Oil Producing Regions News

The U.S. Bureau of Ocean Energy Management (BOEM) said Friday that it would hold an oil and gas lease sale in the Gulf of Mexico in March 2023.The Gulf of Mexico Oil and Gas Lease Sale 259 will offer approximately 13,600 blocks on 73.3 million acres in the Western, Central, and Eastern Planning Areas on the U.S. Outer Continental Shelf. Lease Sale 259 was one of three offshore lease sales initially cancelled by the Biden Administration in May 2022. The subsequent Inflation Reduction Act of 2022 (IRA) mandated that BOEM hold Lease Sale 259 no later than March 31…

The first storm to hit oil-producing regions of the U.S. Gulf of Mexico this year sent workers fleeing offshore oil platforms and cut some production.A weather disturbance in the central Gulf of Mexico was expected to become a tropical storm on Friday. It was moving north at about 14 miles per hour (22 kmh) and could bring up to 12-inches of rain to the central U.S. Gulf Coast by Saturday, the National Weather Service said.Equinor ASA on Friday said it had removed staff and shut production at its Titan platform, which is about 65 miles (105 km) off the coast of Louisiana.

After what has seemed like the longest year ever, the offshore energy sector is emerging from a position of strength, from the standpoint of both economics and sustainability. Between the lockdowns implemented to reduce COVID-19, which reduced energy demand, to the oil price war between state-backed producers, 2020 was an unprecedented storm that hit the American offshore energy market. Now, there are unmistakable signs of a recovery, and policy makers in Washington, D.C. should embrace the opportunity before us to for sustained economic…

The challenging freight market during the third quarter came despite some encouraging signs with active scrapping of vessels returning (nine VLCCs scrapped plus one removed from fleet for FPSO project; six Suezmax scrapped during the third quarter) incentivized by a steel price at near three-year highs, says Euronav NV. This was supported by continued upgrades to crude oil demand with the IEA raising its forecast for 2017 from 1.2 mbpd to 1.6 mbpd over the course of the third quarter and U.S. crude exports again making further progress to record on average 933k bpd for the third quarter. However, the VLCC order book continued to expand with 13 new orders placed during the third quarter largely outpacing this re-emergence of sector discipline in scrapping.

Belgian tanker operator Euronav reported a sharp drop in core profit for the first nine months of the year as freight rates in the oil tanker sector continued to fall. Excess tonnage in the global tanker market has put pressure on freight rates, as a large wave of new deliveries this year has offset scrapping. "Freight rates remained under sustained pressure ... particularly in August as seasonally low levels of cargo and new tonnage entering the market combined to drive rates to lowest levels since 2013," Chief Executive Paddy Rodgers said in a statement.

EnerMech has secured six new or renewed cranes and lifting contracts in the UK North Sea sector valued in excess of $53.4 million. The Aberdeen headquartered mechanical engineering group agreed extensions to contracts with Apache North Sea, Maersk Oil and Marathon Oil, and first time or additional workscopes with Centrica Storage/HRL, Aker Solutions and a number of projects on behalf of Technip. The contract wins follows publication of the company’s latest accounts to December 2013 which reveal a 40% upswing in turnover, breaking the $314 million mark for the first time.

The American Salvage Association’s Jon Waldron provides the ultimate cabotage primer. There always seems to be constant chatter about waiving the Jones Act. In reality, it is a simple task to demystify the thought that it is easy to obtain such waivers. The fact that Senator Landrieu’s comments were not directed against any potential waiver of the Jones Act shows the controversy that Jones Act waivers can rise in the maritime and energy sectors. In reality, however, there exists a misconception amongst many about the ease of obtaining a waiver to the Jones Act. Accordingly, this article will discuss the requirements for obtaining a waiver, analyze key past Jones Act waivers, and look to possibilities for future Jones Act waivers.

Speaking at this year’s Offshore Northern Seas (ONS) Conference and Exhibition, Khalid A. Al-Falih, Saudi Aramco president and CEO, addressed the challenges facing the industry and gave insights into Saudi Aramco’s strategy for turning these into opportunities, informs the Middle East energy major. In his speech, Al-Falih outlined some of the chief challenges that major producers such as Saudi Aramco face, including rising project costs, critical manpower shortages, global economic weakness and political turmoil in many oil producing regions, including Africa, the Middle East and the former Soviet Union. Al-Falih said, focusing on long-term strategies for meeting the growing global need for energy and enhancing “our industry’s resilience to the kinds of shocks…

Imports of crude oil into Canada fell to a one-year low in May despite a continued climb in imports from the United States, Statistics Canada data showed on Thursday. Canada imported 16.6 million barrels in May, or around 535,000 barrels per day (bpd), from around the world, with the United States as the top supplier, followed by Norway. This compares with April imports of 17.5 million barrels, or some 583,000 bpd, and May 2013 imports of 14.3 million barrels, or around 461,000 barrels per day. While imports from a number of countries increased, including the United States, Norway and Egypt, imports from the United Kingdom, Algeria, Nigeria and Mexico mostly dropped off.

