Short News for Oil & Gas (2021-07-21)-Yayaking News

1. Major oil producing countries agree on plans to increase production

The 19th ministerial meeting of the organization of Petroleum Exporting Countries (OPEC) and non OPEC oil producing countries was held in the form of video on the 18th. The participating countries reached an agreement on gradually increasing production from August this year. According to the agreement reached between OPEC and non OPEC oil producing countries in April 2020, the average production reduction at this stage is 5.8 million barrels per day; OPEC announced in a press release after the meeting that the participating OPEC and non OPEC oil producing countries agreed to increase their total production by 400000 barrels per day from August this year until the reduction of 5.8 million barrels per day was phased out; The participating countries will continue to hold monthly meetings to assess the market situation and determine the production level for next month, and strive to end the production reduction by the end of September 2022; The communique pointed out that with the acceleration of the new crown vaccination, the economy in most parts of the world continues to recover, the fundamentals of the oil market continue to improve, there are obvious signs of growth in oil demand, and the oil inventories in OECD countries have declined; The meeting decided to hold the 20th ministerial meeting of OPEC and non OPEC oil producing countries on September 1 this year.

 

2. Santos abandons exploration plan for greater Australian Bay

Santos, the Australian energy giant, said in a statement on Friday that it and Murphy had handed back their licenses to explore for oil and gas in the Great Australian Bay, becoming the fourth major oil and gas company to abandon drilling in the pristine waters off Australia’s southern coast after BP, Chevron and equinor. The move was praised by Greenpeace as “a major victory for mankind and the earth”.

 

3. Nigerian parliament passes oil and gas reform bill

Last Friday (July 16), Nigeria’s house of Representatives passed the bill approved by the Senate one day ago, marking the coming of the 20-year oil and gas reform bill. The Nigerian authorities believe that the bill will attract more and more global capital to Africa’s largest crude oil producer as investors pursue the transformation of fossil fuels.

 

4. Greenland stops all future oil exploration plans

Greenland has announced that it will stop all future oil exploration on and around the world’s largest island, saying it is doing so for the sake of climate and Arctic environment, natural resources, booming tourism and the country’s main source of income, hunting and fishing.

According to a 2007 USGS oil and gas resources survey report on the east coast of Greenland, the oil and gas reserves in Northeast Greenland are very considerable, with a total reserves of about 31.4 billion barrels. However, the authorities believe that despite the prospect of rising oil prices, the environmental impact of future oil exploration and exploitation in Greenland is too great, and will seek to attract investment to take advantage of the huge hydropower potential that has not yet been developed.

 

5. Oil search rejected Santos’s $6.5 billion offer

Oil search, an oil and gas exploration company, rejected a non binding a $8.8 billion (US $6.5 billion) merger offer from Santos, an industry rival, but both companies said on July 20 that they wanted further negotiations. Santos said the potential merger is a strong combination of the two industry leaders, aiming to create a leading regional industry leader. Then, after evaluation, oil search found that it was not in the best interests of shareholders, so it refused to merge.

Oil search Limited is an oil and gas exploration and development company established in Papua New Guinea in 1929. The company is listed on the Australian Stock Exchange and Port Moresby stock exchange, and is also traded in the United States through the American Depository Receipt market. Its flagship project is PNG LNG in Papua New Guinea, while the company also has exploration projects in Yemen, Tunisia and Iraq.

 

6. Harriburton profit up 33%

Halliburton Co. reported on July 20 that its second quarter profit rose 33.5% from the previous three months as crude oil prices rebounded from a pandemic low, boosting demand for oilfield services.

Global crude oil prices rose 18.2% in the quarter ended June 30 and about 37% since the beginning of the year. According to Baker Hughes, higher oil prices helped boost oilfield activity, with the number of us drilling platforms rising for the 11th consecutive month in June. There were 470 rigs at the end of the second quarter, compared with 417 at the end of the first quarter.

 

7. PetroChina will replace UAE enterprises to complete the construction of three gas wells in Turkmenistan

CNPC Chuanqing Drilling Engineering Co., Ltd. will succeed Gulf Oil & gas FZE in UAE to complete the construction of three gas wells with extremely difficult construction in garkenesh gas field. The execution period of the contract is 30 months, and earthwork will settle accounts by supplying 17 billion cubic meters of natural gas to China every year for three consecutive years.

 

8. Russian Vice Premier: increase oil production in the second half of the year

Russian Deputy Prime Minister Novak said on Sunday that Russia will increase oil production in the second half of this year as OPEC + group of major oil producers has reached a new agreement to increase total production. Novak said Russia will increase its oil production by 100000 B / D per month from August this year, and reach the pre crisis level in May 2022. He said that Russia will produce an additional 21 million tons of oil this year and next.


Post time: Jul-21-2021