators have awarded permits for new deepwater projects in the Gulf. Continue reading
Cnooc Q4 Profit Surges
Cnooc, China's largest offshore oil explorer, said its fourth-quarter profit jumped 72% to $2.36 billion, the company's best-ever fourth-quarter results as rising oil prices and increased production helped bolster the numbers. The company cautioned that rising costs could be an issue this year. Continue reading
Lodged Pipe Led To Blowout Preventer Failure
A study released by the Interior Department and U.S. Coast Guard says a piece of pipe on the Macondo well became stuck following the blast that ravaged the Deepwater Horizon rig and once the pipe was lodged, blades could not cut it, resulting in the flow of oil and gas to the surface of the Gulf of Mexico and the largest spill in U.S. history. Continue reading
Yanzhou Coal Could Bid For Whitehaven
Yanzhou Coal, China's fourth-largest coal company, could team with Indian mining firm Aditya Birla to make a bid for Australia's Whitehaven, a company that was the topic of intense takeover speculation last year when several firms, including U.S.-based coal producers were rumored to be interested in the company. Continue reading
Repsol Prices YPF Offering
Repsol YPF, Spain's largest oil company, said it will sell 26.2 million American depositary shares in its YPF business at $41 each in a deal that values 6.67 percent of the company's Argentine business at $1.07 billion. Repsol on March 14 had said it agreed to sell 3.83 percent of YPF for $639 million and announced the plan to sell more shares through an offering, according to Bloomberg News. Continue reading
Conoco To Sell Up To $10B In Assets Over 2 Years
ConocoPhillips, the third-largest U.S. oil company, said today it is targeting asset sales of $5 billion to $10 billion over the next two years and $12 billion to $17 billion over three years as the company looks for ways to raise cash for its capital spending budget and share repurchase plans. Continue reading
Citi Names Winners For More Gulf Drilling
Citigroup published a report today highlighting some of the companies it views as potential winners as more deepwater drilling permits are awarded for projects in the Gulf of Mexico, noting that protests by environmental groups will not delay the resumption of Gulf of drilling. Continue reading
Chevron May Ditch Black Sea Project
Chevron, the second-largest U.S. oil company, may scuttle its participation in a Black Sea venture with OAO Rosneft, Russia's largest oil company, due to concerns the project may not yield enough oil to make it profitable. The news was originally reported by the Russian media outlet Kommersant. Continue reading
CEO: Petrobras Can Double Reserves In Five Years
Petrobras CEO Jose Sergio Gabrielli said that Brazil's state-run oil producer can ''easily'' double its proven reserves of 15 billion barrels of oil in the next four or five years. The comments were made today at an energy industry event in Brazil and reported by Bloomberg News. Continue reading
Anadarko Buys BP Facility For $575.5M
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, will purchase a Colorado natural gas processing plant from BP, Europe's second-largest oil company, for $575.5 million. The Wattenberg plant has the capacity to process about 195 million cubic feet per day of natural gas and 15,000 barrels per day of natural gas liquids and gas condensate, Reuters reported. Continue reading
PetroChina Looking For UAE Storage Assets
PetroChina, China's largest oil company, is reportedly looking for oil storage assets in the United Arab Emirates and is in talks with the government of Fujairah to build oil storage facilities at the Fujairah port, according to Reuters. The company may build a facility with the capacity to store 1 million cubic meters of oil products. Continue reading
Shells Wins Approval For Gulf Exploratory Wells
Royal Dutch Shell, Europe's largest oil company, received approval from U.S. regulators on Monday to drill three exploratory wells in the Gulf of Mexico, the first approvals for new deepwater wells granted by the Interior Department since the Deepwater Horizon rig exploded last April, creating the largest oil spill in U.S. history. Continue reading
Anadarko In $1.55B Shale Deal
Anadarko Petroleum, the independent oil and natural gas producer, announced that it will sell almost one-third of its interest in the Maverick Basin in the Eagle Ford Shale in South Texas to Korea National Oil, South Korea's state-run oil producer, for $1.55 billion. Continue reading
Rio Looking To Form Russian Diamond Partnership
Rio Tinto, the world's second-largest mining company, is looking to bolster its presence in the diamond business through a partnership with Russia's state-run diamond miner, Alrosa, in an effort to meet rising demand for the pricey gems from emerging markets, including China. Continue reading
Petrobras Won't Alter Domestic Prices
Despite increased volatility in oil prices due to escalating violence in the Middle East and North Africa, Petrobras, Brazil's state-run oil company, said it has no plans to alter the prices it charges for oil and oil-related products on the domestic market. Brazil's government typically urges the company against raising prices in an effort to curb inflation. Continue reading
Saudi Aramco, PetroChina Will Build New Refinery
Saudi Aramco, Saudi Arabia's state-run oil producer, and PetroChina, China's largest oil company, said they will build a 200,000 barrel-a-day refinery in southern China in an effort to meet soaring fuel demand in China, the world's fastest growing major economy. Continue reading
Obama: U.S. Will Be Major Buyer Of Brazilian Oil
President Obama is meeting with Brazilian President Dilma Rousseff this weekend and amid rising violence in the Middle East and North Africa, said the U.S. would like to be a major buyer of Brazilian crude in the coming years as the country taps into pre-salt fields that are believed to hold massive oil reserves. Continue reading
As Violence Rises, Libya Oil Output Threatened
Libya, the OPEC member that is Africa's third-largest oil producer, has already seen its oil output plunge due to violence in the country and could see that production almost entirely wiped out as allied forces started bombing Libyan military targets on Saturday. Continue reading
Eni Urges Against Libya Sanctions
Eni SpA, the Western oil company with the largest presence in Libya, is pushing Europe not to proceed with sanctions against the North African country that include oil and natural gas assets controlled by Italy's largest oil company. Eni continues to produce in Libya despite the escalating conflict in the country. Continue reading
BP's Libya Contract Still Valid
BP, Europe's second-largest oil company, said today that its $900 million contract with Libya's National Oil Co., the North African country's state-run oil producer, is still valid and the terms remain unchanged despite the looming threat of economic sanctions against the country by Western governments, according to a Dow Jones report. Continue reading
PetroChina Reiterates View On Acquisitions
PetroChina, China's largest oil company, reiterated today that it plans to be an active acquirer of global oil and natural gas assets as the company sees demand increasing on the back of the natural disasters that recently struck Japan and the nuclear fallout the country is facing. Continue reading
Vale Japan Iron Sales Not Impacted By Quake
Vale, the world's largest iron ore producer, said its shipments to Japan have not been impacted by the largest-ever earthquake to strike the country and the subsequent nuclear disaster Japan now faces. The Brazilian company said that Japanese customers continue to honor contracts. Continue reading
OPEC May Meet To Discuss Demand
The Organization of Petroleum Exporting Countries (OPEC) may meet to discuss oil demand issues amid continued civil unrest in the Middle East and North Africa and the nuclear crisis currently facing Japan, the world's third-largest oil importer. Nigeria's Foreign Minister Henry Odein Ajumogobia made the comments regarding a possible OPEC meeting. Continue reading
Transocean Fleet Update
Transocean, the world's largest provider of offshore drilling services, released a rig summary update today, confirming that it will lease two jackup rigs Chevron (CVX), the second-largest U.S. oil company, for an offshore project in Thailand. The dayrate on those rigs is expected to be $135,000. Continue reading
Colombia Oil Production To Move Record This Year
Colombia, South America's third-largest oil producer behind Venezuela and Brazil, said it expects crude oil production to surge to a record level this year after investments from Chinese firms and Mexico's Carlos Slim, the gentleman that resides atop the most recent Forbes list of billionaires. Continue reading
Weatherford Lowers Q1 Guidance
Citing bad weather and rising turmoil in the Middle East and North Africa, oil services firm Weatherford International lowered its first-quarter profit guidance to 18 cents a share down from a previous estimate of 27 cents a share. Analysts were expecting a profit of 23 cents. Continue reading
Cameron Inks Deal With Petrobras
Oil services firm Cameron International said today that it has signed a Memorandum of Understanding with Petrobras, Brazil's state-controlled oil giant, to boost its research and development efforts in the South American country through a $30 million investment in two facilities. Continue reading
Barron's Bullish On Exxon Mobil
Exxon Mobil, the largest U.S. oil company, was the subject of a bullish piece today in Barron's after Goldman Sachs upgraded the stock and raised its price target on the shares to $102 from $82, which reflects a 9% discount to $110 a barrel oil prices. Goldman analyst Arjun Murti said ''We see 'big oil' as offering a favorable risk/reward opportunity in an uncertain environment,'' Barron's reported. Continue reading
Libya Oil Exports Imperiled
Oil exports from Libya, Africa's third-largest oil producer behind fellow OPEC members Angola and Nigeria, could be off the market for months due to damage on oil infrastructure in the country and international sanctions, according to a report by the International Energy Agency (IEA). Continue reading
Shell Plans To Spend $100B Through 2014
Royal Dutch Shell, Europe's largest oil company, said it is planning to spend $100 billion starting this year through 2014 in an effort to boost oil production. The company added that it is continuing to look at ways to cut costs at its refining operations. Continue reading
Spill Widow Settles Suit Against BP
Melinda Anne Becnel, the widow of Keith Blair Manuel, one of the 11 crew members that perished aboard the Deepwater Horizon rig when it exploded on April 20, 2010, settled her lawsuit against BP, Europe's second-largest oil company and the rig's operator. Financial terms of the settlement were not disclosed. Continue reading
India's ONGC Said To Miss Out On Exxon Angola Block
