Short News for Oil & Gas (2021-12-7)-Yayaking News

1. Shell abandons cambo oil field in the UK

Shell announced on Thursday that it would no longer invest in cambo oilfield. Shell explained that the current economic reasons for investing in the project are insufficient and there may be delays. Shell owns 30% of cambo oil field in the UK North Sea, and siccar point energy holds the remaining 70%.

Previously, environmental protection organizations have launched an opposition campaign against cambo, arguing that the project is inconsistent with the UK’s goal of achieving carbon neutrality by 2050.

 

2. ConocoPhillips completed its US $9.5 billion acquisition of shell Permian Basin assets

This week, ConocoPhillips officially completed the acquisition of shell’s productive basin in Delaware with us $9.5 billion in cash (after routine settlement adjustment, the cash paid for the acquisition was about US $8.6 billion). ConocoPhillips has 225000 acres of shale development area in the Permian Basin, including about 600 miles of oil, gas and water pipelines and other energy infrastructure. It is expected that the output of these assets will be about 200000 barrels of oil equivalent per day by next year.

This marks the accelerated shift of shell’s business focus to low-carbon assets. At the same time, ConocoPhillips, headquartered in Houston, has become one of the largest producers in the Permian that can compete with pioneer natural resources and Chevron in output.

 

3. ADNOC, a UAE oil giant, will invest US $127 billion by 2026

Abu Dhabi National Oil Company (ADNOC), the state-owned oil company of the United Arab Emirates (UAE), the third largest producer of the organization of petroleum exporting countries, said on Wednesday that ADNOC would invest up to US $127 billion in its upstream, downstream and low-carbon fuel businesses from 2022 to 2026.

The investment aims to help the UAE expand its oil and gas production capacity, invest more in downstream areas, and invest more in its low-carbon fuel business and clean energy ambitions.

In addition to capital expenditure over the next five years, ADNOC also announced that its national reserves will increase by 4 billion barrels of oil and 16 trillion standard cubic feet of natural gas.

 

4. Samsung and Saudi Aramco signed a $1.23 billion gas treatment facility contract

South Korea’s Samsung Engineering Company this week won a $1.23 billion contract for jafurah gas treatment unit 1 project from oil and gas giant Saudi Aramco.

The objective of the project is to produce and sell gas, NGL, ethane, sulfur and stable condensate. Samsung Engineering will build a gas treatment facility to remove sulfur and other substances from 1.1 billion cubic feet of gas per day and divide it into two gas treatment lines with a treatment capacity of 550 cubic feet per day.

This is the first time Saudi Arabia has developed shale gas. The project is part of the jafurah shale gas field development project located 250 miles east of Riyadh, the capital of Saudi Arabia, and is expected to be completed in 2025.


Post time: Dec-07-2021