Algeria Inks Deal with Vitol to Cut Fuel Imports
Algeria's state energy company Sonatrach said it has signed a deal with oil trader Vitol to send crude abroad for refining as the country seeks to reduce a record fuel import bill. CEO Abdelmoumen Ould Kaddour said Sonatrach would pay processing costs before bringing refined fuel back to Algeria, and said it was also negotiating to buy shares in a foreign refinery, but did not give details. "Our goal is to reduce our imports of gasoline, they are too high," Ould Kaddour told reporters on Tuesday. The deal is due to take effect in early February, according to a document seen by Reuters.
Iran Oil Production, Exports Not Impacted by Protests
Iran's crude oil production and exports have not been impacted by the unrest spreading across the country, Iranian oil and shipping sources said on Tuesday, as a crackdown intensified against anti-government demonstrations that began last week. Iran, OPEC's third-biggest oil producer, pumps around 3.8 million barrels per day. "I see no impact on the production and export," one Iranian oil industry source said, speaking on condition of anonymity. "Everything is going normally," another source said, adding that the protests had not spread into the energy sector and "remained in the streets".
Russian Offshore Hiatus: But World's No.1 Oil Producer
Still no Arctic offshore oil from the Prirazlomnaya platform, but Russia keeps the position as the world’s largest oil producer. Prirazlomnaya field in the eastern Barents Sea was supposed to be the first operating offshore oil production on Russia’s Arctic continental shelf when the platform was towed out from Murmansk in the autumn 2011. Today, one and a half year later, the workers are still challenging the technical problems and production is said to start earliest in September this year, reports 'Barents Observer'. But there is no urgent need for offshore oil-production as Russia for the second year in a row takes the top position among global oil producers. Output of crude oil was 518 million tons last year, according to figures presented by the Ministry of Energy.
U.S. Oil Producers To Seek Dumping Investigation
In response to a flood of crude oil imports, independent American oil producers will reportedly ask the U.S. government this week to investigate for the first time alleged crude oil dumping in the U.S. by foreign suppliers.
OPEC Sec-Gen: Output 'Freeze' Could Help Ailing Oil
OPEC Secretary-General Abdullah al-Badri said OPEC and non-OPEC oil producers might later take "other steps" to curb a global supply glut if a preliminary deal between the world's biggest producers proves successful. "I think this is a first step to see what we can achieve," Badri, speaking to the CERAWeek conference in Houston, said of the tentative pact reached between Saudi Arabia, Russia and other producers a week ago. Iran has yet to formally sign on to the agreement, leaving its implementation uncertain. "The first step is to freeze the production. Badri also reiterated his readiness for OPEC and non-OPEC oil producers to work together to eliminate a global glut that has knocked prices to their lowest in over a decade, and also said he was willing to speak with U.S. officials.
CNOOC to Bid on Nation Energy
on offshore oil and gas assets in Nigeria, www.TheStandard.com reported. CNOOC is eyeing an offer for Nations Energy, an independent oil producer based in Canada. The move by CNOOC comes after the company announced the acquisition of a 45 percent stake in oil and gas fields owned by Nigerian oil company South Atlantic Petroleum earlier this week. The deepwater fields are contained in a 1,295-square-kilometer tract off the Niger River Delta and contain estimated recoverable reserves of 1.1 billion barrels of oil equivalent. Nine-year-old Nations first bought assets in Kazakhstan in 1997. It operates OJSC Karazhanbasmunai - Kazakhstan's ninth-largest oil producer - in the west of the country on the Caspian Sea. The company has sunk about $370 million into the Central Asian operation.
Rosneft Starts Drilling First International Offshore Well
Russian oil producer Rosneft's Vietnamese subsidiary has started drilling an exploration well off the south coast of Vietnam, it said on Wednesday. It is Rosneft's first individual international offshore drilling project as an operator, Russia's largest oil producer said in a statement. After the completion of the PLDD-1X well, at Block 06.1, Rosneft will drill another exploration well in Block 05.3/11, also in the Nam Con Son Basin, in the Vietnamese waters, it said. "I am sure that the experience gained in Vietnam will be used by the company not only in its activity in the southern seas," Rosneft Chief Executive Igor Sechin said in a statement, adding it would help with planning and implementing upstream projects in remote areas.
