Statoil: $32.5 bln for Sverdrup Startup
Development of field could cost up to $32.5 bln; cost estimate higher than analyst forecasts. Sverdrup scheduled to start up in late 2019. Statoil's giant Johan Sverdrup oil field could cost as much as $32.5 billion, the company said in its first full estimate of the price tag to develop Norway's most expensive ever industrial project. Discovered in 2010, Sverdup is the biggest North Sea find in decades, reinvigorating Norway's oil sector where production has been declining for more than a decade. At maximum, its production would equal nearly half of Norway's current oil output. The hefty cost topped what analysts had expected, leading them to slightly downgrade the value of the project.
Teekay Boosts Quarterly Dividend 15 Percent
Oil tanker operator Teekay Corp. said Tuesday it will increase its quarterly dividend by 15 percent to 31.625 cents per share, from 27.5 cents previously. The dividend will be paid on Oct. 31 to shareholders of record on Oct. 17. The Bermuda-based company also said it will repurchase $200 million of its shares, or about 14 percent of shares outstanding based on Monday's prices. Share repurchases take a company's shares out of circulation, boosting profits that are measured on a per-share basis. Teekay shares rose $1.38, or 7.1 percent, to $20.80 on Tuesday. They're still near the low end of their 52-week range of $18.50 to $60.46. Source: Forbes
Crude Prices Down Six Percent
Oil prices fell more than $1 on Monday, knocked back by the United States' decision to tap into strategic reserves to bring a halt to this year's price rally and ensure sufficient supplies this winter. U.S. benchmark crude futures for November delivery fell $1.82 - or nearly six percent to an early intra-day low in Asia of $30.86 per barrel, before rebounding to $31.44 for a loss from Friday of $1.24. Prices were expected to retreat after President Bill Clinton gave the okay on Friday to release 30 million barrels of crude over 30 days from the 571 million-barrel Strategic Petroleum Reserve (SPR), although some analysts said the impact would be limited.
Spain Receives New Coast Guard Vessel
The first of two coastal protection vessels has been delivered to Spain’s Maritime Safety Authority SASEMAR. The main role for 220-ton bollard pull Don Inda is emergency towing of a tanker, as it is equipped with a full range of equipment for recovering spilled oil. Rolls-Royce developed the UT 722 L design -- derived from the anchor handler of the same type number, although they differ from an offshore AHTS in many respects -- and provided the main equipment. Astilleros Zamakona, based at Santurce-Bilbao, built the vessels. The SASEMAR vessels have a large installed power and very powerful towing winches, but are flexible enough to take on many other roles including pollution clean-up, escort towing, rescue of ships and their crews, emergency co-ordination, firefighting and salvage.