Oil & Natural Gas Corp. (ONGC), India's largest energy exploration firm, reportedly missed out in a bid to acquire Exxon Mobil's 25% stake in an Angolan oil field, Bloomberg News reported, citing people familiar with the talks. ONGC reportedly offered $2 billion for the Exxon stake. Continue reading
Shell Makes Major Brunei Find
Royal Dutch Shell, Europe's largest oil company, said Brunei Shell Petroleum, the company's joint venture with Brunei's government, made a ''significant'' deepwater oil find off the country's coast. The discovery was made at 3,300, the deepest depths for the venture thus far. Continue reading
Chevron To Spend $22.6B On Upstream Projects
Chevron, the second-largest U.S. oil company, said it will spend $22.6 billion on upstream projects this year, a 20% increase from 2010 as the company looks to take advantage of higher oil prices and boost investments in major liquefied natural gas projects in Australia and Angola. Continue reading
Eni CEO Cautions About Libya Turning Into Somalia
Paolo Scaroni, the CEO of Eni SpA, Italy's largest oil company, warned against allowing the situation in Libya, home to Africa's largest oil reserves, escalate to the point where the country becomes a failed country and starts bearing resemblance to Somalia. Continue reading
BP Blocks TNK-BP From Joining Rosneft Pact
BP directors at TNK-BP, the Russian joint venture between Europe's second-largest oil company and oligarch investors, voted to block TNK-BP from joining BP's partnership with OAO Rosneft, Russia's largest oil company, that will see the two oil giants work together to explore for oil in the Russian area of the Arctic Circle. Continue reading
BHP Wins Second Post-Spill Permit For Gulf Work
BHP Billiton, the world's second-largest mining company, won the second permit for deepwater drilling in the U.S. since the Gulf of Mexico oil spill in April 2010. The permit will allow the Anglo-Australian mining giant to resume work on its Shenzi oilfield in the Gulf. Continue reading
Chevron Appeals Ecuador Ruling
Chevron, the second-largest U.S. oil company, is appealing the $8.6 billion judgment levied last month by an Ecuadorian court that alleges Texaco polluted water sources in the South American country when the company was operating there. Chevron, which currently does not do business in Ecuador, acquire Texaco a decade ago. Continue reading
Despite Criticism, Statoil Moving Forward In Oil Sands
Amid criticism in its home country, Statoil, Norway's largest oil company, is moving ahead with investing the oil sands region of Western Canada. As production at Norway's aging fields declines, the company is scurrying to find new sources of oil at a time when prices are surging. Continue reading
Petrobras Abandons Cuba Block
Petrobras, Brazil's state-run oil company, will abandon an exploration block off the coast of Cuba that the company leased in 2008. The company said the block had not shown promising results and that it wants to focus its exploration efforts on Brazil's oil-rich pre-salt fields. Continue reading
Kosmos Rebuffs BP, Cnooc For Jubilee Stake
Privately held Kosmos Energy, which has become an oil producer through its stake in Ghana's Jubilee Field, has rejected a joint offer from BP, Europe's second-largest oil company, China's Cnooc and Ghana National Petroleum for its interest in the field. Continue reading
Valero Close To Acquiring Chevron U.K. Refinery
Valero, the largest U.S. refiner, is reportedly close to acquiring Chevron's Pembroke refinery in Wales for $2 billion, Bloomberg News reported, citing sources with knowledge of the batter. A deal for the refinery, which Chevron has been trying to sell since last year, could be announced in the next few days. Continue reading
Tillerson Not Shy About Scorn For BP
Exxon Mobil CEO Rex Tillerson certainly does not believe the Gulf of Mexico oil spill represents an industry-wide epidemic. Rather, Tillerson seems quite content to lay the blame for the largest oil spill in U.S. history squarely at the feet of BP, Europe's second-largest oil company. Continue reading
Eni Output In Libya Plunges As Unrest Grows
Eni SpA, Italy's largest oil company and the Western oil major with the largest footprint in Libya, has seen its oil output in the North African country dwindle to 100,000 barrels a day since the start of civil unrest there compared with 270,000 barrels a day before protests erupted. Continue reading
Exxon To Increase Spending In Hunt For Oil
Exxon Mobil, the largest U.S. oil company, said it plans to spend $34 billion on capital projects this year, an almost 6% increase over 2010's level, and that it is planning annual spending of as much as $37 billion through 2015 as it expands its search for new oil deposits. Continue reading
Molycorp Q4 Loss Narrows
Molycorp, the largest U.S.-based rare earths miner, said its fourth-quarter loss narrowed to $7.9 million, or 10 cents per share, compared with $9.1 million, or 22 cents per share, a year earlier as revenue surged to $21.7 million from $2.2 million. Shares of Molycorp are higher by almost 4.3% in extended hours trading. Continue reading
Marathon Looking To Boost Oil Sands Output
Marathon Oil, the Texas-based integrated oil company, is looking to more than double its oil production at an oil sands project in western Canada. The project currently produces 155,000 of thick, high-sulfur crude per day. Continue reading
Chevron Wins Injunction In Ecuador Legal Battle
Chevron, the second-largest U.S. oil company, notched a significant legal win on Monday night when U.S. District Judge Lewis Kaplan of the Southern District of New York ruled that Ecuadorean plaintiffs cannot collect some or all of the $8.6 billion in damages they are seeking from Chevron in the U.S. or other countries. Continue reading
BP Sells $3.7B In Bonds
In an effort to take advantage of rising oil prices, BP, Europe's second-largest oil company, sold $3.7 billion in corporate bonds at various maturities denominated in U.S. dollars, the company's first dollar-denominated bond sale since late September when the company sold $3.5 billion in debt. Continue reading
Dudley Says Oil Industry Must Change To Prevent Spills
In an address to oil industry executives, BP's Bob Dudley said industry-wide changes are necessary to prevent a disaster similar to the Gulf of Mexico oil spill, the larges oil spill in U.S. history. The speech was Dudley's first to industry executives since he became CEO of Europe's second-largest oil company in October. Continue reading
Exxon, Other U.S. Firms Halt Trade With Libya
Exxon Mobil, the Dow component and the largest U.S. oil company, is among several U.S. oil majors that halted trading oil with Libya to comply with U.S. sanctions against the North African nation that is the continent's third-largest oil producer behind Angola and Nigeria. Continue reading
Repsol To Invest $768M In Alaska
Repsol YPF, Spain's largest oil company, said it is looking to spend at least $768 million to explore for oil resources in Alaska as the company looks for new markets to develop a presence in. The Spanish company will acquire stakes in Alaska's North Slope and work with GMT Exploration and a unit of Armstrong Oil & Gas. Continue reading
Arcelor Mittal, Vale Pursuing Mongolian Mine
Arcelor Mittal (MT), the world's largest steel company, and Brazil's Vale (VALE), the world's largest iron ore producer, are among six companies angling to acquire a stake in Mongolia's Tavan Tolgoi mine, the world's largest untapped coking coal deposit. Continue reading
James River Coal Spikes On Acquisition News
Shares of coal miner James River Coal surged $2.96, or 14.6%, to $23.21 after the company announced it will acquire privately held International Resource Partners for $475 million, a deal that James River said will help it boost its shipments of metallurgical coal. Continue reading
BP Re-Thinks Algeria Asset Sales
BP, Europe's second-largest oil company, is reconsidering the sale of its Algeria assets the OPEC member's energy minister said in an interview with Dow Jones. The move by BP could serve to put more stress on the British oil giant's relationship with TNK-BP, the company that wanted to acquire the assets. Continue reading
Vale Plans Fertilizer IPO For Second Half
Brazil's Vale, the world's largest iron ore maker, said it is planning to sell up to 49% of its fertilizer business in an initial public offering in the second half of this year. The company is considering a sale of 25% to 49% in the business, which Vale made $5.8 billion in acquisitions last year to bolster. Continue reading
Oil Money Still Flowing To Libya
Despite a grip on power that can only be described as tenuous, Libyan dictator Moammar Gadhafi is still reaping the rewards of his country's status as one of the world's dominant oil exporters as oil payments are still flowing to Libya's central bank despite sanctions on the country by the U.S. and European nations. Continue reading
Shell Close To Finalizing Deal For Nigerian Blocks
Royal Dutch Shell, Europe's largest oil company, is close to selling four onshore blocks in Nigeria, a move the company announced by the company last month. The sale of the block is expected to close within a few days and it appears likely they will be sold to Nigerian companies. Continue reading
Petrobras, Repsol Ink Bolivia Deals
Petrobras, Brazil's state-run oil company, and Respol YPF, Spain's largest oil company, have signed oil and natural gas exploration agreements with YPF Bolivianos, Bolivia's state-controlled oil producer. Financial details of the agreements were not disclosed. Continue reading
Computers Play Big Part In Oil Trading
Electronic trading systems operated by computers account for nearly half of the contracts traded on a daily basis at the New York Mercantile Exchange, according to Craig Donohue, CEO CME Group, which owns the NYMEX. Donohue said about 45% of the NYMEX's daily volume comes courtesy of computers with a smaller percentage than that coming from high-frequency trading systems. Continue reading
No Bonuses For Top BP Execs
BP, Europe's second-largest oil company, said both current and former top executives will receive no cash bonuses for 2010 due to Gulf of Mexico oil spill. The spill, triggered when the Deepwater Horizon rig operated by BP exploded on April 20, was the largest oil spill in U.S. history. Continue reading
Total Pays $4B For Novatek Stake
France's Total, Europe's third-largest oil company, agreed to pay $4 billion for a 12% stake in Russia's OAO Novatek in a bid to enter the competition for energy reserves in Russia's area of the Arctic Circle. As part of the deal, Total will join the Yamal liquefied natural gas consortium. Continue reading
TNK-BP Offers $8.1B For BP Stake
In another sign that it is desperate to at least partially block the partnership between BP and OAO Rosneft, TNK-BP has made an $8.1 billion offer for the 5% of BP that Rosneft is due to acquire as part of a $16 billion share swap between the two companies. Continue reading
BP Finds Its Way Back To The Gulf