Oil Drillers Group to Fight U.S. Export Ban
More than a dozen U.S. oil producers have joined to lobby the federal government to reverse the 40-year-old ban on U.S. crude exports, a move that supporters hope would create jobs and boost national security, a spokesman for one of the companies and a lobbyist for another one said on Friday. Producers for American Crude Oil Exports, or PACE, is the first lobbying group to form on reversing the ban. "The end game here is legislative repeal of the ban," said a lobbyist for one of the member producers, who did not want to be named because the group was only recently formed. Congress passed the trade restriction in the 1970s after the Arab oil embargo caused fears of domestic oil shortages.
OPEC Producers Must Invest $60B To Meet Demand
OPEC oil producers will need to invest $60 billion by 2010 in order to meet world oil demand, according to figures released by the group. To maintain its 1995 production level and make its proportionate share of the additional amounts, OPEC needs to invest about $60 billion by the year 2010 and another $250 billion by 2020, officials said. World oil demand, which was about 70 million bpd in 1995, is expected to be over 90 million bpd in 2010 and over 100 million bpd in 2020.
Shell: UK Should Reduce North Sea Oil Tax
The British government should review a supplementary tax charge on North Sea oil producers as it has made the operation of some fields unrealistic, Shell Chief Executive Ben van Beurden said on Thursday. "It needs to be looked at as the tax position is hindering viability," he told reporters at a conference in London. Britain is in the process of changing its tax regime to help North Sea producers deal with high costs and has promised to reduce taxes. Reporting by Karolin Schaps
Investors Ask Oil Companies for Risk Reduction Strategies
According to an August 6 report from Environment News Service, suffering deep financial losses from the Deepwater Horizon oil spill in the Gulf of Mexico, and in response to a proliferation of deepwater offshore drilling for oil worldwide, investors have sent a joint letter to 27 major oil companies seeking transparency on risk reduction strategies for their offshore oil operations. Fifty-eight investors in the United States and Europe, representing trillions of dollars in assets, sent the request for more information to chief executive officers at the oil companies, including the world's three largest deepwater oil producers - ExxonMobil, Royal Dutch Shell and Brazil's state-owned oil company Petrobras. (Source: Environment News Service)
Russia's Sechin: US, Not OPEC, Rules Oil Market
Igor Sechin, the head of Russia's top oil producer Rosneft, said on Wednesday the United States is calling the shots on global oil markets, while the influence of OPEC has shrunk. The United States emerged with renewed vigour as a top producer thanks to its shale boom. By refusing to curb its output to prop up oil prices, OPEC has tried to maintain its share in the global market, shrugging off lower prices which damage U.S. producers. "In essence, the sole market, which has all the sets of financial and technological tools, is the U.S. market, which has became the key regulator," Sechin told reporters, adding that oil prices in the United States set the tone of the global industry.
U.S. Oil Train Traffic mostly from Midwest to East Coast
U.S. oil trains delivered more than 13.5 million barrels of crude oil from the Midwest to the East Coast in January, according to government data that gives a first of its kind snapshot of such shipments. The data from the Energy Information Administration is the first if its kind from the independent statistics arm of the U.S. Energy Department. Oil producers in North Dakota have relied on oil trains to reach East Coast refiners eager to process the light, sweet crude from that energy patch. Link to data: http://tinyurl.com/nlhsvak Reporting By Patrick Rucker and Timothy Gardner
Batista companies extend test in Brazil offshore field
Brazilian tycoon Eike Batista's bankrupt shipmaker and sister oil company are extending tests in the offshore Tubarão Azul field until March 7, according to a Wednesday securities filing. OSX Brasil SA said its OSX-1 platform would continue tests in the field operated by Oleo e Gas Participações SA, the oil producer formerly known as OGX. The failure to produce as much oil as expected at Tubarão Azul, Batista's first offshore field, led to the meltdown of his energy and mining group, resulting in Latin America's largest-ever bankruptcy protection filing.