Norfolk, Va. - Amphibious assault ship USS Kearsarge (LHD 3) hosted a Senate subcommittee field hearing on energy March 12, the first time since 1960 that a Senate hearing was held aboard a Navy vessel. Senator  Jeanne Shaheen, chair of the Senate Subcommittee on Water and Power, was joined by Senator Mark Warner from Virginia. Among those who addressed the two Senators were Secretary of the Navy Ray Mabus and Former Secretary of the Navy and retired Senator John Warner. Both testified about the Navy's current strategy to reduce energy consumption and decrease its reliance on foreign oil.

Armstrong Marine, Port Angeles, WA,  delivered ‘Arctic Solution’, an impressive landing craft to transport equipment and personnel to and from oil producing regions near Prudhoe Bay, AK. ‘Arctic Solution’ was built for Arctic Marine Solutions in Seward, Alaska, to an innovative landing craft design developed by Pat Eberhard, Engineer and owner of CoastWise Corporation. This new new design is co-owned by Arctic Marine Solutions and CoastWise Engineering. When laden this 38.6 ton (85,000 lb.) vessel has an impressive sprint speed of 30 knots (Lightship 35 knots)!

A new performance standard for critical offshore operations will help North Sea oil and gas drilling operators comply with new environmental requirements. Under rules set by the North-East Atlantic regulator, OSPAR, the range of the UK Offshore Chemical Notification scheme is being extended from 1st January 2009 to include all greases used to lubricate jack-up open gearing – that raise and lower the platforms from and into the sea. The consequence for North Sea oil and gas drilling operators is that the environmental impact of all greases used will have to be established prior to use. Lubricants containing hazardous components may be excluded from use and many components used in existing greases will attract attention from the authorities.

Moody's Investors Service has confirmed the debt ratings of General Maritime Corporation ("General Maritime"), completing a review for possible downgrade that was initiated on March 29, 2004. The confirmed ratings include: $250 million senior unsecured notes due 2013, rated B1 Senior Implied rating of Ba3 Senior Unsecured Issuer rating of B1 The rating outlook is stable. General Maritime's ratings had been placed on review for possible downgrade following the announcement by the company of its proposed purchase of Soponata SA for approximately $415 million. At the time of the announcement, Moody's was concerned about the increased levels of debt associated with this acquisition and its effect on near term liquidity…

Moody's Investors Service has confirmed the debt ratings of General Maritime Corporation, completing a review for possible downgrade that was initiated on March 29, 2004. The confirmed ratings include: $250 million senior unsecured notes due 2013, rated B1 Senior Implied rating of Ba3 Senior Unsecured Issuer rating of B1 The rating outlook is stable. General Maritime's ratings had been placed on review for possible downgrade following the announcement by the company of its proposed purchase of Soponata SA for approximately $415 million. At the time of the announcement, Moody's was concerned about the increased levels of debt associated with this acquisition and its effect on near term liquidity…

U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) rose by 1.5 million barrels last week. Total commercial petroleum inventories increased by 5.0 million barrels. So how do these increases actually represent a declining inventory situation? It is by looking at the shrinking surplus to year-ago levels. Even with these increases, the petroleum inventory surplus that has existed in the United States for over a year is shrinking fast. U.S. crude oil inventories, which were about 40 million barrels above year-ago levels as recently as the week ending March 1, stand at just 3.9 million barrels above year ago levels for the week ending April 19.

Seabulk International, Inc. announced the election of Hubert E. Thyssen as Corporate Vice President, effective immediately. Thyssen, who joined the company in 1997 when it acquired the 36-vessel Care Offshore fleet of Nyon, Switzerland, will continue to serve in his capacities as Senior Vice President of International Marketing for the 133-vessel Seabulk Offshore fleet and as Managing Director of Seabulk Offshore's operations in West Africa, Europe and South America. "Hubert Thyssen is a well-known figure in the international oil services industry and a premier marketer," commented Chairman, President and Chief Executive Officer Gerhard E. Kurz.

The cyclical nature of the offshore exploration and production beast is legendary in financial circles, riding boom and bust waves for years at a time. While industry analysts and insiders alike had forecast a pick-up in activity no sooner than mid-year 2000, the collective industry is “itching” to get back to the business of building, repairing and supplying the myriad of rigs, boats and other business opportunities that abound in a full-blown boom oil market. Patience, it seems, is wearing thin, particularly in the face of dwindling business prospects and the lingering of the $30+ barrel of oil. While it seems all too natural that sustained high prices would sooner than later drive a resurgence of the moribund offshore business…