The first permit issued for deepwater drilling in the Gulf of Mexico since the Gulf oil spill in April 2010 was awarded to Texas-based Noble Energy this week. At least that is how things appeared. To be sure, Noble (NBL) will manage the day-to-day operations at the Santiago well, but a familiar, if not villainous name is also involved. Continue reading
Credit Suisse: Oil May Fall On Saudi Supply Boost
Global oil prices will probably slide below the $100 a barrel level as Saudi Arabia, the OPEC member and world's largest oil exporter, releases more supply into the market, according to a note published by Credit Suisse. Brent crude for April delivery closed at $115.77 a barrel today. Continue reading
Weatherford Plunges On Tax Issue
Shares of oil services provider Weatherford International fell $2.38, or 10.1%, to $21.14 today after the company said it will adjust its financial results for the previous four years by $500 million due to an internal tax issue. Nearly 105.1 million Weatherford shares changed hands compared to average daily trade of 12.3 million shares. Continue reading
Peabody Looking To Increase U.S. Coal Exports
Peabody Energy, the largest U.S. coal producer, said it is hoping to ship 24 million tons of thermal coal per year from a new shipping terminal in Washington state in an effort to raise U.S. coal exports by a third from current levels. The U.S. exported 81.5 million tons of coal last year, according to industry estimates. Continue reading
North Dakota 2010 Oil Production Surges
North Dakota, which some industry analysts and experts have speculated could one day be the second-largest oil producing behind Texas, produced 113 million barrels of oil last year, a record for the state. That beat the previous record set in 2009 by an impressive 33 million barrels. Continue reading
Chevron To Sell Stakes In Indonesia Gas Projects
Chevron, the second-largest U.S. oil company, said it is looking to sell its stakes in two deepwater natural gas projects in Indonesia, according to a recently filed 10-K. The move would reduce Chevron's interests in the the Gendalo-Gehem and Bangka projects to 55.1% and 54%, respectively Continue reading
Range Resources Falls On Asset Sale, Downgrade
Natural gas producer Range Resources plunged 7.3% a day after announcing plans to sell 52,000 acres in the Barnett Shale in Texas for $900 million, a move that prompted a downgrade from FBR Capital, which pared its rating on Range Resources to ''market perform'' from ''outperform.'' Continue reading
Ecopetrol Q4 Earnings Soar
Ecopetrol, Colombia's state-run oil producer, said its fourth-quarter profit surged to $1.42 billion from $875.7 million a year earlier as the company benefited from rising oil prices and increased production. Revenue rose to $5.82 billion from $4.4 billion a year earlier. Continue reading
Oil Services Names In The News Today
Select oil services names were making headlines today, not surprising given that oil prices have been commanding so much attention lately on the back of rising tensions in the Middle East. Earnings guidance and analyst were two of the catalyst behind the action in some well-known oil services stocks on Monday. Continue reading
Barron's Bullish On International Coal
Shares of International Coal, the West Virginia-based coal miner, gained 1.1% today after Barron's ran a bullish piece on the company in a ''Sizing Up Small Caps'' feature in the magazine's most recent issue. International Coal's small market cap of just over $2 billion as of Monday's close makes the company a possible acquisition target, Barron's reported. Continue reading
Conoco Decision On LNG Project Could Come In May
ConocoPhillips, the third-largest U.S. oil company, and Australia's Origin Energy could make a decision on moving forward with their $18 billion liquefied natural gas project as soon as May. The Queensland project received approval from Australian regulators earlier this month and is expected to begin production in 2015. Continue reading
TNK-BP Still Not Pleased With BP
TNK-BP, BP's joint venture with Russian billionaire investors, is still not pleased with the British oil giant, accusing the company of sabotage by failing to attend a TNK-BP board meeting last week that was scheduled to review the partnership between the two companies. Continue reading
OPEC Can Make Up For Lost Libyan Production
Lost oil production at the hands of political unrest in Libya, home to Africa's largest oil reserves, can be made up for by other OPEC members and oil-producing countries that are not members of the cartel, Qatari Oil Minister Mohammed Saleh Al Sada said, according to a report by Bloomberg News. Continue reading
Petrobras CFO Says Oil Prices Could Fall
Petrobras (PBR) CFO Almir Barbassa said oil prices could fall to as low as $70 a barrel when the unrest in Libya that has disrupted production blows over and stability is restored in the Middle East and North Africa. The comments come just a couple of days after NYMEX-traded crude briefly traded above $100 a barrel for the first time since 2008. Continue reading
Petrobras Reports Record Profit In Q4
Petrobras, Brazil's state-run oil company, reported a fourth-quarter profit of $6.39 billion up from $4.6 billion a year earlier primarily due to increased production and higher oil prices. That beat the consensus estimate of almost $5.6 billion The company's full-year profit was $21.1 billion. Continue reading
Petrobras Profit Likely To Lag Rivals
Petrobras, Brazil's state-run oil company, will likely post an increase in fourth-quarter profits when it reports those results on Friday after the close of U.S. markets, but the profit growth will probably lag the robust numbers recently posted by other global integrated oil companies. Continue reading
Valero Interested In Chevron Refinery
Valero, the largest U.S. refiner, is reportedly interested in acquiring a U.K. refinery from Chevron for $1 billion to $1.5 billion. Sources with knowledge of the matter said a deal could be reached as soon as March, according to Bloomberg News. Continue reading
BP To Sell Giant Onshore Field
BP, Europe's second-largest oil company, said it is looking to sell its two-thirds stake in Wytch Farm, the U.K.'s largest onshore oilfield, and stakes in the neighboring Kimmeridge and Wareham and oilfields as part of its plant to divest $30 billion in assets. Continue reading
BofA Says Libya Oil Output Could Completely Shutdown
Libya, Africa's third-largest oil producer, could see its oil output shuttered and remain closed for an extended time frame, according to Bank of America Merrill Lynch. Libya, home to Africa's largest oil reserves, produces about 1.6 million barrels per day. Continue reading
Transocean Posts Fourth-Quarter Loss
Transocean, the world's largest provider of offshore drilling services, posted a fourth-quarter loss of $799 million, or $2.51 a share, compared with a profit of $2.24 per share, or $723 million, a year earlier. The company cited a slowdown in demand and day rates for shallow water jackup rigs as reasons for the loss. Continue reading
Exxon, Shell Among Companies Hit By Chinese Hackers
Exxon Mobil, the largest U.S. oil company, and Royal Dutch Shell, the largest European oil company, are among the Western oil giants targeted in a series of cyber attacks by Chinese hackers that occurred over the past three years. Four other Western oil firms were also hit in the attacks. Continue reading
Saudis Would Boost Production Without OPEC Meeting
Saudi Arabia, the world's largest oil exporter, and other OPEC members are reportedly willing to boost oil production if needed without the cartel holding an emergency meeting. NYMEX-traded crude for April delivery touched $100 today on speculation that supply from Libya could be disrupted due to escalating violence in the country. Continue reading
Nomura Says Unrest Could Send Oil To $220
Nomura Holdings said if escalating political tensions in the North African nations of Algeria and Libya result in suspended oil exports, crude futures could surge to $220 a barrel, easily surpassing the July 2008 record of over $147 a barrel. NYMEX-traded crude for April delivery briefly touched $100 a barrel today before settling at $98.10. Continue reading
Apache, Chevron Suspend Aussie Work Due To Cyclone
Chevron, the second-largest U.S. oil company, and Apache, the largest U.S. independent oil and natural gas producer, said they have stopped some operations in Australia because of Tropical Cyclone Carlos. The companies halted operations in the region on Tuesday. Continue reading
Eni Stops Some Libyan Operations
Eni SpA, Italy's largest oil company, said it has halted some operations in Libya as political tensions mount in the country that is home to Africa's largest oil reserves. The company said it was forced to suspend operations related to the Greenstream pipeline, which accounts for 10% of Italy's gas needs. Continue reading
Schlumberger Halts Libya Operations
Schlumberger, the world's largest oil services company, shut down its Libyan operations amid rising political tensions in the North African country. The company added that it is restarting operations in Egypt and Tunisia following political unrest in those countries. Continue reading
Mexico Will Pare Oil, Gas Exploration
Mexico's state-run oil producer Pemex said today it will drastically reduce the number of wells used for oil and natural gas exploration this year as it shuffles plans for two of its largest onshore developments. Pemex said it will have 580 wells in operation this year, 42% lower than 2010's count. Continue reading
Holly Buys Frontier For $2.9B
Holly, the fourth-largest U.S. refiner, said it will purchase Frontier Oil for $2.9 billion to increase its access to oil. Frontier stockholders will get 0.4811 Holly share as well as a 28-cent-a-share special dividend and a reinstated 6-cent quarterly dividend, according to Bloomberg News. Continue reading
BHP Pays $4.75B For Chesapeake Assets
BHP Billiton, the world's largest mining company, said it will pay $4.75 billion to acquire 487,000 net acres of Fayetteville Shale properties owned by Chesapeake Energy, the second-largest U.S. natural gas producer, as part of the Anglo-Australian mining giant's plans to purchase more oil and gas assets. Continue reading
Rosneft Looking For More Partners
OAO Rosneft, Russia' largest oil producer, said it is looking for additional partnerships with global oil giants to boost production at various offshore projects in Russia. Russia, one of the world's top oil producers, currently depends on offshore production for just 3% of its total output. Continue reading
Shell Receives Interest In Nigerian Fields
Royal Dutch Shell, Europe's largest oil company, has reportedly received interest from several potential suitors for stakes in four of the company's Nigerian oil fields. Essar Group, Afren Plc and Perenco SA are among the potential bidders, Bloomberg News reported, citing sources with knowledge of the matter. Continue reading
BP, Statoil Halt Libya Operations