Statoil to Develop LNG Projects CNPC
Norway's Statoil will cooperate with China National Petroleum Corp (CNPC), China's largest oil producer, to develop a liquefied natural gas (LNG) projects, a senior Statoil official said. According to reports, Ole-gohan Lydersen, vice-president of Statoil International EMP Co, said at an industry conference here that both sides will also cooperate on domestic and international oil and gas exploration. CNPC is in talks with Iran over the project and is expected to sign a seven-year deal soon, according to the official Shanghai Securities News. Source: XFN
Bad Weather Closes 3 Major Mexican Oil Ports
Three of Mexico's major oil export ports along the Gulf coast have been closed due to bad weather, the Communications and Transport Ministry said on Tuesday. Cayo Arcas, Dos Bocas and Coatzacoalcos have been closed since Sunday. Nearly all of Mexico's crude exports from Pemex, the state-owned oil producer, are shipped from the three ports to Gulf coast refineries in the U.S. states of Texas and Louisiana. (Reporting by Joanna Zuckerman Bernstein; Editing by Jeffrey Benkoe)
Russia May Allow More Firms to Offshore Oil
Russia may allow more oil companies to access its offshore projects, Energy Minister Alexander Novak said on Friday. "In general, the access can be extended," Novak told reporters in Moscow. An existing law stipulates that only state energy majors Rosneft and Gazprom can explore offshore fields. But Lukoil, Russia's No.2 oil producer, has long called for extending access to private firms as well. (Reporting by Olesya Astakhova, Writing by Polina Devitt, Editing by Gabriela Baczynska)
A.P. Moeller Profits Fly Orange
A.P. Moeller, operator of the world's leading container line and a big oil producer, posted sharply higher first-half profits on Thursday and said full year profits would improve considerably on 1999. Consolidated operating profit before depreciation rose 54 percent to $910 million and net profit surged 92 percent to 2.63 billion crowns. The results were slightly below forecasts in a Reuters poll of analysts. Moeller's shares -- up some 28 percent in the past four weeks for a 2001 earnings multiple of 20 --first rose but later fell as European oil majors tumbled.
African Oil Output Increasing
Most African oil producers are projected to increase production over the next three years, except Egypt and Gabon. The strongest increase is projected in Nigeria, where production is expected to reach 2.9 mbd in 2003, up from 2.2 mbd in 2001. N African net oil production is projected to increase by 0.2 mbd and W African by 1.2 mbd, over the period. - Intertanko
Surgut Awards Glencore Right to Crude Oil in Tender
Russia's third-largest oil producer Surgutneftegaz has awarded Glencore the right to lift 1.2 million tonnes of crude oil from Russian Baltic Sea ports, traders said on Thursday. The cargoes, 200,000 tonnes a month, can be lifted between July and December this year. (Reporting by Gleb Gorodyankin; writing by Vladimir Soldatkin)
Wells Fargo Calls $100 Oil a 'Pipe Dream'
USD 100 per barrel oil is but a “pipe dream,” Wells Fargo said in a new investor note, reports MarketWatch. The report quoted Wells Fargo’s John LaForge saying that he’s doesn’t expect oil prices to climb anywhere near $100 a barrel over the next few years. Barrels price will bounce between $30 and $60 in the coming years, according to top bank’s diagnosis. “We continue to hear that big cutbacks are on the cusp of happening,” he said. “The evidence, however, implies otherwise. Shale production has caused American output to stand higher than it did in 2014, before the oil price crisis began.
Total, Petrobras Partnership for Brazil Growth
According to a Sept. 23 report from Bloomberg, Total SA, Europe’s third-largest oil producer, is studying expansion in Brazil as part of a plan to reverse falling output by developing new projects. (Source: Bloomberg.com)
Single-Hull Tanker Traffic to Saudi Ports Dwindles
A Dec. 25, 2009 report from Gulf News, said the number of single-hull supertankers bound for Saudi Arabia, the world's biggest oil-producer, fell 50 percent over the past month, according to ship-tracking data compiled by Bloomberg. Trading of single-hull tankers will become more restricted next year under International Maritime Organization regulations. The vessels will require inspections to prove their seaworthiness. (Source: www.gulfnews.com)