BP, Europe's second-largest oil company, and Statoil, Norway's top oil producer, said they are halting operations in Libya amid escalating political tensions in the North African country that is home to the continent's largest oil reserves. Libya is also an OPEC member. Continue reading
BP Pays $7.2B For Indian Blocks
BP, Europe's second-largest oil company, will pay $7.2 billion for stakes in 23 exploration blocks owned by India's Reliance Industries in an effort by the British oil giant to boost its footprint in the second-fastest growing major economy in the world. Continue reading
Tullow Rebuffs Cnooc In Kenya
Tullow Oil, one of the largest U.K.-based oil companies, will not partner with Cnooc, China's largest offshore oil producer, in the hunt for new oil deposits in Kenya. Tullow said Cnooc cannot be fit into its plans at the exploration stage, but a partnership could be considered once new oil is found. Continue reading
EOG Q4 Profit Slides 87%
EOG Resources, the independent oil and natural gas producer, said its fourth-quarter tumbled 87% to $53.7 million, or 21 cents a share, from $400.4 million, or $1.58 a share, a year earlier because of higher write-downs and marketing costs, but on the company's adjusted results were much better. Continue reading
Shell To Sell $1B In Africa Downstream Assets
Royal Dutch Shell, Europe's largest oil company, will sell $1 billion worth of downstream assets in 14 African countries as part of the company's plan to sell $5 billion in assets this year. The assets will be sold to Vitol Group and Helios Investment Partners LLP. Continue reading
BHP Billiton May Consider Deals Within A Year
Just days after saying it would probably not engage in large mergers and acquisitions this year, opting to invest $80 billion to expand its own mines and oil and gas fields, BHP Billiton, the world's largest mining company, could once again take a look at deals within a year. Continue reading
BP Not Pleased With Spill Claims
BP, Europe's second-largest oil company, said payouts from the $20 billion compensation fund to victims of the Gulf of Mexico oil spill are too generous. The company made the comments just a days after the Justice Department encouraged Ken Feinberg, the fund's administrator, to be a little more free with the cash. Continue reading
Chevron To Spend $500M On Transocean Rigs
Chevron, the second-largest U.S. oil company, said it will spend nearly $500 million on two rigs made by Transocean, the world's largest provider of offshore drilling services. The two drilling rigs, known as jack-ups, will be used for shallow water projects off the coast of Thailand. Continue reading
BP Aware Of Halliburton Issues Before Spill
The presidential commission investigating the Gulf of Mexico oil said today that BP, the operator of the Deepwater Horizon rig, knew that Halliburton lacked experience in well cementing as far back as 2007 and that British oil giant failed to properly supervise work performed by the oil services provider. Continue reading
Williams Soars On Spin-Off News
Williams Cos., the fourth-largest operator of U.S. oil and gas pipelines, saw its shares surge $2.32, or 8.36%, to $30.08 today on volume that was eight times the daily average after the company announced plans to split is exploration and production and pipeline businesses into two separate companies. Continue reading
Cliffs Natural Profit, Shares Soar
Cliffs Natural, the Ohio-based iron ore producer, said its fourth-quarter profit more than tripled to $384.4 million, or $2.82 a share, from $108.2 million, or 82 cents, a year earlier, topping the consensus estimate of $2.22 a share. Revenue surged 74% to $1.34 billion. Continue reading
Brazil's Proven Reserves Soared In 2010
Brazil, the second-largest oil producer in South America behind Venezuela, said its 2010 proven oil reserves rose nearly 11% 13.986 billion barrels after the country factored in the pre-salt fields such as Lula into the count. The increase is the largest in eight years for the country. Continue reading
Eni Q4 Profit Up 24%
Eni SpA, Italy's largest oil company, said its fourth-quarter profit rose 24% to $2.32 billion as the company said higher oil prices and increased demand helped bolster the results, similar comments to what investors have been hearing from other oil majors this earnings season. Continue reading
Devon Energy Q4 Profit Falls
Devon Energy, the Oklahoma-based independent oil and natural gas producer, said its fourth-quarter profit slid 16% to $562 million, or $1.29 per share, from $667 million, or $1.49 per share, a year earlier as revenue fell by 13% to $2.14 billion. The company said the results were hampered by charges related to hedges used to protect against fluctuating energy prices. Continue reading
BHP Favors Expansion Over Deals
BHP Billiton, the world's largest mining company, may not be keen to make a big acquisition after being scorned in some recently attempted deals, but the company said it will spend $80 billion to expand its own assets, including coal and iron ore mines and oilfields. Continue reading
Ecuador To Pursue Chevron In Other Countries
After winning a judgment worth between $8.2 billion and $9 billion against Chevron, the second-largest U.S. oil company, lawyers for the Ecuadorean plaintiffs realize they may not be able to collect the judgment in the Central American country and plan to pursue additional legal action against Chevron in other nations. Continue reading
BP Facing Another Spill Suit
Pension funds and other major investors that are pursuing a class-action lawsuit against BP related to the Gulf of Mexico oil spill are now alleging the British oil giant reduced spending on safety measures prior to the spill and that the company ignored safety warnings from its own staff. Continue reading
Exxon's 2010 Reserves Soar
Exxon Mobil, the largest U.S. oil company, said it added 3.5 billion barrels of oil equivalent to its 2010 reserve total, bringing the company's reserves of oil and natural gas to 24.8 billion barrels. The addition of 3.5 billion barrels is twice what the company produced last year and represents the highest total since the 1999 merger with Mobil. Continue reading
Barron's Bullish On Devon Energy
Following the sale of billions of dollars worth of international and offshore assets, the Wall Street crowd is undervaluing Devon Energy, one of the largest U.S.-based independent oil and gas producers, according to the most recent issue of Barron's, the financial news magazine. Continue reading
Ecopetrol Acquires Shell Stake In Cano Sur Block
Ecopetrol, Colombia's state-run oil company, said it will acquire Royal Dutch Shell's 50% stake in the Cano Sur exploration block in the South American country, making Ecopetrol the sole owner of the block. Financial terms of the transaction were not disclosed by either company. Continue reading
Chevron To Appeal $8.2B Ecuador Ruling
Chevron, the second-largest U.S. oil company, said it will appeal a ruling by an Ecuadorean court that levied at least $8.2 billion in damages against the company for allegedly creating wastewater that was dumped into the Amazon River over two decades ago. Continue reading
GE Buys Well Support Business For $2.8B
Dow component General Electric will pay $2.8 billion to acquire the well-support business of Scotland-based John Wood Group Plc in the latest move by the industrial conglomerate to boost its offering of oil services at a time when crude prices are expected to rise to $100. Continue reading
Petrobras To Spend $4.6B On 7 Rigs
Petrobras, Brazil's state-run oil company, said it has approved a contract that will see the company spend $4.6 billion on seven rigs to be used for deepwater drilling. Brazil-based Estaleiro Atlantico Sul was the winner of the bidding process, Petrobras said. Continue reading
Rio Tinto Sees Higher Copper Prices
Rio Tinto, the world's third-largest mining company, is expecting copper prices will continue to surge as demand increases. Copper traded in London has risen 52% in the past year due to a pickup in global economic activity. Rio Tinto is expecting the copper shortage seen last year will increase this year and next year. Continue reading
Total Q4 Profit Slips 2%
Total SA, Europe's third-largest oil company, said its fourth-quarter profit fell by 2% due to flat production and a charge the company had to take in its refining unit. On adjusted basis, Total said its profit in the quarter rose, but unlike most of its rivals, the French company was not able to translate higher oil prices into higher profits on a non-adjusted basis. Continue reading
ConocoPhillips Boosts Capital Spending, Dividend
ConocoPhillips, the third-largest U.S. oil company, said it will increase its capital spending in 2011 by 21% to $13.5 billion with $12 billion of that sum devoted to exploration and production projects. The announcement comes just weeks after the company reported a 60% jump in fourth-quarter profits. Continue reading
BP/Rosneft Deal On Hold Until March
A London court has extended the injunction delaying BP's controversial $16 billion share swap with OAO Rosneft, Russia's largest oil company, until March. BP, Europe's second-largest oil company, said that an arbitral tribunal has set a final hearing for the week of March 7. Continue reading
Anadarko Makes Ghana Oil, Gas Discovery
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, said made yet another African discovery, this time announcing it encountered oil, condensate, and natural gas in a well of the coast of Ghana. The well that found the oil was drilled to a total depth of about 10,400 feet, in about 2,850 feet of water, according to the Associated Press. Continue reading
Israel Production Helps Noble Boost Q4 Profit
Noble Energy, the independent oil and natural gas producer, said its fourth-quarter profit jumped to $52 million, or 29 cents a share, compared with $8 million, or $1.01 a share, a year earlier due to rising oil prices and increased demand in the U.S. and Israel. Continue reading
Chinese Hackers Target Western Oil Companies
A group of Chinese computer hackers allegedly stole sensitive information from several major Western oil companies, according to McAfee, the maker of computer security software. The news is the latest in a round of rogue Internet actions tied to China. Continue reading
Chevron Makes Another Gorgon Gas Discovery
Chevron, the second-largest U.S. oil company, announced another natural gas discovery in the Gorgon field off the coast of western Australia, the company's tenth discovery in the region in the past 18 months. The latest discovery could prompt Chevron to expand the almost-$43 billion Gorgon project. Continue reading
Statoil Pares Production Forecast
Statoil, Norway's largest oil company, lowered its 2011 and 2012 oil and natural gas production targets due to issues at several key fields. The company is forecasting a compound annual production growth rate of 3%, which equals 2 million barrels of oil equivalent per day, according to the Financial Times. Continue reading
Lawyers Say Transocean Shares Spill Blame
Lawyers for victims of the Gulf of Mexico oil spill, the largest spill in U.S. history, say that Transocean, the world's largest provider of offshore drilling services, shares in the blame for the spill. The company owned the Deepwater Horizon rig, which was operated by BP. Continue reading
Encana In $5.4B Deal With PetroChina
Encana, Canada's largest natural gas producer, will sell half of its Cutbank Ridge gas assets to a unit of PetroChina, China's largest oil producer, for $5.4 billion, the companies said. The deal, the latest move by a Chinese firm to get its hands on Canadian energy assets, must be approved by regulators in both countries. Continue reading
Anadarko Announces Another Mozambique Find
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, said its Tubarao well off the coast of the African nation of Mozambique made another significant gas discovery in the region, the fourth for Anadarko. The well, which encountered a gas-rich zone more than 110 feet long, was drilled to nearly 14,000 feet, including almost 3,000 feet of water, according to the Houston Chronicle. Continue reading
Transocean Plans $750M Dividend
Transocean, the world's largest provider of offshore drilling services, said it plans to pay a $750 million dividend this year after Swiss courts blocked the company from making a $1 billion shareholder payout following the Gulf of Mexico oil spill. Transocean was the owner of the Deepwater Horizon rig. Continue reading
Barron's Bullish On Royal Dutch Shell
In its Weekday Trader column, financial news magazine Barron's touted shares of Royal Dutch Shell, the largest European oil company, saying the ''stands out among its big-oil peers as the best-of-breed play on the sector.'' Barron's highlighted Shell's growth at a reasonable price and 4.1% dividend yield. Continue reading
ConocoPhillips Wraps Up Lukoil Sale
ConocoPhillips, the third-largest U.S. oil company, said on Tuesday that it has completed the sale of its almost-20% interest in Russia's OAO Lukoil Holdings as part of its plan to reduce debt and shore up its balance sheet through various asset sales. Continue reading
Ecopetrol Says It Found Oil In Putumayo
Ecopetrol, Colombia's state-run oil producer, said that it has proven the presence of hydrocarbons at the exploratory well Tinkhana-1 located in the western region of Colombia known as Putumayo. The company owns a 100% interest in the well. Drilling commenced in November at depths of over 6,800 feet, the company said. Continue reading
Ensco To Acquire Pride International For $7.3B
Ensco Plc, the U.K.-based provider of drilling services, said it will acquire Texas-based rival Pride International for $7.3 billion in a deal that will create the world's second-largest provider of drilling services behind Switzerland-based Transocean (RIG). Continue reading
Chesapeake Plans To Raise $5B Through Asset Sales
Chesapeake Energy, the second-largest U.S. natural gas producer, said it plans to raise $5 billion by selling its assets in the Fayetteville Shale in Arkansas along with investments in two companies in an effort to raise to reduce its debt burden. The sale of the Fayetteville acreage could be worth up to $4.6 billion. Continue reading
Petrobras Scraps Bid For Eni's Galp Stake
Petrobras, Brazil's state-run oil giant, has scuttled discussions with Eni SpA, Italy's largest oil company, regarding the acquisition of the company's stake in Portugal's Galp Energia. Petrobras said in January it was in talks with Eni to acquire its 33% stake in Galp for up to $5.6 billion. Continue reading
Investors Want Rio Tinto To Conserve Cash
Rio Tinto, the world's second-largest iron ore maker, is expected to report a full-year profit of $14 billion on Thursday when it delivers fourth-quarter and full-year results, a number that will surely be helped by rising commodities prices, but investors are clamoring for the company to return some of that cash to shareholders. Continue reading
Hayward May Join Abu Dhabi Firm
Former BP CEO Tony Hayward is reportedly in talks to lead a new oil and gas company backed by investors from Abu Dhabi, one of the more resource-rich states in the United Arab Emirates. Press reports have said the firm may be backed by Abu Dhabi's $800 billion sovereign wealth fund, the Abu Dhabi Investment Authority. Continue reading
Petrobras To Devote $4.5B To Research
Petrobras, Brazil's state-run oil company, may spend up to $4.5 on research over the next five years in a bid to bolster technology used to explore for oil in deepwater locations. Spending on research could prove critical to the company's efforts to extract more oil from Brazil's pre-salt fields in the coming years. Continue reading
BP In Talks To Acquire Stake In Reliance Block
BP, Europe's second-largest oil company, is reportedly in talk's with India's Reliance Industries, that country's largest company by market value, about acquiring a stake in a Reliance exploration block off the coast of east India. Sources with knowledge of the matter did not disclose a price tag for the deal. Continue reading
Transocean Takes $1B Q4 Charge
Transocean, the world's largest provider of offshore drilling services, said it took a fourth-quarter charge of $1.01 billion as weak demand reduced the value of its shallow-water fleet. On a per share basis, the charge works out to be $3.16. The company is scheduled to deliver fourth-quarter results on Feb. 23. Continue reading
Shell Halts 2011 Alaska Plans
Royal Dutch Shell, the largest European oil company, canceled plans to start drilling off the coast of Alaska this summer, saying it remains uncertain about when it will receive the necessary regulatory permits to begin the project. The company's plans to drill in the Beaufort Sea came under scrutiny following the White House's moratorium on deepwater drilling, which was imposed after the Gulf of Mexico oil spill. Continue reading
Diamond Offshore Q4 Profit Falls
Diamond Offshore, the provider of contract rig services, said its fourth-quarter profit fell 12% to $241.7 million, or $1.74 per share, compared with $276.1 million, or $1.98 per share, a year earlier as revenue slipped 6% to $840.9 million. The company also declared a special dividend of 75 cents a share, payable on Feb. 28 to shareholders of record on Feb. 11. Continue reading
NOV Q4 Profit Tops Estimates, Bullish On 2011
National Oilwell Varco, the largest U.S.-based supplier of drilling equipment, said its fourth-quarter profit rose 12% and the Houston-based company offered up a bullish outlook for 2011 on the back of increased activity in North American shale plays and an expected uptick in offshore drilling. Continue reading
Anadarko Looking For More Oil In Kenya
Anadarko Petroleum, the Texas-based independent oil and natural gas producer, is among three companies that will carry out seismic surveys in Kenya this year with the hope of discovering more oil in the African nation. U.K.-based Tullow Oil and Kenya's state-run National Oil Corp. of Kenya are also expected to perform seismic studies. Continue reading
Bank Expects Brisk Pace Of Brazilian Oil Deals
Scotia Waterous, the energy mergers and acquisitions business of Canada's Bank of Nova Scotia, said it expects billions of dollars worth of deals for Brazilian oil assets this year as global oil companies either look to sell their assets in the South American country or seek to tap into the country's flourishing oil business. Continue reading
BP Refinery Sales CouldFace Antitrust Scurtiny
BP's plans to sell refineries in Carson, California and Texas City, Texas could come under regulatory scrutiny from the Federal Trade Commission if the potential buyer or buyers already have significant refining operations in the U.S. The British oil giant announced it is selling the refineries on Tuesday. Continue reading
Marathon Q4 Profit Almost Doubles
Marathon Oil said its fourth-quarter profit surged to $706 million from $355 million a year earlier as higher oil prices and improved refining margins helped bolster the results. Marathon said fourth-quarter gross margins for its refining-and-marketing segment were 8.99 cents per gallon, nearly 15 times more than a year earlier, according to the Wall Street Journal. Continue reading
BP To Delay Several Projects
BP, the largest oil and natural gas producer in the U.S., said it will delay a pair of projects in the Gulf of Mexico and one in Alaska following the Gulf of Mexico oil spill. CEO Bob Dudley made the announcement in a presentation to investors and analysts today in London. Continue reading
Anadarko Says It's Largest Eagle Ford Producer
Anadarko Petroleum said it is the largest producer in the oil-rich Eagle Ford Shale in south Texas after boosting its production there in the fourth quarter sixfold compared with the same period in 2009. The company said drilling in shale plays such as Eagle Ford is now highly profitable due to higher oil prices. Continue reading
BP Q4 Profit Rises, Dividend Partially Restored
BP, Europe's second-largest oil company, reported a fourth-quarter profit of $5.6 billion, compared with $4.3 billion a year earlier, but that was not enough to prevent the company from posting a full-year loss, its first in 20 years, of $3.7 billion. That compares with a 2009 profit of $16.6 billion. Continue reading
BP To Sell U.S. Refineries
BP, Europe's second-largest oil company, said it plans to sell two U.S. refineries, halving its U.S. exposure to that business as the company attempts to raise more cash through asset sales and focus more processing heavy crude oil. The company has been selling assets to pay for expenses related to the 2010 Gulf of Mexico oil spill. Continue reading
Exxon, Rosneft In $1B Black Sea Deal
Exxon Mobil, the largest U.S. oil company, and OAO Rosneft, the Russian state-run oil producer, announced a $1 billion partnership that will see the two oil giants team-up to explore for oil in the Black Sea. Exxon will invest $1 billion in Rosneft for a joint-operated oil venture in the Tuapse Trough. Continue reading
Anadarko Q4 Profit Slides, But Tops Estimates
Anadarko Petroleum, the independent oil and gas producer that owns a 25% non-operating interest in the now infamous Macondo well project, said its fourth-quarter profit fell to $111 million, or 22 cents per share, from $229 million, or 46 cents per share. Continue reading
Cnooc Acquires More Chesapeake Shale Assets
Cnooc, China's largest offshore exploration firm, said it will pay $570 million for a one-third stake in Chesapeake's Niobrara shale project, marking the second shale day between the two companies since November. Niobrara is widely believed to be one of the more oil-rich U.S. shale deposits. Continue reading
Exxon Mobil Q4 Earnings Surge, Top Estimates
Exxon Mobil, the largest U.S. oil company, said its fourth-quarter profit soared 53% as the company echoed the same themes mentioned by its rival in recent earnings reports: Higher oil prices and increased demand for the commodity spurred profits during the quarter. Continue reading
Shell Evacuating Egypt Staff
Royal Dutch Shell, the largest European oil company, is planning to move its international staff and their families out of Egypt on Sunday amid rising political tensions in the North African country. About 60 Shell families are awaiting final approval from Egyptian authorities to depart the country. Continue reading
TNK-BP May Block Dividend
TNK-BP, the joint venture between BP and Russian oligarchs, is mulling a halt to $1.8 billion in dividend payments as the dispute between the Russian venture and Europe's second-largest oil company over the latter's $16 billion share swap with OAO Rosneft, Russia's state-run oil producer, intensifies. Continue reading
BP Investors Want Dividend Back
Clamoring for the return of the company's dividend, BP shareholders want the company to speed up asset sales to generate the cash necessary to restore the payout. BP suspended its dividend last year to conserve cash following the Gulf of Mexico oil spill. Continue reading
Apache Continues Egypt-Induced Tumble
Apache, the largest U.S. independent oil and gas producers, saw its shares slide 8.6% last week as political tensions and violent protests in Egypt escalated. Texas-based Apache has one of the largest footprints in the North African country of any Western oil company. Continue reading
Alpha Natural Close To $7B Deal For Massey
Alpha Natural Resources, the third largest U.S. coal producer, is reportedly close to acquiring rival Massey Energy for $7 billion. Massey, the largest coal producer in central Appalachia, closed with a market value of $5.84 billion on Friday. The Alpha Natural offer would value Massey at $68-$69 a share, well above the $57.23 closing price on Friday. Continue reading
Chevron Q4 Profit Rises, But Reserve Replacement Disappoints
Chevron, the second-largest U.S. oil company, said its fourth-quarter profit rose to $5.32 billion, or $2.64 a share, from $3.1 billion, or $1.53 a share, a year earlier, on higher oil prices and increased demand, but investors were disappointed the top-line number and news of a low reserve replacement ration and sent Chevron shares lower on Friday. Continue reading
Petrobras Could Double Production Before 2020
Petrobras, Brazil's state-run oil producer which is seeking to double its oil output by 2020 by spending hundreds of billions of dollars to tap into Brazil's pre-salt oil discoveries, might be able to achieve that production target earlier than expected, according to CEO Sergio Gabrielli. Continue reading
Murphy Oil Shares Plunge On Earnings Miss
Shares of Murphy Oil plunged $7.49, or 10.2%, to close at $65.74 today after the company reported a fourth-quarter profit that missed Wall Street estimates. Murphy earned $174.1 million, or 90 cents per share, compared with $318 million, or $1.65 per share, a year earlier. The profit report was released Wednesday after the close of U.S. markets. Continue reading
Potash Q4 Profit Jumps, Raises Guidance
Potash Corp. of Saskatchewan, the world's largest fertilizer producer, said its fourth-quarter profit doubled thanks to higher prices and increased demand for crop nutrients. The company raised its first-quarter and full-year guidance as it expects farmers around the world to plant more crops to meet rising global food demand. Continue reading
TNK-BP Investors File To Block BP-Roseneft Deal
Russian investors in TNK-BP, BP's joint venture in that country, are asking a British court to block the $16 billion share swap between Europe's second-largest oil company and OAO Rosneft, a Russian state-run oil producer. TNK-BP is claiming it has exclusive rights to pursue business in Russia with BP. Continue reading
Refining Business Hurts Hess Q4 Profits
Hess said its fourth-quarter tumbled due to higher costs, investment write-downs and an unprofitable quarter for its refining business. New York-based Hess said it earned $58 million, or 18 cents per share, compared with $358 million, or $1.10 per share, a year earlier. Revenue rose to $8.69 billion from $8.56 billion. Continue reading
Exxon Strikes Out On 3 Brazil Wells
Exxon Mobil, the largest U.S. oil company, confirmed today that three high-cost exploration wells the company drilled off the coast of Brazil came up dry, a surprising failure for the company given that rivals have been successful in finding oil in Brazil's coastal areas. Continue reading
Saudi Arabia May Raise 2011 Oil Output
Saudi Arabia, the world's largest oil exporter, may increase its 2011 oil production by 3.4%, according to a Saudi Bank. Banque Saudi Fransi said the kingdom could pump 8.48 million barrels a day, from 8.2 million in 2010. That compares with an average of 9.1 million barrels per day produced from 2004 to 2008, the bank said, Bloomberg News reported. Continue reading
Occidental Q4 Profit Jumps 29%
Occidental Petroleum, the fourth-largest U.S. oil company, said its fourth-quarter profit rose by 29% due to increased production and higher oil prices, but the results failed to meet Wall Street expectations and the shares closed lower on Wednesday. The company said it is planning 2011 capital expenditures of $6.1 billion, well above the $3.9 billion spent last year. Continue reading
ConocoPhillips Q4 Profit Soars
ConocoPhillips, the third-largest U.S. oil company, said its fourth-quarter earnings soared 60% thanks to higher oil prices and increased demand amid a recovering global economy. Higher oil prices helped Conoco offset a decline production felt from asset sales. Continue reading
Brazil's HRT Wants To List In North America
Brazilian oil company HRT Participacoes em Petroleo SA said it would like to eventually list its shares in New York and Toronto as part of its plans to be one of the largest independent oil producers in the world. The comments were made by HRT CEO Marcio Rocha Mello on Tuesday. Continue reading
Peabody Energy Offers Tepid Outlook
Peabody Energy, the largest U.S. coal producer, said today that the worst flooding to hit Australia's Queensland state in several years will crimp production in the current quarter, forcing the Missouri-based company to lower its profit outlook for the period. Continue reading
Baker Hughes Q4 Profit Surges
Oil services firm Baker Hughes said its fourth-quarter profit almost quadrupled thanks to higher oil prices, improving demand in North America and its 2010 acquisition of BJ Services. The company echoed sentiments by rivals that have recently delivered results in saying North America was a key catalyst for their robust fourth-quarter numbers. Continue reading
Asset Sales Hurt Conoco's Reserves
ConocoPhillips, the third-largest U.S. oil company, said its plan to raise cash and reduce its debt load by selling assets reduced its 2010 oil and gas reserves by 2.2 billion barrels of oil equivalent. Among the assets being sold by Conoco are its stake in Russian oil giant Lukoil. Continue reading
Chevron Finds Oil Off Congo
Chevron, the second-largest U.S. oil company, said it discovered oil at two exploration wells off the coast of the Republic of Congo, perhaps adding new reserves to the company's existing operations in the area. Chevron has previously been active in Africa and currently does business in Nigeria, Liberia and Sierra Leone, among other African countries. Continue reading
Ecopetrol 2010 Reserves Jump 11.4%
Ecopetrol, Colombia's state-run oil producer, said its net proven reserves of oil at the end of 2010 surged 11.4% to 1.7 billion barrels. The company, Colombia's largest by market value, said it added 1.93 barrels in reserves for each barrel of oil equivalent produced. Continue reading
BP Guilty Of Racketeering, Lawyers Say
BP, Europe's second-largest oil company, violated civil racketeering laws by committing a string of safety violations that led to the Gulf of Mexico oil spill in April 2010, the worst oil spill in U.S. history, according to a pair of lawyers suing the British oil giant. Continue reading
Transocean Appeals Dividend Ruling
Transocean, the world's largest provider of offshore drilling services, said today it is appealing a 2010 ruling by a Swiss court that barred the company from paying a dividend due to the potential for unknown liabilities stemming from the company's roll in the Gulf of Mexico oil spill. Continue reading
Halliburton Q4 Profit Surges
Halliburton, the world's second-largest oilfield services provider, said its fourth-quarter profit more than doubled and revenue surged 40% as higher oil prices helped bolster demand for the company's services in the key North America market. Continue reading
Exxon To Invest In German Gas Project
Exxon Mobil, the largest U.S. oil company, may invest hundreds of millions of euros in a German gas project. Gernot Kalkoffen, chairman of Exxon's central European business, told German business daily Handelsblatt that the company believed the state of North Rhine-Westphalia has a vast reserves of gas to drill. Continue reading
Hayward May Join Glencore
Former BP CEO Tony Hayward, who was forced to leave his post with the British oil giant for his mishandling of the Gulf of Mexico oil spill, is reportedly in talks with British commodities firm Glencore about a board seat with that company. Glencore is considering selling shares to the public this year and needs to reshuffle its board ahead of that event. Continue reading
India Could Challenge Rio's Riversdale Bid
Several state-run Indian energy producers could decide as early as next week to mount a challenge to Rio Tinto's $3.9 billion takeover offer for Australia's Riversdale Mining, a deal that has been approved by India's Tata Steel, one of Riversdale's largest shareholders. Continue reading
Forest Oil To Reduce 2011 Spending
Forest Oil, the Colorado-based independent oil and natural gas producer, said it will spend $600 million and $650 million on capital projects this year, 10% below a previous forecast, as the company focuses most of its exploration efforts on projects in Canada and Texas. Continue reading
Petrobras Bonds Face Risks, Credit Suisse Says
Bonds issued by Petrobras, Brazil's state-run oil company, face oversupply risks in the coming years because the company is likely to tap the debt markets for even more cash, according to Credit Suisse. The bank made the statements a day after Petrobras sold $6 billion in bonds at three different maturities. Continue reading
Schlumberger Q4 Profit Rises, Warns On Q1
Schlumberger, the world's largest oilfield services company, said its fourth-quarter profit jumped 30%, but the company said its first-quarter results will lag those posted in the previous quarter sending the stock lower on Friday. Seasonality in Russia was cited as one reason the company first-quarter earnings are likely to drop on a sequential basis. Continue reading
Rosneft Could Boost BP Stake
OAO Rosneft's recently acquired and highly controversial 5% stake in BP, Europe's second-largest oil company, for which the Russian state-run oil producer paid $7.8 billion, could increase if the partnership between the two oil giants proves successful. The companies will explore three blocks in the Russian area of the Arctic Circle as part of a $16 billion share swap announced last week. Continue reading
Petrobras Sells $6B In Bonds
Petrobras, Brazil's state-run oil company, sold $6 billion in bonds at varying maturities on Thursday after investor demand prompted the company to boost the offering from an initial size of $3 billion. On Wednesday, press reports said investor demand had climbed as high as $11 billion for the offering. Continue reading
Hamm Says Bakken Estimates Too Conservative
Billionaire oilman Harold Hamm said the Bakken Shale region of Montana and North Dakota may hold about 20 billion barrels of recoverable crude and the natural gas equivalent of 4 billion barrels of oil, highlighting the fact that government estimates about the bounty of Bakken's reserves may be too conservative. Continue reading
Occidental Wins $10B Shah Gas Contract
Occidental Petroleum, the fourth-largest U.S. oil producer, won a $10 billion contract from Abu Dhabi to jointly develop the massive Shah gas field with Abu Dhabi National Oil Co. California-based Occidental will own 40% of the project and Adnoc will own the rest. Continue reading
Renewables To Outpace Oil Growth By 2030, BP Says
Renewable energy sources will outpace oil demand by 2030 due to an expected 40% increase in global energy consumption, according to a report by BP, Europe's second-largest oil company. BP cited the rapidly expanding economies of the BRIC nations - Brazil, Russia, India and China - as the drivers behind increased demand for renewable energy sources. Continue reading
PetroChina To Step Up Acquisition Hunt
China National Petroleum Corp., the parent company of PetroChina, the country's largest oil producer, said it will increase its pace of acquisitions over the next five years to meet China's soaring oil demand. The company is most likely to pursue international acquisitions given declining production at domestic fields. Continue reading
Demand For Petrobras Bonds Is Robust
Demand for a new debt offering by Petrobras, Brazil's state-run oil producer, is approaching $11 billion, easily surpassing the $3 billion the company plans to issue. The strong demand could encourage the company to issue more than $5 billion in bonds maturing in five, 10 and 30 years, Reuters reported. Continue reading
Brazil Fields Have Double The Oil Of Previous Estimates
A study by a former Petrobras geologist shows Brazil's pre-salt oil fields may hold 123 billion barrels of reserves, more than double the government's estimates. Hernani Chaves led a research group that actually set to prove the government's estimates were too optimistic and realized the estimates were far too low. Continue reading
Qatar Replaces Oil Minister
Qatar, one of the 12 members of the Organization of Petroleum Exporting Countries (OPEC) has replaced Abdullah Al Attiyah as the country's oil minister in a surprising move to reorganize the country's cabinet. Attiyah will keep his post of deputy prime minister and has been appointed chairman of the Emir's court, the Wall Street Journal reported. Continue reading
BP Reviewing Contractor Relationships
BP, Europe's second-largest oil company, is reviewing its relationships with contractors involved in the Gulf of Mexico oil spill, including Transocean, the world's largest provider of offshore drilling services, according to a filing with the Securities and Exchange Commission. Continue reading
FBR Bullish On Transocean
In a note to investors today FBR Capital Markets analyst Robert MacKenzie boosted his price target on Transocean, the world's largest provider of contract drilling, services to $96 from $70, saying the shares are continuing to reverse a trend that has seen Transocean lag its rivals. Continue reading
Bidding Heats Up For Massey
Alpha Natural Resources, the third-largest U.S. coal producer, and Arch Coal are said to be the most legitimate rivals in pursuit of Massey Energy, the largest coal producer in central Appalachia, according to the Wall Street Journal. Sources familiar with the matter believe Massey will make a decision by the end of January regarding a sale. Continue reading
Apache To Resume Van Gogh Output This Month
Apache, the largest U.S. independent oil and gas producer, said it will resume production at its Van Gogh field off western Australia later this month after completing repairs to one of the production vessels being used on the project. Texas-based Apache said the production restart will depend weather conditions in the region. Continue reading
Flooding Will Hamper Aussie Coal Sales
Australia could lose up to $2.3 billion in coal sales due to the Queensland floods, the worst flooding the country has seen in at least several years. At full production, the coal industry is worth $8.5 million a day to Queensland state, according to the Sydney Morning Herald. Continue reading
OPEC Members Violating Own Quotas
Members of the Organization of Petroleum Exporting Countries (OPEC) are violating their production quotas, pumping more oil as prices for the commodity continue to rise. Daily output from the 11 members bound by quotas rose 129,000 barrels a day to 26.776 million barrels a day in December, according to Bloomberg News. Continue reading
Not Yet On Higher OPEC Output, Goldman Says
Goldman Sachs says it is unlikely that the Organization of Petroleum Exporting Countries (OPEC) will start boosting output anytime soon because of rising oil prices and inventories that still hover above their five-year averages. Oil's ascent in the past year and forecasts calling for the return of $100 prices have sparked concerns about the impact higher prices will have on global economic growth. Continue reading
Hedge Funds Continue To Increase Bullish Oil Bets
Hedge funds and other large speculators continue to raise their bullish bets on crude oil futures, increasing their net-long positions by 12% for the week ending Jan. 11, according to data provided by the Commodities Futures Trading Commission. It was the biggest advance since the week ended Dec. 7, according to Bloomberg News. Continue reading
BP Wins 4 Australian Permits
BP, Europe's second-largest oil company, won four permits to explore for oil off the coast of southern Australia. Australia's government is looking to boost oil production and said it performed extensive due diligence of BP's ability to follow strict safety and environmental procedures. Continue reading
TNK-BP Worried About BP/Rosneft Deal
TNK-BP, the joint venture between Europe's second-largest oil company and Russian investors, is protesting the British oil giant's deal with OAO Rosneft, a Russian state-run oil producer, saying the deal could represent TNK-BP's shareholder agreement with BP. Continue reading
BP, Rosneft In $7.8B Arctic Alliance
BP, Europe's second-largest oil company, will exchange a $7.8 billion in the company for 9.5% OAO Rosneft, the Russian state-run oil producer, a deal that will see the companies combine resources to bolster oil production in the Arctic Circle. Rosneft will own 5% of the British oil giant. Continue reading
More Charges Could Be Coming For Spill Firms
Companies involved in the Gulf of Mexico oil spill could be facing more charges from the Justice Department. DOJ said more charges against named or not named in the department's original lawsuit could be brought. The comments were made by Ignacia Moreno, head of the department?s environment and natural resources division, at a press briefing in Washington, D.C. today. Continue reading
Marathon Surges On Spin-Off Announcement
Marathon Oil, the Texas-based integrated oil firm, saw its shares jump 6% and touch a new 52-week high today after announcing plans to split its downstream and exploration and production businesses, a plan that was scrapped in 2009 due to the global financial crisis. Continue reading
Exco Looks For Other Suitors
Exco Resources, the Texas-based natural gas producer, is looking for alternatives to CEO's Douglas Miller's $4.36 billion takeover offer and has adopted a shareholder rights plan that would put new requirements on entities that try to gain more than 10 percent of its shares, Bloomberg News reported. Continue reading
Transocean Settles First Spill Lawsuit
Transocean, the world's largest provider of offshore drilling services, settled the first lawsuit related to the explosion of the Deepwater Horizon rig in April 2010, which led to 11 deaths and the largest oil spill in U.S. history. Switzerland-based Transocean was the rig's owner. Continue reading
Shell Hit With Another Arctic Setback
The hopes of Royal Dutch Shell, Europe's largest oil company, to commence drilling this year in Alaska's Arctic region were dealt another blow on Wednesday when the company said it might take all of this year and next year to resolve matters surrounding the company's application for a clean air permit, the final, but most essential of the permits Shell needs to start drilling. Continue reading
Petrobras Gas Sales Reach Record
Petrobras, Brazil's state-run oil company, said its gasoline sales in Brazil reached a record in December as the fastest-growing economy in South America helped spur demand for fuels. The company sold an average of 399,000 barrels of gasoline per day last month, topping the previous record set in March 2010. Continue reading
Exxon Still Hunting For Shale Buys
Exxon Mobil, the largest U.S. oil company, said it will continue to look for ways to increase its exposure to unconventional energy assets such as shale oil and gas deposits. Further acquisitions would follow the company's 2010 purchase of XTO Energy, a major shale gas producer, a deal that made Exxon the largest U.S. natural gas company. Continue reading
PetroChina 2010 Profit Surges 30%
PetroChina, China's largest oil company, said its full-year 2010 profit jumped 30% to $25.4 billion thanks to rising oil prices. The company did not disclose whether that figure is before or after taxes. For 2009, the company posted a profit of $19.44 billion. Continue reading
Cliffs Acquires Consolidated Thompson For $5B
Cliffs Natural Resources, one of the largest U.S. iron ore producers, said it will purchase Canada's Consolidated Thompson Iron Mines for almost $5 billion in cash to bolster its access to raw materials that are in high demand by Asian customers. The deal is the largest ever for the Ohio-based company. Continue reading
Asia Rig Use Climbs 11% In 2010
Demand for oil rigs used in Asia jumped 11% last year as energy producers ramped up production amid rising oil prices and higher demand from some of the fastest growing economies in the world, according to oil services firm Baker Hughes (BHI). An average of 269 rigs were used in the region last year compared with 243 in 2009, the company said. Continue reading
BP Raises Rumalia Output By Over 10%
BP, Europe's second-largest oil company, announced on Tuesday that it has increased output at Iraq's Rumalia oilfield by more than 10% to 1.066 million barrels per day, meeting a production goal the company agreed to when it won rights to re-develop the field in 2009. Continue reading
Chevron Says Q4 Profit To Top Q3 Results
Chevron, the second-largest U.S. oil company, said its fourth-quarter profit will top its third-quarter results thanks to higher oil prices and the sale of a stake in one of its pipelines. During the first two months of the quarter, the company received $77.77 a barrel for crude oil from its U.S. fields, up 7.7% from the full third quarter and 11% higher than a year earlier, the Wall Street Journal reported. Continue reading
BlackRock Adds To Massey Stake
BlackRock (BLK), the largest asset management firm in the world, has increased its stake in Massey Energy, the largest coal producer in Central Appalachia, according to 3G fillings with the Securities and Exchange Commission. Continue reading
Barclays Downgrades Exxon Mobil
Barclays Capital lowered its rating on Exxon Mobil, the largest U.S. oil company, today to ''market perform'' from ''outperform.'' Analyst Paul Cheng said there are better valuation stories among integrated oil names and that XTO's fourth-quarter performance may not show the improvement investors are hoping for. Continue reading
Marathon Should Split Businesses: Deutsche Bank
Marathon Oil, the Texas-based integrated oil firm, should consider splitting its refining and exploration businesses to unlock shareholder value Deutsche Bank said in a note to clients today. The bank also raised its rating on Marathon to ''buy'' from ''hold.'' Continue reading
Newfield Finds Oil At Eagle Ford Field
Newfield Exploration, the independent oil and gas producer, said that an assessment of its acreage in the Eagle Ford Shale in southern Texas confirms the company owns 335,000 acres on which oil can be extracted. ''All of our initial Eagle Ford assessment wells found light oil and confirmed an active petroleum system and producible oil and gas across a vast area,'' Newfield CEO Lee Boothby said in a statement. Continue reading
Barron's Bullish On BP
Financial news magazine Barron's is bullish on BP, Europe's second-largest oil company, saying the worst appears to be behind the British oil giant and that shares may once again be worth a look. While BP's shares have rebounded since the Gulf of Mexico oil spill, they are still 25% below their 52-week high. Continue reading
Hess Plans To Spend $5.6B In 2011
Hess, the New York-based integrated oil company, said it plans to spend $5.64 billion this year with 98% of that total devoted to exploration and production projects. The 2011 budget for Hess is barely above the 2010 spending level of $5.5 billion. Hess said the 2011 budget will be funded by existing cash flow. Continue reading
Iraq Continues To Boost Output
Iraq, the lone OPEC member not required to participate in the cartel's quota system, has raised its daily oil output by 300,000 barrels to 2.7 million barrels since some western oil majors won contracts to produce at some of Iraq's largest oil fields. The country is hoping to boost daily output to 3 million barrels by the end of this year. Continue reading
BP Lowers Alaska Output Due To Closed Pipeline
BP, Europe's second-largest oil company, and other oil majors active on Alaska's North Slope have been forced to shut down almost all of their output there after a leak was discovered on the Trans Alaska Pipeline. The pipeline has been closed as a result. Analysts said the shutdown of the 800-mile pipeline network could trigger a jump in oil prices unless the leak is repaired quickly, as the region represents a significant slice of domestic U.S. oil output, the Wall Street Journal reported. Continue reading
S&P Bullish On Energy, Material Sectors
In a report released today, Standard & Poor's Equity Research expressed bullish views on the energy and materials sectors for 2011, saying that oil prices will continue to outperform natural gas and gold will continue its bull run, but also noted that concerns tied to China could pressure base metals. Continue reading
Chesapeake To Cut Spending To Lower Debt
Chesapeake Energy, the second-largest U.S. natural gas producer, said it will curb 2011 spending after spending several years as one of the more aggressive spenders in the energy business. The announcement comes not even two weeks after Barclays said global energy companies will ratchet spending up by 11% to $490 billion this year. Continue reading
Tillerson Says Industry Not At Fault For Spill
In response to a report by the National Commission on the BP Deepwater Horizon Oil Spill and Offshore Drilling, the White House panel, investigating the Gulf of Mexico oil spill, Exxon Mobil CEO Rex Tillerson said the spill was caused by the rig's operators and the incident is not indicative of industry-wide problems. Continue reading
Commission Blames BP, Industry For Spill
The National Commission on the BP Deepwater Horizon Oil Spill, the panel formed by the White House to investigate the worst oil spill in U.S. history, has faulted BP and its contractors and slack government oversight of the oil industry as reasons behind the Gulf of Mexico spill. Continue reading
Bullish Bets On Oil Soar
Hedge funds and other speculators have upped their bullish wagers on crude oil futures to the highest level in more than four years, perhaps betting that $100 oil will arrive sooner rather than later as the global economic recovery continues, spurring oil demand along the way. Continue reading
Pickens Says Oil Could Go To $120 This Year
Legendary energy investor T. Boone Pickens thinks oil prices could reach $120 per barrel this year and trade above $100, not average $100 as the forecasts offered by so many analysts and banks at the end of last year estimated. Pickens said prices could average between $110 and $120 per barrel and $4 a gallon gasoline prices will be the result. Continue reading
Sinopec, Repsol Look For More Deals
China's Sinopec, Asia's largest refiner, and Repsol, Spain's largest oil company, are looking for more joint ventures across the globe after the Chinese firm invested $7.1 billion in Repsol's Latin America business in 2010. Sinopec's investment in Repsol's Latin America unit, which equals 40% of the business, was the largest international acquisition by a Chinese energy producer since 2009. Continue reading
Cnooc To Spend Up To $151B Through 2015
Cnooc, China's largest offshore oil driller, said it will spend up to $151 billion over the next five years to increase oil output and carryout international expansion plans, which could include additional acquisitions. The bottom end of the company's spending plans through 2015 is expected to be $121 billion. Continue reading
BHP Bid For Anadarko Not Likely, Analyst Says
BHP Billiton, the world's largest mining company, is not likely to bid for Anadarko Petroleum, the Texas-based independent oil and gas producer, due in part to the latter's unknown financial liabilities related to the Gulf of Mexico oil spill, according to Gimme Credit debt analyst Phil Adams. Continue reading
Chevron May Sell Some African Assets
Chevron, the second-largest U.S. oil company, is reportedly in talks with Indian energy producers regarding the sale of its downstream assets in Africa. Sources with knowledge of the situation say the talks are still in early stages. The sale is part of a plan announced by Chevron in March 2010 to sell some global assets. Continue reading
Petrobras May Buy Eni's Galp Stake
Petrobras, Brazil's state-run oil company, said it is in talks with Eni SpA, Italy's largest oil company, to buy the Italian firm's $5.5 billion interest in Portugal's Galp Energia SGPS SA. The Brazilian company said it is still reviewing the purchase of Eni's 33% Galp investment and that no final agreements have been reached as of yet. Continue reading
Massey Could Command $60 Or Higer In Takeover, Analyst Says
Massey Energy, the largest coal producer in Central Appalachia, could command a takeover price of $60 per share or higher, according to Susquehanna Financial Group. The Virginia-based company has all but put itself up for sale and press reports have said the company has held advanced talks with at least one suitor. Continue reading
Brazil Will Auction Some Presalt Rights This Year
Brazil, South America's second-largest oil producer behind OPEC member Venezuela, announced on Monday that it will hold auctions later this year for rights to develop massive offshore oilfields, including some of the country's much-heralded presalt fields. The first auction could be held in the latter half of 2011 after royalty charges and how those would be distributed are hammered out by the government. Continue reading
Marathon Terminates Noble Contract
Marathon Oil, the Texas-based integrated oil producer, has terminated a contract with Switzerland-based rig provider Noble Corp. for the deep water, semisubmersible oil drilling rig Jim Day. Both companies said that Marathon scrapped the contract because it thought the rig was not in working condition. Continue reading
Obama Eases Requirements On Some Deepwater Projects
The Obama administration on Monday said it will loosen environmental restrictions on oil and natural gas deepwater drilling projects, but reiterated that companies looking to operate deepwater projects must meet enhanced safety protocols. The administration had temporarily banned deepwater drilling following the Gulf of Mexico oil spill. Continue reading
Shell Considered Post-Spill Move On BP
Royal Dutch Shell, now Europe's largest oil company by market value, considered making a move to acquire rival BP, Europe's second-largest oil company, following the Gulf of Mexico oil spill, the Daily Mail reported, citing sources close to the Anglo-Dutch company. Continue reading
Barron's Says Thermal Coal Prices To Continue Ascent
Prices for thermal coal, the coal most often used for electric power generation, are likely to continue rising and have surged enough in the past month to make the commodity more attractive to investors than oil or natural gas, according to a report in the most recent issue of Barron's. Continue reading
BHP Could Have Other U.S. Targets, Paper Says
BHP Billiton, the world's largest mining company, could set its sights on a couple of other U.S.-based energy producers should the company not opt to pursue a bid for Anadarko Petroleum, the Texas-based independent oil and gas producer, according to the Sydney Morning Herald. Continue reading
Russian Oil Production Hits Record
Russia, the world's largest oil producer, said its 2010 oil production reached a post-Soviet era record despite the fact that December production fell below November's output. Russian output jumped 2.2% to 10.15 million barrels per day last year, a record since the fall of the Soviet Union in 1991. Continue reading
North Dakota Oil Production Could Double
North Dakota, currently the fourth-largest oil producer among U.S. states, could see its production double in the next decade after government and industry experts said the state may contain double the amount of oil and gas than previously believed. If the state does in fact double its production, it would become the second-largest oil producer in the U.S., trailing only Texas. Continue reading
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